Life Insurance Lawyer Alabama

Denied Life Insurance Claim in Alabama? You’re Not Alone.


Life insurance companies wrongfully deny claims every day, leaving families struggling during one of the hardest times in their lives. If you have a denied life insurance claim in Alabama, The Lassen Law Firm is ready to help you fight back and recover the benefits to which you’re entitled.

In Alabama, life insurance beneficiary disputes can occur when there are last-minute changes to a policy, conflicting claims, or questions about legal entitlement. If you’re involved in a life insurance beneficiary dispute in Alabama, The Lassen Law Firm is ready to represent your interests and fight for the benefits you’re entitled to.

In Alabama, insurers often respond to contested beneficiary claims by filing an interpleader action in Alabama, asking the court to decide who should receive the life insurance proceeds.

Trusted Life Insurance Lawyers Alabama: The Lassen Law Firm.

When it comes to life insurance claims, navigating the legal landscape can be overwhelming—especially in Alabama. That’s where The Lassen Law Firm steps in. As dedicated life insurance attorneys serving clients across all 50 states, we’ve built a reputation for securing justice and results. With hundreds of millions in policies recovered, we fight tirelessly to ensure our clients receive the benefits they deserve.

Whether you're located in Birmingham, Montgomery, Mobile, or anywhere else in Alabama, The Lassen Law Firm is here to help. Our team understands the intricacies of life insurance law, from denied claims to bad faith insurance practices. At The Lassen Law Firm, you’re not just another case—you’re our priority. Call now for a free consultation to see if we can help you recover your life insurance benefits. No obligation.

Unlike other firms, The Lassen Law Firm exclusively handles denied life insurance claims. With 24 years of experience in this niche, we are recognized as top experts in the field. Our lawyers have earned prestigious awards, including membership in the Multi-Million Dollar Advocates Forum and a 10.0 rating on AVVO. No other firm offers the same level of dedication and expertise in denied life insurance cases.

Denied Life Insurance Claim in Alabama? We Can Help

If you are facing a denied life insurance claim in Alabama, you are not alone. Insurance companies deny claims more often than most people realize, sometimes for reasons that are unfair or even unlawful. Our Alabama life insurance attorneys are here to guide you through this challenging time and fight for the benefits you deserve. Whether your denial stems from an alleged misrepresentation, policy lapse, or a disputed beneficiary designation, we have the experience to help you recover what is rightfully yours.

Life insurance should provide peace of mind. When insurers act in bad faith or delay paying claims, they betray the trust of policyholders and their families. If you received a denial letter or your claim is being delayed without explanation, it is critical to seek experienced legal help right away. We offer free consultations and only charge a fee if we recover benefits on your behalf.

Common Reasons Life Insurance Claims Are Denied in Alabama

Insurance companies rely on a range of reasons to justify denying life insurance claims in Alabama. Some of the most frequent issues we see include:

  • Application Misrepresentation: If the insured person omitted or misstated information about their medical history, lifestyle, or employment status, the insurer might claim the policy is invalid.

  • Nonpayment of Premiums: Missing premium payments can cause a policy to lapse, but insurers sometimes claim nonpayment even when payments were made or notices were mishandled.

  • Contestability Period Investigations: If the insured passes away within the first two years of the policy, insurers often scrutinize the application for any possible grounds to rescind the policy.

  • Policy Exclusions: Deaths resulting from suicide, dangerous activities like skydiving, or involvement in criminal activity may be excluded from coverage.

  • Beneficiary Disputes: When multiple individuals claim the right to life insurance proceeds or allege fraud in beneficiary changes, insurers may delay or deny payment pending litigation.

  • Employer Errors in Group Life Insurance: With group coverage, employers sometimes fail to enroll employees correctly or mishandle premium deductions, leading to wrongful denials.

  • Suspicious Death Investigations: When a death is considered suspicious or involves a homicide, insurers may delay claims significantly while they await the outcome of law enforcement investigations.

Regardless of the insurer’s stated reason for denial, you should never accept it at face value without first consulting a skilled life insurance attorney.

