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MIB Reports and Life Insurance Claim Denials

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Many life insurance denials begin with a document the insured never saw.

The MIB report.

After death, insurers often pull an MIB report and use it to argue that the insured failed to disclose medical history, conditions, or risk factors. The denial letter may describe the report as definitive.

It rarely is.

What the MIB actually is

The MIB is a shared information database used by life and health insurers.

It contains coded entries submitted by insurers during prior underwriting reviews. These entries are not full medical records. They are shorthand codes meant to flag areas for further investigation.

The MIB does not diagnose.
It does not confirm conditions.
It does not explain context.

Insurers often treat it as more than it is.

What insurers typically pull from the MIB

After a claim is filed, insurers often retrieve:

  • Coded medical condition flags

  • Prior application references

  • Risk indicators submitted by other insurers

  • Incomplete or outdated entries

  • Codes without explanation or diagnosis dates

These codes often come from applications years earlier, sometimes from insurers unrelated to the current policy.

How MIB based denials are framed

Denial letters often follow a predictable pattern.

The insurer claims:

  • The MIB shows a condition was known

  • The insured failed to disclose it

  • The omission was material

  • The policy is rescinded or void

What is often missing is proof that the insured actually knew what the code represented or that the condition even existed.

MIB codes are not medical facts

MIB codes are risk flags, not diagnoses.

A code may reflect:

  • A rule out diagnosis

  • A symptom that resolved

  • A test that came back negative

  • A family history notation

  • A precautionary referral

  • A clerical error

Insurers frequently skip this nuance.

Insurers use hindsight aggressively

MIB denials almost always involve hindsight.

The insurer knows the insured died.
The insurer looks backward for justification.
The MIB becomes a convenient narrative tool.

Courts often examine whether the insurer actually relied on the MIB when issuing the policy or only after the claim was made.

Materiality is often assumed, not proven

Even if an MIB code exists, insurers still must show that it mattered.

That usually requires proof that:

  • The condition affected underwriting

  • The insurer would have issued the policy differently

  • The policy permits rescission on that basis

Many denials assume materiality without evidence.

MIB reports are often wrong or outdated

Common MIB problems include:

  • Old entries that were never updated

  • Conditions that resolved years earlier

  • Duplicate or miscoded entries

  • Entries based on incomplete evaluations

  • No link between the code and cause of death

Insurers rarely investigate these issues before denying a claim.

Group life and ERISA claims use MIB differently

In group life claims, MIB reports are often used to support:

  • Evidence of insurability denials

  • Eligibility challenges

  • Misrepresentation allegations

  • Post claim underwriting defenses

Under ERISA, failing to rebut MIB based assertions during the appeal can permanently lock them into the administrative record.

Red flags that suggest an MIB denial is weak

MIB based denials deserve closer scrutiny when:

  • The insurer never cited the MIB at application

  • The code is vague or unexplained

  • No medical records support the code

  • The condition is unrelated to death

  • The insurer refuses to disclose full MIB entries

  • The denial relies solely on coded data

These cases often unravel once the codes are explained.

How these denials are challenged

Successful challenges usually focus on transparency and proof.

Common strategies include:

  • Obtaining the full MIB report

  • Decoding and contextualizing entries

  • Providing physician explanations

  • Showing lack of knowledge or disclosure obligation

  • Challenging materiality assumptions

  • Exposing post claim underwriting

These cases are rarely about hidden illness. They are about insurers overreading shorthand data.

Why insurers rely on MIB reports

MIB reports feel authoritative.

They are centralized.
They look technical.
They shift blame to the insured.

Courts increasingly recognize their limits.

Do You Need a Life Insurance Lawyer?

Please contact us for a free legal review of your claim. Every submission is confidential and reviewed by an experienced life insurance attorney, not a call center or case manager. There is no fee unless we win.

We handle denied and delayed claims, beneficiary disputes, ERISA denials, interpleader lawsuits, and policy lapse cases.

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