Added to all of the distress that comes with the loss of an individual there are some who also have to deal with a denied life insurance claim. Many that are in mourning for a lost loved one at least have the comfort of knowing that they will be looked after financially. As a result of the deceased naming them as a beneficiary on their life insurance policy. The following are some of the common questions that arise when one thinks they may have to deal with a denied life insurance claim.
How will I be notified of a denied life insurance claim?
Once you have the chance to start looking after the affairs of the deceased you are going to want to submit your claim as the beneficiary to the insurance company. You can begin by contacting them and asking for directions on how to do this.
Once you have followed all their instructions they will review the claim. At this point they may decide that it is going to be a denied life insurance claim. Most likely they will send you a letter by mail stating this. Each insurance company is different. Some may inform you as to the reason why. Others may not. You will have to pursue them to give you their reasons.
What could be the reason for a denied life insurance claim?
There are many different reasons why an insurance company can come up with to deny a life insurance claim. Some are more common than others. One that is quite frequent is misrepresentation.
When the insurance company is reviewing the claim they are going to scrutinize the information that was provided by the insured. They are going to look for any details that may have been omitted or misleading.
One of the mistakes that life insurance buyers make is they don't to take the application seriously enough. They may make a mistake on answering the questions. Or, they may not provide enough information that the question is asking for. The insurance applicant doesn't realize that this can create serious repercussions for the beneficiary when the time comes.
Quite often there are clauses within a life insurance policy. These clauses can pertain to a change in lifestyle for the insured. For example, there may be a clause that if the insured starts smoking they have to notify the insurance company. Or, if they are participating in a high risk hobby this too may require notification to the insurance company.
If the insured did not do this as required then the insurance company may be able to create a denied life insurance claim. The unfortunate part is that either one of these examples may have not played any part in the death of the insured.
Another impact on the life insurance can be the beneficiary themselves. It could be that more than one person is claiming to be the beneficiary. In this case, the insurance company may issue a denied life insurance claim. However, this matter will be turned over to the courts to determine who the actual beneficiary is. The beneficiary has the right to know why the claim is being denied
Who can help with a denied life insurance claim?
From the insurance company's point of view, their best hope is that the individual who is now in the denied life insurance claim position is just going to accept this as a loss. However, there are steps that the beneficiary can take to pursue the matter.
Once it is been put in writing as to the reasons of the denial, many beneficiaries correspond with a senior official in the claims department. Playing lawyer almost invariably results in a denied life insurance claim. Life insurance attorneys can get claims resolved, and quickly.
What should I do when I am denied a life insurance claim?
When an individual has been denied a life insurance claim the first thing they should do is gather all the information from the insurance company in writing. Next, they should review the insurance policy carefully concentrating on the reasons for the denial. A top life insurance law firm should be contacted. Our experienced lawyer insurance attorneys get claims resolved almost all the time.