Denied Life Insurance Claims
Christian Lassen, Esq. | Quoted in The Wall Street Journal | 25 Years Experience
If your life insurance claim was denied, you are not alone. Every year, beneficiaries across the country are shocked to learn that an insurance company is refusing to pay benefits after a loved one’s death. These denials often come at the worst possible time, when families are grieving and financially vulnerable. At Lassen Law Firm, we focus exclusively on helping beneficiaries challenge denied and delayed life insurance claims nationwide.
Christian Lassen, Esq., is a nationally recognized life insurance attorney with 25 years of firsthand experience handling claim denials. Every case is personally reviewed and handled to ensure that insurers are held accountable under the policy and the law. A denial letter is not the final answer, and many denials can be overturned with proper legal action.
Understanding Your Rights After a Life Insurance Claim Is Denied
When a life insurance claim is denied, beneficiaries have important legal rights. Insurance companies are required to provide a clear, written explanation identifying the specific policy provision they rely on to deny payment. They must also prove that the denial is justified under the policy terms and applicable law.
Depending on the circumstances, beneficiaries may have the right to appeal the decision, demand reconsideration, or file a lawsuit for breach of contract or bad faith. In many cases, insurers deny claims hoping beneficiaries will give up without a fight.
Why Insurance Companies Deny Life Insurance Claims
Insurance companies deny claims for many reasons, some legitimate and many questionable. Because life insurance payouts can be substantial, insurers often conduct aggressive investigations aimed at finding any excuse to avoid payment.
Common denial tactics include alleging misstatements on the original application, claiming the policy lapsed due to non payment, invoking suicide or activity exclusions, or disputing beneficiary designations. During the contestability period, insurers frequently scour medical records for unrelated or immaterial issues in an effort to justify denial.
A denial does not mean the insurer is correct. Many denials are based on incomplete investigations, misapplied policy language, or outright bad faith.
How We Fight Denied Life Insurance Claims
At Lassen Law Firm, we take an aggressive and methodical approach to denied life insurance claims. We begin by demanding complete documentation from the insurer, including underwriting files, claim notes, and internal communications. We then analyze the policy language, the application, and the insurer’s investigation for legal and factual weaknesses.
When appropriate, we apply pressure through formal legal demands and are fully prepared to file suit for breach of contract and bad faith. Insurance companies know that unsupported denials are far more difficult to defend once experienced legal counsel becomes involved.
In one recent case, we overturned a denied $400,000 claim where the insurer alleged misrepresentation related to high blood pressure. By exposing flaws in the insurer’s investigation and underwriting review, we secured full payment for the beneficiary within two months.
Common Reasons Life Insurance Claims Are Denied
• Alleged misrepresentation on the insurance application
• Claimed policy lapse due to non payment of premiums
• Suicide exclusions asserted during the contestability period
• Exclusions for hazardous or illegal activities
• Disputes over beneficiary changes or designations
• Allegations of fraud in policy procurement
• Alcohol or drug exclusions applied improperly
• Employer or administrator errors in group life insurance policies
• Deaths labeled as suspicious without adequate proof
What To Do Immediately After a Denial
If your life insurance claim has been denied, time is critical.
- Request a detailed written denial letter identifying the policy provisions relied upon
- Gather the policy, application, correspondence, and all related documents
- Avoid filing appeals or providing statements without legal guidance
- Contact an experienced life insurance attorney as soon as possible
- Act quickly to preserve appeal and lawsuit deadlines
- Early legal involvement often makes the difference between a permanent denial and a full recovery.
For a concise overview of key issues and next steps, see our Denied Life Insurance Claim Fact Sheet.
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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: Jan 3, 2026 | Contact 800-330-2274
Frequently Asked Questions About Denied Life Insurance Claims
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Common reasons include alleged misrepresentation on the application, policy lapse for non-payment, death during excluded activities, suicide within the contestability period, and disputes over beneficiaries.
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Yes. Beneficiaries have the right to appeal a denial, request all evidence the insurer used to deny the claim, and challenge the decision with legal support.
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Each state sets different deadlines, but typically you must take legal action within 1 to 5 years depending on the jurisdiction and the policy terms.
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Insurers must prove that the misstatement was material — meaning it impacted their underwriting decision. Minor or unrelated errors are often not valid reasons to deny a claim.
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Yes. If death occurs within the first two years of the policy, insurers can contest claims based on misrepresentations, but they still must act fairly and reasonably.
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Yes, if death occurred within the policy’s suicide exclusion period (typically two years). After that, suicide exclusions generally no longer apply.
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When multiple parties claim rights to the proceeds, insurers may delay payment or file an interpleader lawsuit, asking the court to decide who receives the money.
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Yes. Many policies contain exclusions for deaths resulting from intoxication, but insurers must prove the exclusion clearly applies under policy terms.
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You can challenge allegations of lapse, especially if the insurer failed to provide proper notice of non-payment or mishandled billing.
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Yes. If the denial was improper or made in bad faith, you can sue for breach of contract and, in some cases, seek additional bad faith damages.
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Yes. If the policy was provided through employment, ERISA laws govern appeals and lawsuits, often requiring exhaustion of administrative remedies first.
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Many claims resolve within 30 to 90 days after legal action begins, but some complex cases may take longer depending on the insurer's cooperation.
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For private policies, not always. For ERISA-governed policies through work, yes — you usually must exhaust administrative appeals first.
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Yes, but they must have clear proof that exclusions apply. International death cases often involve extra verification but must still be handled fairly.
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Most policies exclude deaths occurring during felonies. However, insurers must clearly prove the circumstances before denying the claim.
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Often, yes. Insurers may dispute whether the death truly qualifies as an accident and may delay or deny payment based on technical definitions.
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Only material misrepresentations that affected underwriting risk — not minor mistakes — justify claim denial under most state laws.
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Hiring a lawyer greatly improves your chances of success. Insurers are less likely to wrongfully deny or lowball when legal pressure is applied.
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Contact an experienced life insurance attorney to review your denial letter, assess the policy terms, and develop a strategy to overturn the denial quickly.
Our Clients Speak Volumes
The Right Choice for Your Claim
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“They rejected our claim, saying the treatment my wife was undergoing wasn’t FDA-approved. The Lassen team got expert testimony and proved the procedure wasn’t the cause of death. That made all the difference.”- Anthony J.
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.
