1. The minimum amount to open an account is usually between $5,000 & and $10,000.
2. The account is generally opened within 2 to 3 business days from the approval of the claim and interest is credited immediately.
3. Banking services are generally provided by one of several vendors or banks.
4. Generally, an RAA is considered an insurance contract, or settlement option, so outside money cannot be added to the account.
5. The accountholder can write a check at any time for up to the full amount of the account or proceeds.
6. The practice is very common in the Industry, adopted by over 125 Insurers ( such as Prudential, Hartford, AXA/MONY, Equitable, GenWorth, Cigna, AETNA, John Hancock, ING, New York Life, AEGON, Unum, Minnesota Life, NW Mutual, CNA, Guardian, LFG, Conseco and many others)
7. There are generally no fees for the account to the beneficiary and the assets remain in the Insurers General Account. 

Affords the Insurer the ability to conserve millions of dollars of its claim outflows, which otherwise would leave the company and be invested elsewhere.  Helps develop a beneficiary relationship with the carrier for possible future sales.  Earnings are spread-based and represent the difference between the portfolio return and the credited rate to customers (less administrative expenses). 

Benefits to the Accountholder:

The Retained Asset Account provides beneficiaries with freedom from making quick financial decisions during their time of bereavement. Beneficiaries frequently write letters to Insurers praising both the account and the services provided with the account.

Some of the many benefits to accountholders and beneficiaries include:

1. Attractive Interest Rates.  The interest rate is set periodically (usually based on recognized indexes of market rates).  Interest is compounded daily and credited monthly.
2. Convenience.  Accountholders have immediate access to the proceeds in their account through personalized checks that are sent to them once the claim is approved. They receive monthly statements that show the account balance and interest earned.
3. Free.  There are usually no transaction fees, or monthly service charges, and there is generally no charge for reordering checks. There is also no limit to the number of checks they may write.
4. Monthly newsletter.  All accountholders can receive a newsletter published monthly specifically for RAA accountholders.  This can be a vehicle to communicate some product offerings, as well as content.  The newsletters cover a wide range of topics from bereavement, health advice, and recipes to financial information and facts about the RAA.
5. Beneficiary Designation.  Accountholders can, and are encouraged to, name a beneficiary to receive the money in the account in the event that something happens to them.