A loved one recently passed away and you've filed a life insurance claim in the hopes that the life insurance company pay you the money to which you are entitled. You followed all the required steps in filing your claim and have been waiting patiently to receive your check. Shockingly, you receive a letter that your claim has been denied.
This isn't a common scenario in the world of life insurance, but it does happen. And if it happens to you, it's important that you understand the next steps that you need to take.
Step 1: Remain Calm
First of all, understand that having your life insurance claim denied doesn't mean you're never going to receive the death benefits to which you are entitled. There is always the option of retaining an experienced life insurance lawyer to appeal your denial. Retaining a life insurance attorney with the proper experience is essential. Make sure your life insurance lawyer has at least fifteen years of experience handling both denied and delayed life insurance claims.
Step 2: Find Out the Reason for Denial
The most important thing to do after finding out that your claim was denied is to find out why. There are countless reasons as to why your claim may have been either delayed or denied. Sometimes, this information will be provided in your denial letter. In other cases, you may need to do a little investigative work to find out why it was denied.
If it's not clear why your claim was denied, contact the life insurance company and ask for details. It could be that the policy unknowingly lapsed or that there was a material misrepresentation in the application.
Step 3: Get an Experience Life Insurance Attorney
If you have been a victim of a denied life insurance claim, then the next step you'll need to take is to speak with an attorney who concentrates his practice in life insurance claims. There are countless reasons for denied life insurance claims, and only an experienced life insurance lawyer should be retained. If the policy came from the deceased's company, it is governed under ERISA, and there is only one appeal allowed, and if your lawyer blows it, you are out of luck.
Step 4: Have the Lawyer Appeal the Claim Denial
The last step in the process will be to give your life insurance lawyer the green light to appeal the denial. Your life insurance attorney will submit a one-hundred to two-hundred-page brief.
Dealing with a life insurance claim denial can be very stressful, especially after having already suffered through the loss of a loved one. However, by having an experienced life insurance lawyer on your side, will be the key to recovering the money to which you are entitled.