When a life insurance claim is denied, many beneficiaries that have received such news may shy away from any follow up action. However, similar to any other type of contract, the parties involved generally have some form of legal recourse if things don’t go as they might have hoped. The unique relationship between parties involved in a life insurance policy exists because the beneficiary to the contract actually holds some rights, even though the beneficiary did not necessarily contribute or sign on as a party to the original contract. With that in mind, if you are the beneficiary to a life insurance policy and have recently been denied a claim, know that you do have options to pursue a payout that you believe is rightfully yours.
For starters, attempting to resolve a matter with the insurance provider without lawyers involved can be both cost effective and somewhat ill-advised. As you may know, lawyers tend to cost a decent amount if they have to get involved. For this reason, many individuals will attempt to resolve matters without the assistance of an attorney. Sometimes this works out, but do know that the insurance provider will likely have lawyers on their side to help with any issues that may arise. Additionally, any concessions or statements you might make during the course of negotiations could be used against you at a later point in time. For these reasons, be sure to weigh your options carefully as you move forward.
Once you have decided whether legal assistance is necessary or not, you are free to decide which legal path you may want to proceed down. You can progress with an in-house appeals process with the insurance provider themselves. This is usually done by filling out their forms and submitting for consideration. The process is not likely to go in your favor as the appeals department will have the same interests at heart as the team that made the original denial decision. If you choose to have lawyers involved, they can get involved and seek to reach a settlement of some sort without having to litigate.
If an out of court process, such as mediation or simple negotiation, does not result in a solution for both sides, it is very possible that an experienced legal team will know whether you should pursue litigation or not.
The process for litigation of any legal matter can be very time consuming and costly. If you decide you would like to go this route, be sure you are ready to commit to the case over the long haul. It is not unheard of for a case to take well over a year. In addition, be sure to sort through various legal team options. Some teams can offer discount rates, while others may charge more based on their win rates and experience. Whatever the situation is, make sure you weigh your options and select an attorney that works best for your unique scenario. As always, feel free to contact our office to see if your case is something we can help you with.
If you have a delayed or denied life insurance claim, our life insurance attorneys will get you the full amount of the policy.