Top 5 Frequently Asked Questions About Denied Life Insurance Claims
Why was my claim denied? This is the most common question asked by beneficiaries who receive a denial letter. Insurance companies typically deny claims due to misrepresentations on the application, lapse in policy, exclusions in the policy, or issues related to the beneficiary designation. Understanding the specific reason for your denial is the first step toward fighting it. The insurer is required to provide a written explanation, and reviewing this with an experienced life insurance attorney can help determine whether the denial was lawful or unjustified.
How do I appeal a denied life insurance claim? Appealing a denied claim involves reviewing the insurer’s reasoning, collecting all relevant documents, and submitting a formal appeal within the specified time frame—usually 60 to 90 days from the denial. You will need the denial letter, the policy, the death certificate, and any supporting evidence that disproves the insurer’s justification. A life insurance attorney can help structure a compelling appeal and ensure all procedural requirements are met.
What are my options if my life insurance claim is denied? If your claim has been denied, you generally have three options: file an internal appeal with the insurance company, file a complaint with your state insurance commissioner, or file a lawsuit. Many beneficiaries start with an appeal but quickly realize that legal representation significantly improves the chances of recovery. In cases involving FEGLI, ERISA, or group life insurance, federal laws may apply and impact your rights.
Can I still get life insurance coverage if my claim is denied? If you’re the policyholder and an application was denied, you may reapply with another insurer. But if a claim was denied due to misrepresentation or fraud, it could affect your insurability with other carriers. If you are a beneficiary whose claim was denied, it doesn’t affect your ability to purchase life insurance yourself, but it may require legal help to access the policy benefits owed to you.
How long does it take to receive a decision on a life insurance claim? In general, life insurance companies take 30 to 60 days to process claims, but complex or contested cases can take much longer. If the insurer launches an investigation—due to suspicions of fraud, unclear cause of death, or beneficiary disputes—it may take several months. Delays beyond this timeframe may be considered unreasonable and could be a sign of bad faith.
5 Reasons to Hire a Life Insurance Lawyer for a Denied Claim
Knowledge of the law A life insurance attorney understands the complex legal framework governing life insurance policies. This includes contestability clauses, policy exclusions, beneficiary disputes, and federal regulations such as ERISA or FEGLI-specific rules. Legal guidance ensures your rights are protected and that your case is handled in accordance with both state and federal law.
Investigative skills Life insurance lawyers dig deeper than insurance adjusters. They examine medical records, application forms, correspondence, and policy language to find inconsistencies or errors that led to the denial. In many cases, lawyers uncover wrongful denials based on flimsy or misapplied policy language.
Negotiation expertise Many insurance companies will settle once a lawyer becomes involved. Attorneys know how to present strong arguments and pressure insurers to honor their contractual obligations without the need for court. This can lead to faster, fairer settlements without a prolonged legal battle.
Courtroom experience If negotiation fails, your attorney can file a lawsuit and present your case in court. Life insurance attorneys are skilled litigators who know how to counter insurer defenses and present clear evidence that supports your right to the death benefit. Court proceedings may result in not only policy payment but also interest, attorney’s fees, and bad faith damages.
Maximizing your recovery Beyond obtaining the policy payout, an attorney may help you recover damages related to emotional distress, delayed benefits, or other financial harm caused by the denial. Attorneys also ensure insurers do not reduce payouts unfairly due to alleged loan balances, premium miscalculations, or other deductions.
Let Us Help You Fight a Denied Life Insurance Claim
Our law firm has helped thousands of clients recover denied or delayed life insurance claims from companies like MetLife, Prudential, AIG, John Hancock, and many others. We handle complex disputes involving misrepresentation, beneficiary conflicts, foreign deaths, suicide exclusions, and more. If your claim was denied, don’t go it alone. Call 800-330-2274 for a free consultation and let us fight for the benefits you’re entitled to receive.