Life Insurance and Accidental Death

It only takes a second to lose a life as a result of an unintentional fall, motor vehicle traffic accident, or overdose. According to the CDC, there are hundreds of thousands of unintentional deaths in the United States per year.

Each death leaves a hole in the hearts of family and friends. The emotional and financial consequences of that loss can be devastating to a family. Your loved one purchased life insurance to provide financial protection and peace of mind for you, your children, and other family members. 

Without the life insurance benefits, you might not be able to pay for the funeral, care for yourself, and provide your children with food and shelter. That is wrong.

The Nine Reasons Life Insurance Carriers Rob You of Your Peace of Mind

Life insurance companies are in the business of collecting life insurance premium dollars. They are not in the business of paying death benefits. Life insurance companies operate based on the golden rule. It isn’t the golden rule you were taught by your parents and taught your family. The life insurance company collects the premium gold and rules that the beneficiary of the life insurance policy isn’t entitled to life insurance benefits.

There are nine reasons life insurance companies refuse to pay and deny life insurance claims:

1. The policyholder lied on the life insurance application and made a material misrepresentation.
2. The policyholder didn’t pay the premium or missed a payment, so there is no coverage.
3. The death occurred during the first two policy years, so there is no coverage.
4. The life insurance company disputes the cause of death.
5. The life insurance company claims that the reason for the death is a suicide, which is excluded from coverage.
6. The life insurance company claims that the reason for the death is a homicide while the policyholder was committing a crime, which is excluded from coverage.
7. The life insurance company claims that the policyholder’s overdose was intentional, which is excluded from coverage.
8. The life insurance company claims that the reason for death was driving while intoxicated, which is excluded from coverage.
9. The life insurance policy has a catch-all exclusion clause that covers everything and the kitchen sink.

Sound familiar?

Do Life Insurance Companies Pay Life Insurance Benefits?

Worse yet, many life insurance companies delay making a decision just when you need financial help. They will ask for more and more information, hoping you will just give up. They will stall and delay as long as they can.

Life insurance companies have a game plan to delay and deny based on each of these nine reasons.
For example, the life insurance carrier may claim the death is due to suicide. That is hard to prove, so they may ask if there was a suicide note, ask to interview family, friends, and co-workers, and demand medical records. They are looking for any reason to support any way to deny the claim.

What You Should Do if Your Life Insurance Claim Is Delayed or Denied

Life insurance companies are more responsive when you are represented. They pay attention because they know they can be sued. They hope you will spin your wheels and try to handle the claim by yourself, waiting for you to make a mistake or give up.

When they finally make a decision and deny the claim, you normally have five years to file a lawsuit against the life insurance carrier before the claim is barred by the statute of limitations. Waiting too long to hire an attorney can destroy even the best of claims.

Sometimes, you have to file an appeal and exhaust your administrative remedies before you file suit. If you don’t file an appeal timely or don’t file an appeal at all, you may not be able to file a lawsuit.

There are many traps and innocent mistakes you can make. Don’t delay – call the Law Office of Nancy L. Cavey for a free consultation to learn how you can get the life insurance benefits you and your family deserve. Don’t let the life insurance carrier wrongfully delay and / or deny your claim. Call 727-894-3188 today.

How Do We Get Paid?

It is simple. If we don’t get you benefits, we don’t get paid. We work on a contingency basis. No recovery, no fee. Our fee is competitive and always in writing.