Life Insurance Claim Delayed

What should I do if the insurance company keeps delaying my life insurance claim?

You should retain a life insurance lawyer immediately before your delayed claim becomes a denied life insurance claim. We serve all states. Free consultation. No fee unless settlement.

2025 Delayed life insurance claims

  • Loyal American delay due to medical records $113,000.00
  • Farmers New World 15 month delay resolved $59,000.00
  • Shelter Life emergency room visit in medical records $104,000.00
  • Federated Life beneficiary designation issue $46,000.00
  • Western & Southern one year delay of payment $108,000.00
  • Texas Service Life wouldn't pay for over 2 years $115,000.00
  • Advantage Capital Partners medical record issue $73,000.00

Understanding Delayed Life Insurance Claims: How to Fight Back Against Insurance Companies’ Tactics

Life insurance claims should provide beneficiaries with a financial cushion during an incredibly difficult time. However, for many grieving families, the reality is much different. Insurance companies are notorious for delaying life insurance claims, leaving beneficiaries in financial distress and emotional turmoil. The delay tactics these companies use can extend the claims process for months or even years, causing significant hardship when beneficiaries need the funds most.

If you're dealing with a delayed life insurance claim, it’s essential to understand why this happens and what you can do to expedite the process. While many people expect their life insurance benefits to be paid out quickly after the policyholder’s death, insurers often use a variety of strategies to delay payments. These include demanding excessive documentation, citing unnecessary investigations, invoking policy exclusions, and simply stalling the process as long as they can.

Why Do Insurance Companies Delay Life Insurance Claims?

Insurance companies are in the business of making money, and one way they do that is by avoiding payouts. The longer they delay a claim, the more money they make through investments and interest. Unfortunately, this delay tactic can leave grieving families with little to no financial support when they need it most. Here are the primary reasons behind the delay of life insurance claims:

1. Repeated Requests for Documents

One of the most common tactics insurance companies use is repeatedly requesting the same documentation. Beneficiaries find themselves stuck in a never-ending cycle of submitting documents such as death certificates, identification, and medical records—only for the insurer to claim that the paperwork is incomplete or lost. This delay tactic is particularly problematic because it makes it difficult for beneficiaries to get a clear answer on the status of their claim. Even though the insurance company has access to many of these records, they often request them directly from the beneficiaries in an attempt to slow down the process.

Some of the companies that are frequently associated with these delay tactics include American General, AARP, Banner, MetLife, Lincoln Heritage, and Reliance Standard.

2. Unnecessary Investigation

Another reason for claim delays is when the insurer cites the need for a thorough investigation. Companies like Symetra, Transamerica, VOYA, AAA, Ameritas, and Globe often claim they need additional time to verify the cause of death or investigate potential fraud. While investigations are necessary in some cases—particularly those involving suspicious circumstances such as suicide, foul play, or a policyholder's history of fraud—many claims are routine and should not take months to process. However, insurers often drag out investigations to avoid paying the claim, hoping that the beneficiary will become frustrated or give up on pursuing the payout.

3. Policy Exclusions and Fine Print

Most life insurance policies contain clauses that limit or exclude certain causes of death, such as suicide, death due to illegal activities, or death resulting from pre-existing medical conditions. While these exclusions are valid under certain circumstances, insurance companies often misuse them to deny claims. Companies like Horace Mann, Columbian Mutual, Integrity, Corebridge, Mass Mutual, Pekin, Prosperity, and Trustmark are known for aggressively scrutinizing medical records and looking for reasons to deny a claim. Even minor health issues that weren’t disclosed or considered relevant at the time the policy was issued may be used as grounds for denial or delay.

4. The Insurance Company’s Financial Strategy

The key motivation behind these delays is simple: insurance companies benefit from holding onto the claim money as long as possible. The longer they can delay paying out claims, the more they profit from investments and interest generated by the money in their accounts. This is a ruthless business tactic that takes advantage of policyholders and beneficiaries who may already be in a vulnerable state, grieving the loss of a loved one. Companies like Midland National, Hartford Life, Jackson Life, Foresters, Lumico, USAA, and Boston Mutual are frequently accused of using these strategies to wear down beneficiaries and ultimately get them to accept a lower settlement than they are entitled to.