Understanding the Alabama Life Insurance Contestability Period

Most life insurance policies issued in Alabama include a two-year contestability period. During this time, the insurer can investigate and deny claims if they discover material misrepresentations in the application process. After the two-year mark passes, however, the insurer generally loses the ability to rescind coverage except in cases of fraud.

Even during the contestability period, insurers cannot simply deny a claim over trivial or unrelated mistakes. Alabama law requires that a misstatement must be material — meaning it must have influenced the insurer’s decision to issue the policy — to justify rescission.

If your claim is denied based on a contestability investigation, a knowledgeable Alabama life insurance lawyer can help you challenge the denial and assert your rights.

What to Do After a Life Insurance Claim Denial in Alabama

If you receive notice that a life insurance claim has been denied, it’s important to act quickly and strategically:

  • Review the denial letter carefully to understand the stated reason for denial.

  • Obtain a full copy of the insurance policy and any application materials.

  • Preserve all correspondence between you and the insurance company.

  • Avoid making additional statements to the insurer without first consulting an attorney.

  • Contact an experienced life insurance attorney in Alabama for a free review of your case.

The sooner you act, the better your chances of overturning a wrongful denial and recovering the benefits you are entitled to.

How Our Alabama Life Insurance Attorneys Can Assist You

We specialize in helping beneficiaries navigate complex life insurance disputes and fight back against wrongful denials. Our Alabama life insurance attorneys can assist you by:

  • Conducting a comprehensive review of the policy, application, and denial letter.

  • Gathering evidence to refute the insurer’s reasons for denial.

  • Filing administrative appeals where required under ERISA (for employer-provided group policies).

  • Negotiating directly with insurers to reach favorable settlements.

  • Filing lawsuits in Alabama courts when necessary to compel payment.

  • Pursuing bad faith damages if the insurer acted unfairly or unlawfully.

Our goal is simple: to recover every dollar you are entitled to as quickly and efficiently as possible. We understand the emotional and financial strain a denied life insurance claim can cause, and we are committed to guiding you every step of the way.

Alabama Denied Life Insurance Claims: Answers to Common QuestionS

What should I do if my life insurance claim in Alabama was denied?

If your life insurance claim in Alabama was denied, you should contact an experienced Alabama life insurance attorney right away. For example, if your claim was denied over an alleged missed payment, legal intervention can often prove the policy was still in force.

What should I do if I was served with a life insurance interpleader lawsuit in Alabama?

If you were served with a life insurance interpleader lawsuit in Alabama, you should not try to handle it on your own. For instance, if multiple family members are named as potential beneficiaries, an attorney will defend your claim and make sure your rights are protected.

What should I do if I’m involved in a life insurance beneficiary dispute in Alabama?

If you are involved in a beneficiary dispute in Alabama, you should seek legal help immediately. For example, if a sibling or former spouse claims a last-minute beneficiary change, we work to challenge suspicious designations and protect your rightful share.

Why would an accidental death and dismemberment claim be denied in Alabama?

An accidental death and dismemberment claim may be denied if the insurer argues the death was not truly accidental. For instance, if an insurer claims a fall was due to a medical event rather than an accident, we bring in experts to refute their conclusions.

Can a policy lapse be a valid reason for denying a claim in Alabama?

A policy lapse can be a reason for denial, but it is often successfully challenged. For example, if an insurer failed to send proper late-payment notices, the policy may still be enforceable even after missed premiums.

Is misrepresentation on an application a valid reason to deny a claim in Alabama?

Misrepresentation can be a reason to deny a claim, but only if it was material and intentional. For instance, if a policyholder misstated their weight but died in an accident, the misstatement likely would not justify denial.

Can an alcohol exclusion be used to deny a life insurance claim in Alabama?

An alcohol exclusion can be used to deny a life insurance claim if the exclusion is clear and applicable. For example, if the insured had alcohol in their system but death was caused by an unrelated accident, the exclusion may not apply.

What should I do about a bad faith ERISA life insurance denial in Alabama?

