Life Insurance Claim Denials: How to Deal With It

When you lose a loved one or someone in the family, everything seems to be falling down on you. Death in the family is something that’s very difficult to deal with, and it really becomes worst when you hear the news that the life insurance company is refusing to pay the life insurance benefits. In this article, we’ll help you understand and learn your options on taking to dispute life insurance claim denials. Remember, you can’t just give up once the insurance company bails out on you and your family. If the scenarios favor you, learn to fight back.

Why Is the Claim Denied?

You know by now that every claim for benefits under this kind of policy will be thoroughly and extensively reviewed and examined. Accordingly, there will always be a possibility that some of them won’t be paid out. The question is why? What’s the reason for a claim to be denied? Generally speaking, there are four main reasons. These are:

– When fraud is committed by either the beneficiary or the insured.

– If there is non-payment of premiums.

– The cause of death is categorized within a named exclusion on the policy.

– There is material misrepresentation by the insured on the application form.

In the event that the life insurance claim is denied, the company usually states that if the facts about the insured individual were known during the application, the policy wouldn’t have been issued and released in the first place. For the insurer’s perspective, even if any omission or misstatement is irrelevant to the death of the insured, the claim still won’t be paid if the application or any part of it is inaccurate. Read http://money.cnn.com/magazines/moneymag/money101/lesson20/ for some insurance tips.

How You Should Dispute a Claim Denial

In most instances, the reason of the life insurance claim denial is straightforward and clear. It usually involves the inability to uphold what was agreed upon in the contract, which eventually results to the contract being rendered void. But there are also instances when the facts of the case may be disputed. So if you think the claim was denied because of some error, you do have to fight for your right.

The first and most rational thing to do is speak to an individual at the insurance company. Your conversation must be focused on why the claim was denied. It is within your right to ask for details, clarifications, and all the specifics. You can then request for a certified copy of the insurance policy. This will come in handy while you study all the angles.

Upon reading and reviewing the policy, you realize that the denial was still made in error; this is the time when you build your case. Of course, you need all the necessary paperwork, receipts of payments made, medical records, death certificate, and all you could think about that can contribute in the case.

Finally, you will have to consult with life insurance attorneys to handle the case for you. Keep in mind that you are taking on a giant in the form of an established insurance company. So the only way you get the chance to dispute a life insurance claim denial and be successful is if you have the right people to help you out.

Life Insurance Claims Denials

Your life insurance claims may be rejected by life insurance carriers for several reasons. One of the reason that an insurer can decide to decline a claim for benefits is the failure  to pay life insurance premiums. Aside from this, if you are not listed as one of the beneficiaries of the policy, the insurance carrier may not grant your proceeds. Perhaps, the terms and conditions of the policy may not cover the cause of death of the policy holder. However, you should also remember that there are cases that are related to corporate greed or fraud which may lead to the denial of insurance claims. You have the right ti dispute the denial of your claim if you believe that the rejection of your claims is unjust and unreasonable or deem yourself as a victim of potential fraud.

Acquaint yourself with the terms and conditions of the policy and put all life insurance policy documents in order. Tag all proof of payment with approval from your life insurance lawyer to the insurance company and any paper work that attests your communications with the insurance company. Then, have a word with the supervisor of the adjuster who actually rejected your claim by contacting the insurance provider. Ask for a compelling explanation for the denial with what you believe that the denial of your claim was done without good reason. Resend any required documents such as notarized copy of the policyholder’s death certificate to the company. Request for the certified copy of the policy if you are still at odds with rejection of the policy.

Ask them that your claim must be reviewed by a life insurance attorney by sending them a letter that states your reasons that you believe why the rejection was incongruously made. Any important copies of paper that can help support your claim must be attached. To see if your claim been, wait for 10 working days before you get in touch with the insurance carriers, proceed to another option if not. In your state where your life insurance policy was issued, you should make a call or pay a visit to the Department of Insurance or Insurance Commission.

To have the unseemly insurance claim rejection investigated, submit a completed form. In order to dispute an unreasonable insurance decision on most Department of Insurance website, you can download the form or you may ask the form by contacting the department. Moreover, necessary information like the claim number, the type of claim, policy number, name of the insurance company and a brief statement of your problem and recommended worktable solutions should be indicated. Lastly, Along with your supporting documents, policy information and correspondence to examine the claim, file the complaint of improper denial to the Department of Insurance. View http://finance.wikia.com/wiki/Mortgage_Life_Insurance to know more about life insurance.

Hiring an Insurance Attorney

Insurance attorneys work as legal representatives on their clients’ behalf. The lawyer would be handling any unique case in insurance through helping in the investigation of the insurance cases. The insurance policies would have a continuous change in today’s modern society, making those lawyers study the latest changes with the insurance laws. Typical insurance include health insurance, mortgage insurance, home insurance and car insurance. It’s possible to look for a lawyer that has the knowledge and skills in various areas of the insurance law.

Companies and individuals find themselves in some cases that involve insurance claims as well as other cases which need an attorney. When a person or certain company will hire an attorney, the lawyer’s work would be to gather and decode information, communicate with the judges as well as work on time when representing the case in court to their client’s behalf. It implies that the attorney would take over those legal battles if an issue has occurred in between their client and a certain insurance company. Check out https://www.youtube.com/watch?v=er9THwC0dc4 for a video about insurance.

In addition, the there’s an insurance claim conflict, it would be recommended to consult life insurance attorneys. Insurance lawyers learned about the insurance laws for numerous years and they have incredible experience. The initial thing that an attorney would do when representing their client would be to gather the evidence. For instance, when a house was burnt down as well as the insurance company denied to compensate an individual because several claims seemed not valid, the person would have the right of hiring an attorney that would employ aides in order to help in the investigation. Those information needed would be how that fire began and what or who caused it. Well, this would need lots of work when trying to gather information which would hold this case in the court. An excellent way for an attorney to be successful in this case is to have adequate evidences and to bring witnesses at the court.

Since there are a lot of kinds of insurance, it would be advisable to choose the one which specializes in the area that you’re having problems with. For an instance, hiring life insurance lawyers would be much better than hiring a car insurance lawyer when your problem is your life insurance claims. This can guarantee that the lawyer is knowledgeable about the laws which a certain kind of insurance has. It would save you more time and money when the lawyer can carry out the task efficiently and on time.