How Long Should Life Insurance Claims Take to Process?

Most life insurance claims should be paid out within two weeks of the insurance company receiving the death certificate. However, many beneficiaries experience long delays. There are numerous examples of claims taking months, even years, to resolve. Companies like Wells Fargo, Anthem, CMFG, Dearborn, First Colony, Humana, Mutual Savings, State Life, and TIAA have been cited for excessive delays. Some beneficiaries may wait for several months before realizing that their claim isn’t going to process without legal intervention. In some cases, individuals have faced delays of more than two years before they sought legal help, only to have their claim resolved quickly once an attorney became involved.

What Can You Do If Your Life Insurance Claim is Delayed?

If your life insurance claim is delayed, it is essential to act quickly to protect your rights and secure the payout you are entitled to. The best course of action is to hire a life insurance attorney who specializes in handling delayed claims. Attorneys are well-versed in the tactics insurers use and can guide you through the process to ensure that your claim is handled properly. Many attorneys work on a contingency basis, meaning they do not get paid unless you receive your payout, so hiring a lawyer is a low-risk decision.

Several companies, such as National Western, Assurant, Progressive, Protective, Prudential, Sagicor, Securian, State Farm, The Hartford, and Unum, have faced lawsuits over delayed payouts. An experienced attorney will have the knowledge and resources to pressure the insurer to resolve the claim, ensuring that you receive the payout in a timely manner.

Steps to Take When Your Life Insurance Claim is Delayed:

  1. Gather All Documents: Ensure that you have submitted all necessary paperwork, including the death certificate, identification documents, and any other paperwork the insurer requests. Keep copies of everything you submit.

  2. Consult an Attorney: An experienced attorney can help you understand your rights and the best course of action to take.

Cases

Case 1: Overcoming Bureaucratic Hurdles in a Complex Claim

In a particular instance, a client who we'll refer to as Mr. Taylor, a businessman in his early 60s, faced a significant delay with his life insurance claim after his spouse’s untimely passing. The insurance company cited administrative issues, including improper documentation, as the reason for the delay. The insurer also failed to keep Mr. Taylor informed about what additional information was required to move the claim forward.

Our team quickly recognized that Mr. Taylor's claim had been bogged down by a bureaucratic process rather than any actual fault on his part. We stepped in to analyze the situation and liaised with the insurance company to clarify what documentation was necessary. After addressing all required documents—many of which were provided by the insurer but had not been properly processed—our team advocated strongly on Mr. Taylor’s behalf.

The result? The insurance company processed the claim swiftly once all administrative issues were clarified, and Mr. Taylor received the full payout to which he was entitled. In the end, our thorough investigation and persistence helped expedite a process that could have otherwise taken much longer.

Case 2: Securing a Life Insurance Payout for a Disputed Beneficiary

Ms. Delgado, a widow in her late 40s, found herself in a contentious situation when her late husband’s life insurance claim was delayed for over a year. The insurance company disputed her status as the rightful beneficiary due to an outdated beneficiary form from an earlier policy update. Despite her late husband naming her as the primary beneficiary on multiple occasions afterward, the insurer initially refused to honor the claim due to technicalities on a past form.

Ms. Delgado was understandably distressed. We stepped in to help her navigate the legalities of life insurance claims and provided evidence of her husband's intent, as well as numerous communications between them in which he reaffirmed her as the beneficiary. Working with legal professionals, we also ensured that the outdated forms were revised and the insurance company was presented with updated, accurate documentation.

With our expertise in claims advocacy and legal backing, the insurer finally processed the claim, and Ms. Delgado received the full benefit payout. This case highlighted how persistence, careful documentation, and legal advice can resolve even the most disputed claims.

Case 3: Speeding up an Underpaid Claim through Expert Negotiation

Mr. Chen, a former teacher in his 70s, filed a claim for his life insurance policy after the sudden death of his adult son. Unfortunately, the insurer offered only a fraction of the policy's stated payout, citing a clause in the contract they claimed applied to Mr. Chen's son’s cause of death, which wasn’t even listed in the policy. The insurance company maintained that the cause of death did not meet their criteria for a full payout, which caused a major delay.

