Reasons Life Insurance Claims Are Denied
When an insurance company denies a life insurance claim, it is important to first understand why the claim was denied. There are several reasons an insurance company may reject a claim, and not all of them are justified. Some common reasons for denials include a failure to pay premiums, a misstatement on the insurance application, or claims filed after the policyholder’s death during a contestability period. The contestability period is a time frame, usually two years from the start of the policy, during which the insurer can investigate the circumstances of the policyholder’s death. If the insurance company believes there has been a misrepresentation or fraud in the application, they may contest the claim and refuse to pay out. However, after the contestability period ends, the insurer can only deny the claim for fraud or other specific reasons. If the claim was denied due to an apparent error or misunderstanding, there may be steps you can take to appeal or contest the decision. Understanding the reason for the denial will help guide the next steps in addressing the issue.Understanding the Denial Letter
The insurance company will typically send a denial letter explaining the reasons for rejecting the claim. This letter will outline the specific grounds for denial and may include references to the policy’s terms and conditions. It is crucial for beneficiaries to carefully review this letter, as it may contain important information regarding the claim and their options for appealing the decision.
Your Rights as a Beneficiary
As a beneficiary in New York, you have certain rights when contesting a life insurance denial. The first thing you should know is that you are entitled to a full and fair review of the claim denial. If you believe the denial was made in error, you can challenge the decision by appealing the denial. Insurers are required to provide an appeal process, and it is important that you follow the correct procedures when filing an appeal. The process for contesting a life insurance denial typically involves submitting additional evidence or documentation to support your case. This could include medical records, statements from witnesses, or other relevant information that may not have been considered during the initial review. The insurer is obligated to review your appeal and respond within a reasonable timeframe. In some cases, it may be helpful to work with a lawyer who can assist with gathering evidence and preparing your appeal. Contesting a life insurance denial can be a complicated process, and having professional support may increase your chances of success.
We contacted Trief & Olk to help us with a life insurance issue and Shelly Friedland was the attorney assigned to our case. Before Shelly took our case she explained to us that the likelihood of our success without going to court was possible but not likely. Unfortunately we did not get the outcome we had hoped for but it was our decision to not move forward and have our case litigated. Shelly is very knowledgeable and was very straight-forward in her assessment of our case as we moved forward. She was very patient and thorough in answering our questions. She always responded in a timely manner and listened to our concerns. We would certainly recommend Shelly and would use her firm again in the future.”
- John Ramig
If there is any possibility of winning your life insurance case – this is the place to do it for you. They are efficient, honest and will achieve the best possible outcome.
Shelly Friedland worked on my case where a life insurance policy had lapsed and was even a few days beyond the grace period. Farmers had rejected my claim twice and was unwilling to take a second look. Shelly was able to get them to pay the entire claim without going to court, and the full amount was deposited in my account within a couple months. Highest recommendation.”
- Kathleen Brown
Trief & Olk is a superior law firm. Their attorneys and other legal professionals have a brilliant understanding of the law and the litigation process. They diligently perform their work in an efficient, strategic and cost-effective manner to ensure the best possible outcomes for their clients.
- Christopher Hughes