If your ERISA life insurance claim was denied, you must act quickly because ERISA limits you to one appeal. For example, if the insurer claims missing paperwork without basis, we can build a strong appeal challenging their bad faith tactics.

What if my life insurance claim was denied during the contestability period in Alabama?

If your claim was denied during the contestability period, the insurer must show a material misrepresentation. For instance, misstating a minor health condition unrelated to the cause of death should not be grounds for denial.

What if the insurer cites Alabama law to justify the denial?

If an insurer cites Alabama law to justify denial, we carefully review whether they applied the law correctly. For example, insurers sometimes misinterpret divorce laws affecting beneficiary designations, and we challenge these errors.

Which life insurance companies deny the most claims in Alabama?

Liberty National and Globe Life are among the companies known for frequent denials in Alabama. For instance, we have seen Globe Life deny claims for technicalities that are later overturned in favor of beneficiaries.

Does Alabama have a law that removes ex-spouses as beneficiaries after divorce?

Yes, Alabama law generally revokes an ex-spouse’s beneficiary rights after divorce unless reaffirmed. For example, if a divorce decree is silent but the policyholder updated the beneficiary after divorce, the ex-spouse may still recover benefits.

Is Alabama a community property state, and does that affect life insurance benefits?

No, Alabama is not a community property state. However, if marital funds paid premiums, a surviving spouse might have a partial claim. For instance, a spouse could claim proceeds even if not named as a direct beneficiary in some cases.

Can a will override a life insurance beneficiary in Alabama?

A will cannot override a life insurance beneficiary in Alabama. For example, even if a will leaves all property to a child, the life insurance proceeds must go to the person named in the policy unless fraud is proven.

What happens if the insured died while overseas?

If the insured died overseas, the life insurance claim is still usually valid unless foreign deaths are specifically excluded. For example, if a U.S. citizen died while vacationing in Europe, the claim should still be honored.

Can I challenge a sudden beneficiary change made before the insured’s death?

Yes, you can challenge a sudden beneficiary change if there is evidence of undue influence. For example, if an elderly person changed beneficiaries shortly before death under suspicious circumstances, we can contest the change in court.

What if the insurer is delaying payment without a clear reason?

If an insurer delays payment without a legitimate reason, it may constitute bad faith. For instance, if the insurer repeatedly asks for already submitted documents, we can sue for breach of contract and seek additional damages.

Can insurers deny an accidental death claim by saying it was a natural cause?

Yes, insurers may argue death was from natural causes to deny an accidental death claim. For example, they might claim a car crash was caused by a heart attack, and we fight back by presenting independent medical evidence.

What if the life insurance agent made an error on the application?

If a life insurance agent made an error, the insurer may still be liable. For instance, if the agent entered the wrong occupation code, but the applicant provided accurate information, the insurer cannot blame the policyholder.

Can I sue for bad faith if my claim was wrongfully denied in Alabama?

Yes, you can sue for bad faith in Alabama if your claim was wrongfully denied. For example, if an insurer denied your claim without investigating properly, you may recover both the benefit and punitive damages.

Can suicide exclusions be contested in Alabama?

Yes, suicide exclusions can be contested, especially if the exclusion period expired. For instance, if the policy was in force for three years but the insurer tries to apply a two-year suicide clause, we can challenge it.

Do employer-sponsored life insurance policies in Alabama fall under ERISA?

Most employer-sponsored policies in Alabama fall under ERISA. For example, if your group life insurance through your employer is denied, the appeal must meet strict ERISA requirements that our firm handles routinely.

What happens if the insured failed to disclose a health condition?

If the insured omitted a health condition but died from an unrelated cause, the claim should still be paid. For example, failing to disclose mild asthma should not affect a payout for a fatal car accident.

What if there is no named beneficiary on the life insurance policy?

If no beneficiary is named, the proceeds typically go to the insured’s estate. For example, if the insured named no one and had no will, the money may be distributed under Alabama intestacy laws.

Can a questionable or forged beneficiary form be challenged?

