Americo Life Insurance Claim Denials: Real Cases and How Beneficiaries Are Fighting Back
At our life insurance law firm, we regularly represent clients who have been denied claims by major insurers, including Americo Life Insurance Company. Whether the denial is based on alleged misrepresentations in the application, exclusions related to cause of death, or contestability clauses, beneficiaries often have more legal options than they realize. We recently helped one of our clients successfully resolve a $404,000 Americo life insurance claim that was originally denied due to alleged health history misrepresentation. Below are other real-life Americo claim denials and their outcomes—offering insight into how these disputes are handled in court.
$100,000 Claim Denied After Motorcycle Death—Court Enforces Contestability Clause
In this case, Americo denied a claim after the plaintiff’s husband died in a motorcycle accident. The insurer invoked the two-year contestability clause, alleging the insured had misrepresented his health history. The plaintiff sued for breach of contract, bad faith, and deceptive trade practices, but the court dismissed the lawsuit, finding that Americo had the legal right to investigate and deny the claim within the contestability window. This case reinforces the importance of accurate applications and highlights the power insurers wield during the initial two years.
$50,000 Cancer Death Claim Denied—Material Misrepresentation Upheld
After her mother died of cancer, the plaintiff filed a claim under a $50,000 policy. Americo denied it based on alleged omissions in the mother’s health history. The court granted summary judgment for Americo, holding that the insurer had proven material misrepresentations that impacted risk assessment and premium pricing. This case demonstrates that insurers must prove not just a misstatement—but one that would have changed their decision to issue or price the policy.
$250,000 Heart Attack Claim—Court Denies Americo’s Summary Judgment Motion
Following his father’s death from a heart attack, the plaintiff sued after Americo denied the claim, citing illegal drug use due to the presence of cocaine. The court, however, found a factual dispute as to whether the drug use was a contributing cause of death. This allowed the case to proceed to trial, showing that toxicology evidence is not always conclusive, and Americo must prove the exclusion applies clearly.
$150,000 Gunshot Death Claim—Intent Disputed, Case Moves Forward
A widow sued Americo after her husband died from a gunshot wound. The insurer claimed the policy excluded suicide and that the man had taken his own life. However, the court declined to grant Americo summary judgment, citing a factual dispute about the nature of the incident—whether it was suicide or an accident. Suicide exclusions must be proven with clear and convincing evidence, and courts are cautious about granting judgment when intent is unclear.
$200,000 Car Accident Claim Denied—DUI Exclusion Enforced
Americo denied a life insurance claim after the plaintiff’s son died in a car crash with a blood alcohol level above the legal limit. The insurer relied on an exclusion for deaths resulting from driving under the influence. The court sided with Americo, finding no dispute that impairment was the proximate cause of death, and enforced the exclusion. This case demonstrates that DUI-related denials are difficult to challenge when impairment is well-documented.
$300,000 Plane Crash Death Denied—Hazardous Activity Exclusion Applies
After a man died in a private plane crash, Americo denied the $300,000 claim, arguing that flying without a valid license constituted a hazardous activity. The court granted Americo’s motion for summary judgment, finding that unlicensed flying fell squarely within the policy’s exclusion. Insurers frequently include exclusions for high-risk activities, and courts will often enforce them when terms are clearly defined and applicable.
What These Americo Claim Denials Reveal
Americo, like many life insurers, frequently denies claims based on the following:
Contestability clause within the first two policy years
Material misrepresentation of medical history, lifestyle, or substance use
Exclusions for suicide, intoxication, or hazardous activities
Drug or alcohol-related deaths, especially when tied to accidents or overdose
Alleged fraud, often involving failure to disclose prior diagnoses or risky behaviors
However, courts don’t always side with the insurer. Many of the denials are reversed or allowed to proceed to trial when there is a factual dispute or insufficient evidence of fraud or intent. That’s where experienced legal representation can make the difference.
How Our Life Insurance Lawyers Fight Americo Denials
If your Americo life insurance claim was denied, we can help. Our firm knows how to:
Challenge denials under contestability clauses, especially when the alleged misrepresentation wasn’t intentional
Investigate the insurer’s underwriting process and whether the policy would have still been issued
Review toxicology and medical reports to dispute cause of death claims
Evaluate whether exclusions were applied fairly or in bad faith
We’ve successfully resolved complex cases and secured substantial recoveries even after initial denials.
FAQ
Can Americo deny a claim after two years based on misrepresentation?
Not unless they can prove intentional fraud. The contestability period typically limits the insurer’s right to deny based on application misstatements after two years.
What if my loved one had drugs or alcohol in their system?
Americo must prove that the impairment directly caused the death. Courts often require strong evidence to enforce such exclusions.
Are hazardous activity exclusions enforceable?
Yes, but only if the activity clearly fits the policy’s definition and the exclusion is unambiguous. These often include skydiving, racing, piloting aircraft, or mountaineering.
Is suicide always excluded from life insurance?
Only if it occurs within the first two years of the policy. After that, most policies cover suicide unless specifically excluded.