From what point must the insurer pay interest on the proceeds of a death claim?

The insurer must pay interest on the proceeds of a death claim starting from the date of death of the insured. This principle is based on the perspective that the beneficiaries are entitled to the benefits of the policy from the moment of the insured's death, as that is the event triggering the benefit. This ensures that the beneficiaries are compensated fairly and do not suffer financial loss due to delays in processing their claim after the death has occurred.

The other options, while related to the claims process, do not align with the legal requirements. For instance, the claim being postmarked or received by the insurer would not reflect the moment the obligation to pay arises. Similarly, the date the insurer is notified of the death claim may involve procedures that do not directly relate to the intrinsic entitlement to the policy proceeds, which is firmly established at the date of the insured's death. Thus, the correct understanding is that the responsibility to start paying interest on the claim begins at the date of death itself.