Yes, suspicious beneficiary forms can be challenged in Alabama courts. For instance, if a signature looks different from the insured’s prior documents, we can investigate and contest the change.

Do Alabama insurers have to provide notice before canceling a policy?

Yes, insurers must provide proper notice before canceling a policy. For example, if a late premium notice was never mailed, the insurer may lose the right to deny the claim for lapse.

What if the policy was obtained through an Alabama labor union or professional association?

Policies from unions or associations often have unique rules. For instance, coverage under a teacher’s union policy might require special administrative appeals before litigation, which we handle for clients.

Can I receive part of the benefit if I’m a co-beneficiary?

Yes, co-beneficiaries are entitled to their stated shares of the benefit. For example, if two siblings are co-beneficiaries, each typically receives half unless the policy says otherwise.

What happens if the insured disappeared and was later declared dead?

If the insured disappeared and was declared legally dead, a claim can be made. For example, Alabama courts may issue a death declaration after five years of unexplained absence, allowing the claim to proceed.

Can I reopen a denied claim in Alabama?

Yes, many denied claims can be reopened with new evidence. For example, if a denial was based on missing documents that have since been found, we can file a new claim or lawsuit.

Are life insurance benefits protected from creditors in Alabama?

Life insurance benefits are protected from creditors if paid to a living beneficiary. For instance, if the payout goes directly to a spouse or child, creditors generally cannot touch those proceeds.

What if the policy language is ambiguous?

If policy language is ambiguous, Alabama courts typically favor the insured or beneficiary. For example, if a term like "accidental death" is not clearly defined, we argue it must be interpreted in your favor.

What if the insurer says the policy lapsed but no notice was received?

If the insurer claims lapse without proper notice, we can challenge the denial. For example, if the insurer mailed the notice to an old address they failed to update, the lapse may not be valid.

Can a minor named as a life insurance beneficiary receive the funds?

A minor cannot receive life insurance proceeds directly. For instance, if a child is named as the beneficiary, the court may require a guardianship or custodial account to manage the funds.

What if someone else claims the insured promised them the benefit?

Verbal promises usually do not override written beneficiary designations. For example, if a friend claims the insured "intended" to name them but never changed the paperwork, the court will enforce the written designation.

Can a claim be denied because the death occurred during a crime or illegal act?

Some policies exclude deaths that occur during criminal acts. For instance, if the insured died during a felony, the insurer might deny the claim, but exclusions must be clear and proven, which we often challenge.

How long do I have to challenge a denial in Alabama?

Deadlines vary depending on the type of policy. For example, ERISA claims often have a 180-day appeal window, while private policies may allow several years, but it is critical to act quickly after denial.

2025 Alabama Denied Life Insurance Claims: Settlements and verdictS

Below are examples of Alabama life insurance claims successfully resolved.

