We successfully resolved a $109,000 denied life insurance claim involving Assurity Life Insurance Company. The claim was initially denied based on technical underwriting arguments, but after a detailed legal review and direct challenge, the insurer reversed its position and paid the full death benefit.
This case is another example of how life insurance denials are often issued not because coverage is invalid, but because insurers rely on beneficiaries giving up. At LifeInsuranceAttorney.com, we fight those denials and force insurers to honor the policies they sold.
Why Assurity and Other Insurers Deny Life Insurance Claims
Life insurance companies apply strict underwriting and claims review standards, but denial does not always mean the insurer is correct. Many denials are based on aggressive interpretations of policy language or incomplete investigations.
Common denial grounds include the following.
Alleged Misrepresentation or Non Disclosure
Insurers frequently claim the insured failed to disclose a medical condition, lifestyle habit, or prior treatment during the application process. Assurity, like many carriers, often raises this argument during the contestability period.
In the $109,000 claim we resolved, the insurer relied on selective medical records to argue that the application was inaccurate. Our review showed the alleged omission was either disclosed, immaterial, or unrelated to the cause of death. Once confronted with the full context and applicable legal standards, the denial could not stand.
Policy Exclusions Applied Too Broadly
Many policies contain exclusions for suicide, illegal activity, intoxication, hazardous work, or high risk hobbies. Insurers often stretch these exclusions beyond their intended scope.
We regularly challenge whether an exclusion actually applies to the cause of death and whether the policy language is clear enough to be enforceable. Ambiguity favors coverage, not denial.
Lapse Allegations and Grace Period Errors
Missed premiums are one of the most common denial justifications. Insurers often claim the policy lapsed before death, even when grace period rules, notice requirements, or payment processing errors undermine that position.
In many cases, we uncover mailing defects, auto pay failures, or improper lapse notices that invalidate the denial entirely.
Disputes Over Cause or Circumstances of Death
Deaths involving travel, accidents, foreign countries, or unusual circumstances often trigger heightened scrutiny. Insurers may delay or deny claims while searching for an exclusion or misrepresentation hook.
We work with medical records, autopsy reports, and investigative documents to establish that the death falls squarely within covered risks.
Documentation and Procedural Delay Tactics
Missing forms, name discrepancies, or delayed death certificates are often used as stalling tactics rather than legitimate barriers to payment. Some insurers leave claims in limbo until beneficiaries abandon them.
We intervene early to force compliance with statutory timelines and claims handling duties.
How We Overturned the $109,000 Assurity Denial
In this case, our legal team obtained the full underwriting file, application materials, medical records, and internal claims notes. We demonstrated that Assurity’s denial relied on assumptions rather than enforceable policy terms.
Once the insurer was required to defend its position under applicable law, it reversed course and issued the full $109,000 payout.
We Handle Denied Claims Nationwide
In addition to Assurity, we regularly fight denied claims involving insurers such as Sammons Life, Jackson National Life, Pru Life, Brighthouse Financial, Aegon, Global Atlantic, and Western and Southern.
Our firm handles denied claims, delayed claims, beneficiary disputes, and interpleader lawsuits nationwide.
Appealing a Denied Life Insurance Claim
A denial letter is not the final word. Most policies and state laws provide appeal and litigation rights. Successful challenges often involve:
Medical and underwriting record analysis
Premium payment and lapse review
Policy language interpretation
Formal legal demand and appeal briefs
Litigation when insurers refuse to act in good faith
We manage every step of the process and escalate quickly when necessary.
Reducing the Risk of Denial
Policyholders can reduce future disputes by disclosing known conditions clearly, monitoring premium payments, updating beneficiaries after life changes, and retaining copies of policy documents.
Beneficiaries should act quickly after a denial, as appeal windows are often limited.
Frequently Asked Questions About Denied Life Insurance Claims
Why do insurers deny valid life insurance claims
Because many denials rely on technical arguments, assumptions, or beneficiary inaction rather than actual lack of coverage.
What is the contestability period
Typically the first two years of a policy, when insurers may investigate application accuracy. After that, denial usually requires proof of fraud.
Can a policy be reinstated after lapse
Often yes. Improper notice, payment errors, or reinstatement activity can invalidate a lapse denial.
Are minor application errors grounds for denial
Not if they are immaterial or unrelated to the cause of death. We challenge these denials frequently.
Do I need a lawyer to appeal a denial
Insurers take claims far more seriously once legal counsel is involved. Many reversals occur only after legal pressure is applied.
How long do appeals take
Some resolve in weeks, others take months. Acting early improves outcomes.
Final Takeaway
The $109,000 Assurity Life denial was not reversed because of luck. It was reversed because the insurer’s position could not withstand legal scrutiny. Life insurance denials are often strategic, not final.
With proper legal review, many denied life insurance claims result in full payment.