We carefully examined the policy terms and identified an incorrect application of the exclusion clause. Our team worked closely with medical experts to provide a clearer understanding of the cause of death, ensuring it matched the policy's coverage. We also meticulously reviewed the policy documents and discovered a discrepancy between the insurer’s interpretation of the clause and what was actually stated in the contract.

Our intervention led to a successful negotiation with the insurer, resulting in a full payout of the life insurance claim. Mr. Chen received the entire amount, which was significantly higher than the initial offer. In this case, our knowledge of the finer details of insurance contracts, as well as our ability to negotiate with insurers, helped Mr. Chen receive the fair payout he deserved.

Case 4: Overcoming Insurance Company’s Failure to Communicate with a Family

Ms. Harper, a woman in her early 50s, found herself frustrated and unsure about how to proceed with a life insurance claim after her father passed away. She was told by the insurer that her claim would be processed within a few weeks, but several months passed without any updates. The family had followed all the instructions given by the insurer, but there was little communication, and they couldn’t get any clear answers.

After receiving no updates despite repeated inquiries, Ms. Harper reached out to our team for assistance. We immediately contacted the insurer, requesting a detailed explanation for the delay and demanded more frequent communication about the status of the claim. Our efforts were instrumental in uncovering a mix-up in internal processes, which had caused the delay. The insurer had been mistakenly waiting for an additional document that had already been submitted but was lost in their system.

Once the issue was identified and rectified, the insurance company promptly released the claim payout. Ms. Harper was able to receive the funds without further delay. This case demonstrated the power of persistence and proactive communication when dealing with slow or unresponsive insurers.

Case 5: Contesting a Claim Denial Based on a Pre-existing Condition

Mr. Evans, a retired firefighter, had faithfully paid premiums on his life insurance policy for over 20 years. After his passing, his daughter, Ms. Armstrong, was devastated to learn that the insurance company had denied her father’s claim, citing a pre-existing health condition that was not disclosed at the time of purchase. The insurer argued that the pre-existing condition was a major factor in the cause of death, and therefore the claim should not be paid out.

Ms. Armstrong was confident that her father had disclosed all relevant health information, and she sought our assistance to challenge the claim denial. Upon reviewing the policy and Mr. Evans' medical history, we discovered that there was no record of the pre-existing condition as it had been falsely assumed by the insurer. We worked with medical professionals to gather the necessary evidence to show that the condition did not directly affect Mr. Evans’ cause of death and that the claim denial was unjust.

After a thorough review of the case, the insurer re-evaluated its decision and ultimately approved the payout in full. This case was a clear example of how accurate medical documentation and a strong understanding of policy clauses can turn a claim denial into a successful payout.

Conclusion: Ensuring Justice for Life Insurance Beneficiaries

Each of these cases underscores the importance of having experts in your corner when dealing with delayed or disputed life insurance claims. Whether it's overcoming bureaucratic errors, challenging claim denials, or ensuring fair payout amounts, our team has successfully helped numerous clients navigate the complexities of life insurance claims. We understand that these claims often represent a lifeline during difficult times, and we are dedicated to ensuring that families and individuals receive the compensation they are rightfully entitled to.

If you or a loved one is facing a delayed or denied life insurance claim, don't hesitate to reach out to our team for assistance. We are committed to making sure your case gets the attention and resolution it deserves.

Written by: Attorney Christian Lassen, founder of Lassen Law Firm, a national leader in handling life insurance claims, having secured hundreds of millions in settlements for clients nationwide. With 24 years of experience, Mr. Lassen specializes in resolving delayed and denied life insurance claims. He is a certified life member of the Million Dollar Advocates Forum and Multi-Million Dollar Advocates Forum, recognition given only to attorneys who have won million- and multi-million-dollar verdicts and settlements. A top 1% lawyer in the U.S., Mr. Lassen is dedicated to both his clients and community, supporting various charities, especially those focused on children with cancer.

Sources

According to the NAIC, insurers must process claims promptly once documentation is complete, though timing varies by state. The Insurance Information Institute reports most claims are paid within 30–60 days, while complex cases can take longer. For employer-sponsored policies, the U.S. Department of Labor notes delays may result from coordination issues between employers and insurers.