  • USAA denied life insurance claim $31,000.00
  • Ohio National heart attack vs fall $110,000.00
  • COVID-19 claim exclusion claimed $102,500.00
  • Choice Mutual felony exclusion $50,000.00
  • Denied SGLI claim change beneficiary $403,250.00
  • Legal & General prescription drug $103,300.00
  • South Farm Bureau dispute $139,000.00
  • Globe Life misrepresentation case $102.000.00
  • Denied FEGLI claim resolved $400,000.00
  • United Home Life drug exclusion $74,000.00
  • Nassau RE suicide suspicious death $48,000.00
  • Fidelity Life contestable period $25,000.00
  • Denied AD&D claim Alabama won $500,000.00
  • Global Atlantic heath record cancer $25,000.00
  • Resolution wouldn't pay client $75,000.00
  • Stonebridge van accident death drugs $88,000.00
  • Kemper Life house fire death exclusion $50,000.00
  • Oxford Life felony exclusion due to crime $51.000.00
  • American Enterprise sickness exclusion $28,000.00
  • Life denial of benefits COVID $104,300.00
  • Alabama denied life insurance claim health reasons $329,000.00
  • Transamerica Life Insurance beneficiary contest $500,000.00
  • Gerber Life Insurance Denial misrepresentation $308,422.00
  • Denied FEGLI claim resolved by us quickly $258,000.00
  • New York Life Insurance Denied suicide exclusion $104,000.00
  • American General Life beneficiary dispute ex-spouse $500,000.00
  • Montgomery interpleader lawsuit won by our firm $305,000.00
  • AARP Life Insurance delay due to medical records $250,000.00
  • Prudential Life Insurance felony exclusion resolved $300,000.00
  • Denied SGLI claim that we resolved in a week $405,200.00
  • Alabama interpleader life insurance claim $750,000.00
  • SGLI claim resolved the beneficiary dispute $400,000.00
  • Decatur no coverage at the time of death $630,000.00
  • ERISA life insurance appeal won by our law firm $143,000.00
  • Denied AD&D claim from drowning in pool $531,000.00
  • Hoover ambiguous language of the policy won $762,000.00
  • Birmingham life insurance exclusion resolved $825,000
  • Alabama denied life insurance claim $1,050,000.00
  • Transamerica Life Insurance accidental death $150,000.00
  • VGLI claim resolved by our firm $400,000.00
  • Tuscaloosa bad faith life insurance $745,000.00
  • Huntsville when life insurance claims denied $883,000.00
  • Globe Life Insurance beneficiary change $400,000.00
  • Dothan illegal activity exclusion won by us $839,000.00
  • Primerica Life insurance exclusions $100,000.00
  • Met Life prescription drug exclusion $750,000.00
  • Colonial Penn Life divorce denial/dispute $200,000.00
  • Mobile competing beneficiaries resolved $700,000.00
  • Alabama bad faith life insurance claim $893,000.00
  • TSGLI appeal which was won quickly
  • AAA Life Insurance Autoerotic asphyxiation $105,000.00
  • SGLI dispute between beneficiaries $400,000.00
  • Alabama ERISA life insurance claim $214,000.00
  • Denied life insurance claim Alabama $830,000.00
  • Alabama divorce and life insurance $600,000.00
  • MetLife denied life insurance claim fraud $300,000.00
  • FEGLI denied life insurance claim $107,000.00
  • Auburn life insurance denial attorney $328,000.00
  • Senior Life self-inflicted injury denial $100,000.00
  • Guardian Life delay medical records $90,000.00
  • Global exclusion overcome by us $100,000.00
  • AIG interpleader between brothers $300,000.00
  • Pruco autoerotic asphyxiation claim $200,000.00

Every denied claim is unique. In Alabama, we know how to maximize your chance of recovering the full life insurance payout.

Legal References – Alabama

  • Alabama Contestability Clause Law: Under Ala. Code § 27-15-4, life insurance policies in Alabama become incontestable after two years, except for nonpayment of premiums. During the contestability period, insurers may deny claims based on material misrepresentations in the application.

  • Automatic Revocation of Ex-Spouse Beneficiaries: Alabama law revokes a former spouse’s right to life insurance benefits upon divorce under Ala. Code § 30-4-17, unless the policy was reaffirmed after the divorce or explicitly intended to benefit the ex-spouse regardless of marital status.

  • Community Property Laws: Alabama is not a community property state. A surviving spouse is not automatically entitled to life insurance proceeds unless named as a beneficiary or protected by a marital agreement, divorce decree, or court order.

  • ERISA & Group Policies: Employer-provided life insurance policies governed by ERISA (Employee Retirement Income Security Act of 1974) may preempt Alabama law, especially in cases involving beneficiary disputes or spousal rights.

For more information on insurance regulations and consumer protections in Alabama, you can visit the Alabama Department of Insurance or explore nationwide insurance resources through the National Association of Insurance Commissioners (NAIC).

The Lassen Law Firm is a national practice focused exclusively on life insurance litigation. Founded by Christian Lassen, Esq., the firm has recovered hundreds of millions for clients in all 50 states. All website content is written or reviewed by Mr. Lassen personally to ensure accuracy and authority.