Delayed Life Insurance Claim Fact Sheet
Christian Lassen, Esq. | Quoted in The Wall Street Journal | 25 Years Experience Helping beneficiaries nationwide resolve delayed life insurance claims.
What Is a Delayed Life Insurance Claim?
A delayed claim occurs when an insurance company fails to pay benefits within a reasonable time. While insurers may request documentation or investigate circumstances, many delays are unnecessary and designed to discourage beneficiaries from pursuing payment.
Common Reasons for Delay
- Contestability investigations: Claims filed within the first two years are often slowed by medical record reviews.
- Excessive documentation requests: Insurers repeatedly ask for death certificates, medical files, or forms already provided.
- Cause of death disputes: Allegations of suicide, overdose, or suspicious circumstances can stall payment.
- Beneficiary contests: Conflicting claims between family members or ex‑spouses.
- Employer errors: Mistakes in group life insurance (ERISA) policies.
- International deaths: Claims involving deaths overseas often face additional scrutiny.
- Stalling tactics: Insurers delay to pressure families into accepting reduced settlements.
- What To Do If Your Claim Is Delayed
- Request a written explanation insurers must explain the reason for delay.
- Collect all documents policy, death certificate, correspondence, and medical records.
- Avoid endless document submissions ask why additional materials are necessary.
- Consult an attorney immediately legal pressure often compels insurers to act.
- Act quickly delays beyond 30–60 days may violate state law and weaken your case.
Your Legal Rights
- State laws: Require insurers to process valid claims promptly. Unreasonable delays may constitute bad faith.
- Federal law (ERISA): Governs employer‑provided coverage, with strict timelines for claim handling.
- Court remedies: Beneficiaries can sue for breach of contract or bad faith, potentially recovering extra damages.
Case Example
We recently helped a beneficiary recover a $500,000 payout after the insurer delayed payment for nearly a year, falsely claiming more documentation was needed. With legal intervention, the claim was paid within 30 days.
Frequently Asked Questions
Q: How long should a life insurance claim take?
A: Most valid claims should be processed within 30–60 days. Longer delays may be unreasonable.
Q: What if the insurer keeps asking for more documents?
A: You have the right to demand a clear explanation. Attorneys can stop excessive requests.
Q: Can delays be challenged in court?
A: Yes unreasonable delays can lead to breach of contract or bad faith lawsuits.
Q: Do delays mean my claim will be denied?
A: Not necessarily. Many delayed claims are eventually paid once legal pressure is applied.
How We Help
- Demand written explanations for delays.
- Challenge excessive documentation requests.
- Invoke state and federal laws to compel prompt payment.
- File lawsuits for breach of contract or bad faith when necessary.
- Secure rightful payouts for families nationwide.
Contact Us
If your life insurance claim has been delayed, don’t wait. Insurers count on families giving up. Call 800‑330‑2274 for a free consultation. No fees unless we win.
Key Takeaways
Delays beyond 30–60 days may violate state law.
Excessive documentation requests are often stalling tactics.
Beneficiaries have strong legal rights to challenge delays.
Attorneys can compel insurers to act and recover damages for bad faith.
Free Case Evaluation Contact Us!
Written & Reviewed by Christian Lassen, Esq., Nationally recognized life insurance lawyer: 25 years experience, hundreds of millions recovered. Quoted in The Wall Street Journal ( May 17, 2025).
Last reviewed: Dec 7, 2025 | Contact 800-330-2274
Our FAQ
Have questions? We are here to help. Still have questions or can't find the answer you need? Give us a call at 800-330-2274 today!
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A grace period is the time after a missed payment during which the policy remains in force, usually 30 to 60 days depending on state law and policy terms.
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No. In most states, insurers must send a written notice of overdue premiums and warn of pending lapse before terminating coverage.
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The policy may still be enforceable. Beneficiaries can challenge the lapse based on the insurer’s failure to provide required notice.
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Yes. If the insured dies during the grace period, the policy is still considered active, and benefits should be paid.
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Yes. In group life insurance policies, employers sometimes fail to forward premiums properly, leading to wrongful lapse denials.
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Yes. If automatic payment setups fail through no fault of the insured, lapses may be challenged.
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Some policies automatically borrow against cash value to cover missed payments. Failure to apply this correctly can lead to wrongful lapse claims.
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Possibly. Some courts excuse nonpayment if the insured was mentally incapacitated and missed premiums without proper notice.
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No. Reinstatement must occur while the insured is alive, but wrongful lapse denials can still be challenged posthumously.
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Not without following strict notice and grace period rules. Beneficiaries can often challenge technical denials.
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Deadlines vary by state, but it’s critical to act within 1 to 5 years depending on the policy and jurisdiction.
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Not necessarily. Payments mailed within grace periods or accepted by insurers may keep coverage active.
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Bank records, payment receipts, insurer correspondence, and premium notices are key evidence.
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If the insurer used an outdated address despite updated information, lapse denials can often be overturned.
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Possibly. If the insured submitted a reinstatement application before death, it may help challenge a lapse denial.
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In some states, special grace periods and protections applied during COVID-19 emergencies. They can help fight wrongful lapses.
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Only if the insurer followed all legal notice and grace period requirements. Otherwise, beneficiaries may still recover.
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Misapplied premiums can lead to wrongful lapses — and courts often hold insurers accountable for these errors.
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An attorney can obtain records, challenge improper lapses, negotiate settlements, and litigate if necessary to enforce payment.
Our Clients Speak Volumes
The Right Choice for Your Claim
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“The insurer said the application wasn’t complete, so the claim couldn’t be processed. I felt helpless until I hired Lassen Law. They located the original records and showed that everything was properly submitted. Case closed.”- Christopher A.
Why The Lassen Law Firm Is Different
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Proven National Results
With over two decades of exclusive focus on life insurance litigation, we’ve helped thousands of families recover wrongfully denied benefits. Our reputation for fast, strategic resolutions has made us a trusted national resource for complex claim disputes.
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Recognized ExpertisePerfect 10.0 Avvo rating endorsed by over 1,700 attorneys; life member of the Multi-Million Dollar Advocates Forum; ranked among the top 1 percent of lawyers nationally for life insurance litigation.
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Client-First AdvocacyNo upfront fees: our contingency fee guarantee aligns our interests with yours; we provide personalized, compassionate representation from your initial consultation through resolution.
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Media & Community LeadershipQuoted in The Wall Street Journal and featured in leading legal publications; frequent speaker at national conferences; dedicated to charitable efforts supporting pediatric cancer care.
