Our top life insurance law firm is pleased to announce the successful resolution to a denied New York Life Insurance claim.
Life insurance claims can be denied for various reasons, typically falling into four main categories: policy exclusions, misrepresentation or fraud, non-disclosure of relevant information, and contestability period issues.
Firstly, policy exclusions can lead to claim denials. Insurance policies often contain specific exclusions detailing scenarios in which the policy will not pay out. These exclusions could include death resulting from certain activities such as extreme sports or illegal actions. If the cause of death falls under one of these exclusions, the claim may be denied.
Secondly, misrepresentation or fraud can result in a denied claim. When applying for life insurance, applicants are required to provide accurate information about their health, lifestyle, and other relevant factors. If it's discovered that the insured provided false information or withheld important details to obtain a lower premium or coverage, the insurer may deny the claim. This could include failure to disclose pre-existing medical conditions or participation in high-risk activities.
Thirdly, non-disclosure of relevant information is another common reason for denied claims. Even if the insured did not intentionally misrepresent information, failure to disclose relevant details can lead to claim denial. For instance, if the insured had a medical condition that they were aware of but did not disclose it on the application, and that condition contributed to their death, the insurer might deny the claim.
Lastly, contestability period issues can result in claim denials. Most life insurance policies have a contestability period, typically the first two years after the policy goes into effect, during which the insurer can investigate and deny claims based on material misrepresentations or omissions. If the insured passes away during this period and the insurer discovers any discrepancies in the application that could affect the issuance of the policy, they may deny the claim after investigation.
In summary, life insurance claims may be denied for several reasons, including policy exclusions, misrepresentation or fraud during the application process, non-disclosure of relevant information, and issues arising during the contestability period. It's essential for policyholders to be transparent and accurate when applying for life insurance to avoid potential claim denials in the future.
Our life insurance lawyers can fight any denied life insurance claim and win.