if you work at a company, and that company is bought out, and gives you a free life insurance policy as part of the "benefit" package, does that "benefit" start immediately in most cases? Or do you have to wait like 90 days before it is in action, even if you worked at the job for years before the buyout?

It will be spelled out in yuor severance or buyout package. Read the fine print.

I'm asking for my sister, whos husband just passed. It is not stated in the paperwork she received from the company and can't get a straight answer from anyone there. She needs the insurance money to pay off his funeral debts.

Did the other (like medical, dental) benefits start right away or after 90 days. I would tend to think that the life insurance would probably start at the same time as the other benefits.

he did not get the other benefits through the workplace, my sister carried that on him, because through her work it was better coverage.

does she have an insurance agent of her own? (auto, homeowner, etc). Perhaps he can look this over and/or even contact the actual insurance company to find out for her.

Sorry about your BIL. Your sister will get the quickest response if she calls the insurance company directly. She'll need to anyway to file the claim. It should be effective immediately after the policy is signed/accepted. Ex: If I was the agent, and I crashed & burned in a car accident before delivering the insured's signed/accepted application to the insurance company, they would still be covered from the time it was signed (provided that they were insurable to begin with, otherwise they may have been prorated, declined, or have exclusions.) Each state can have different rules that apply... I hope she gets the help she needs asap.

thank you for the responses. She was only able to talk to the HR lady at my brother in laws job, and she said she needed the death certificate before any of the paperwork can be filed, and my sister just got that today. She forgot to ask for a copy of the policy (she's kinda a mess right now) but the HR lady was not very helpful in answering any questions my sister had. Apparently she is now at a standstill, at the hands of the insurance company until they let her know if she will receive the insurance.

Every state has an insurance department that regulates the insurance industry in that state (I work for that agency in my state). That department will have some kind of a consumer assistance function that helps people sort out these kinds of questions and help people get the money they're entitled to.

Look up state agencies for your state and look for something like Department of Insurance or Insurance Commission. Then call and ask for the consumer services or consumer protection people. They should be able to help.

If you can't figure out who to call, PM me and I'll ask my people at work what agency it is in your state. Good luck.