Life Insurance Claim Denial
Life insurance is meant to offer peace of mind, but a claim denial can be a significant source of stress and confusion. At the Law Offices of Jason Turchin, we understand the complexities of life insurance claim denials and are here to offer experienced legal guidance and support. Whether you are in Florida, New Jersey, New York, or any other state, we are here to help you navigate these challenges. Give us a call at 800-337-7755 or Chat with our agents today to see if you may still qualify for life insurance benefits.
Common Reasons for Life Insurance Claim Denials
1. Misrepresentation on the Application: This can occur when the insurance company believes that the policyholder failed to disclose important information or provided false details.
2. Policy Lapse Due to Non-Payment: If premiums are not paid, policies can lapse, leading to denial of claims.
3. Exclusions in the Policy: Certain causes of death may be excluded from coverage.
4. Disputed Beneficiary Designations: Conflicts among potential beneficiaries can result in claim denials or a life insurance interpleader lawsuit.
Misrepresentation on the Application
Misrepresentation is a common reason for claim denial. It may occur when an insurance company believes that the policyholder failed to disclose vital information or provided false details, either intentionally or unintentionally. Common areas of misrepresentation include:
1. Health history (e.g., undisclosed medical conditions)
2. Income and occupation.
3. Lifestyle factors (e.g., smoking, alcohol consumption)
4. Age and identity.
Our approach involves a thorough review of the life insurance application and policy, gathering of evidence to refute claims of misrepresentation, and negotiating with insurance companies to seek a fairresolution if possible.
Policy Lapse Due to Non- Payment
A policy lapse due to non-payment is another frequent basis for claim denial. This situation arises when premium payments are missed, leading the policy to lapse. However, there are often valid reasons for missed payments, such as:
- Financial hardship
- Administrative errors
- Communication issues between the policyholder and the insurer
- Failure of the insurance company to properly account for the payment
- Failure of the insurance company to submit proper notice of possible lapse
We can help review denials based on lapsed policies, particularly if the lapse occurred due to circumstances beyond the policyholder’s control or if the insurance company was supposed to take automatic payments and didn’t do so.
Exclusions in the Policy
Exclusions in the Policy Insurance policies often have exclusions which can lead to claim denials. These exclusions might include death due to:
Suicide within a certain period after policy issuance
- Acts of war or terrorism
- High-risk activities or hobbies
- Illegal activities
Our legal team can review the terms of your policy to determine if the claim denial was justified based on these exclusions and advise on possible legal recourse.
Disputed Beneficiary Designations
Disputes over who is the rightful beneficiary can also result in claim denials. Such disputes may arise due to:
- Changes in the policyholder’s family situation (e.g., marriage, divorce)
- Outdated beneficiary information
- Multiple parties claiming entitlement
- Changes to the beneficiary as a result of undue influence
- Changes made to the beneficiary designation while the insured lacked capacity to make the change
We can provide legal guidance in resolving these life insurance disputes, whether through mediation or litigation, fighting to help ensure that the benefits are distributed according to the policyholder’s wishes.
How We Can Help
Our life insurance lawyers at The Law Offices of Jason Turchin has extensive experience in dealing with all types of life insurance claim denials. We can provide comprehensive legal services including:
- Review of Denial Letters: We can analyze the insurer’s reasons for denial and assess the validity of their claims.
- Investigation: Gathering evidence to counter the insurer’s reasons for denial.
- Negotiation and Litigation: We can negotiate with insurers for a fair settlement or litigate if necessary.
The time frame can vary depending on the complexity of the case.