If the insured was drinking and driving and got in a car accident that caused their death, the life insurance company will most certainly deny the claim if the insured’s blood alcohol content is above the legal limit. Even if it was close to the legal limit but not above, most companies would deny the claim anyway, and the beneficiary would have to file an appeal if they believe the claim was wrongfully denied. Our life insurance lawyers just won a $300,000 Nationwide life insurance claim alcohol denial case. We can fight any felony exclusion denied life insurance claim.
Life insurance policies usually come with a set of exclusions or things that the policy will not cover. Some of these exclusions are very well known (i.e., the suicide exception), while other exceptions are not. The felony exclusion is one of the lesser-known life insurance policy exclusions. Regardless of whether the felony exclusion is lesser-known, insured people and beneficiaries need to understand this exception and how it may apply to them. Our life insurance attorneys just won a $450,000.00 AIG life insurance claim denied due to the felony exclusion.
Like most other exclusions, the felony exclusion allows a life insurance company to deny the payment of death benefits if the insured person’s death happens while the insured person is committing a felony. A felony is typically a serious crime that most people have never and likely will never commit. Many people know of well-known felonies such as murder, manslaughter, aggravated assault, burglary, and arson. Even some lower-level crimes can become felonies if the criminal is a repeat offender. However, some rather unassuming activities may qualify as a felony crime. For example, using an unsecured WIFI connection without permission may be a felony. In some states, it may be a felony for a male to seduce an unmarried woman, so if the insured person is having an affair with a married woman, the insured person may be in the act of committing a felony. Also, sharing passwords for streaming services may be a felony in certain states.
As noted, some felonies are, frankly, silly. However, it is important to understand that regardless of how silly a felony may be, life insurance companies may deny a claim if the insured person passed away while committing a felony. For example, if an insured person was having an affair with a married woman and was killed in a car accident while taking the woman on a date, it is possible (in some states) that the insurance company will deny coverage by alleging that the insured person’s death was excluded because they were committing a felony. It is also possible that a life insurance company denies a beneficiary’s claim because the company believes that the insured person committed a felony. It is possible that the life insurance company is mistaken, however, and the alleged acts that the insured person was committing when they passed away were not a felony.
A life insurance company can deny a beneficiary's claim if the insured person’s death happened while they were committing a felony. Any time a life insurance company uses the felony exception, it is important that the beneficiaries investigate the circumstances of the insured person’s death. Laws identifying and defining felonies are written with specific requirements, so it is important to know whether the insured person’s actions meet all of the requirements for the alleged felony, including any intent requirement. An investigation is also important to determine whether the alleged acts of the insured person were even really a felony. Therefore, it is important for the insured person and the beneficiaries to understand the felony exception and that they can seek an investigation to determine whether the life insurance company has rightfully or wrongfully denied their claim based on the exclusion of an alleged felony.
Our life insurance lawyers will get you the money to which you are entitled.