Life Insurance Lawyer New York

Denied Life Insurance Claim in New York? You’re Not Alone.


In New York, insurers sometimes deny life insurance claims based on vague exclusions or alleged misrepresentations. If you're dealing with a life insurance claim denial in New York, The Lassen Law Firm can help you challenge the insurer’s tactics and pursue the full payout your family deserves.

In New York, life insurance beneficiary disputes commonly arise when policies are changed shortly before death or when multiple individuals claim to be the rightful recipient. If you're facing a life insurance beneficiary dispute in New York, The Lassen Law Firm can help you assert your legal rights and fight for the benefits you were meant to receive.

In New York, insurers often respond to beneficiary disputes by filing an interpleader action in New York, allowing the court to determine who should receive the life insurance proceeds and relieving the insurer of liability.

Trusted Life Insurance Lawyers in New York: The Lassen Law Firm

Navigating life insurance claims in New York can be particularly challenging, especially when dealing with denied benefits or bad faith insurance practices. At The Lassen Law Firm, we proudly help individuals and families across the Empire State recover the payouts they rightfully deserve. Whether you’re in Manhattan anywhere in New York City, Buffalo, Yonkers, Rochester, Syracuse, Albany, or any other part of New York, we’re here to provide expert legal guidance and personalized support.

As nationally recognized New York life insurance attorneys, we’ve successfully handled cases across all 50 states, with hundreds of millions in policies recovered for our clients. At The Lassen Law Firm, we combine relentless advocacy, unparalleled expertise, and compassionate representation to deliver justice for every client we serve. Call now for a free consultation to see if we can help you recover your life insurance benefits. No obligation.

Unlike other firms, The Lassen Law Firm exclusively handles denied life insurance claims. With 24 years of experience in this niche, we are recognized as top experts in the field. Our lawyers have earned prestigious awards, including membership in the Multi-Million Dollar Advocates Forum and a 10.0 rating on AVVO. No other firm offers the same level of dedication and expertise in denied life insurance cases.

Life Insurance Claim Denied in New York? We’re Ready to Protect Your Rights

Life insurance is intended to offer security and financial stability during some of life’s most difficult moments. Yet in New York, many families face denied or delayed claims when they need support the most. If your life insurance claim has been denied, our New York life insurance attorneys are here to stand up for your rights and fight for the benefits you deserve.

Insurance companies in New York must adhere to some of the most stringent consumer protection laws in the nation. They are required to process claims fairly, promptly, and in good faith. When insurers wrongfully deny claims, they can — and should — be held accountable. We offer free consultations and only collect fees if we successfully recover benefits for you.

Understanding the Contestability Period for Life Insurance in New York

Life insurance policies issued in New York generally include a two-year contestability period. During this time, insurers can challenge a claim if they discover material misrepresentations made during the application process. After the contestability period expires, their ability to deny claims based on application issues becomes sharply limited unless fraud is proven.

Importantly, not every error justifies denial. Under New York law, only material misstatements — those that would have influenced the insurer’s decision to issue or price the policy — can be grounds for rescission. Innocent mistakes, small oversights, or irrelevant omissions cannot legally be used to deny benefits.

If your claim was denied on contestability grounds, it is essential to have an experienced New York life insurance lawyer review the denial immediately.

Common Reasons Life Insurance Claims Are Denied in New York

Although each claim is unique, insurers often rely on similar tactics when denying life insurance benefits. In New York, common denial grounds include:

  • Alleged Misrepresentations on the Application: Insurers claim the insured failed to disclose a pre-existing medical condition, dangerous activities, or tobacco use.

  • Policy Lapse for Nonpayment: Missed premium payments may be used as a defense, but New York law mandates specific notice procedures before policies can be canceled.

  • Exclusions for Certain Causes of Death: Deaths involving suicide within an exclusion period, participation in criminal acts, or dangerous recreational activities may fall under policy exclusions.

  • Beneficiary Disputes: Competing claims or challenges to recent beneficiary changes often cause claim delays or denials.

  • Employer Errors in Group Life Insurance Policies: Administrative mistakes can deprive families of expected benefits under group life coverage.

  • Delays Related to Death Investigations: Insurers sometimes delay claims when a death is under investigation, but excessive delays may constitute bad faith under New York insurance law.

Regardless of the stated reason, many life insurance denials do not withstand legal scrutiny.

Steps to Take After a Life Insurance Claim Denial in New York

Acting quickly is crucial after receiving a denial letter. You should:

  • Obtain a full copy of the insurance policy, including the application and all amendments.

  • Carefully review the denial letter and note the specific reasons provided by the insurer.

  • Preserve all communications with the insurer, including letters, emails, and call records.

  • Avoid providing additional information or documentation without legal advice.

  • Contact a New York life insurance attorney promptly to evaluate your rights and build a strong strategy for challenging the denial.

New York’s insurance laws provide significant protections for beneficiaries — and insurers who violate those standards can face serious legal consequences.

How Our New York Life Insurance Attorneys Pursue Denied Claims

When you choose our firm, you gain a legal team with extensive experience handling life insurance disputes across New York. We will:

  • Analyze your policy, application documents, and the insurer’s denial rationale in detail.

  • Identify errors, misinterpretations, and violations of New York insurance law.

  • Challenge wrongful denials based on contestability, policy lapse, or exclusions.

  • Handle all insurer communications so you can focus on your family.

  • Prepare administrative appeals when necessary for group life insurance claims governed by ERISA.

  • Litigate denied claims in New York state or federal courts when insurers refuse to pay.

  • Seek additional damages when insurers act in bad faith or violate New York’s unfair claims practices laws.

Our commitment is to recover the full value of your life insurance claim and ensure that insurers meet their legal and contractual obligations.

New York Denied Life Insurance Claims: Answers to Common Questions

What should I do if my life insurance claim in New York was denied?

You should immediately contact a life insurance attorney. For example, if the denial cites a lapse that may not have followed notice requirements, a lawyer can often get the denial reversed.

How do I handle a life insurance interpleader lawsuit in New York?

If you are involved in a life insurance interpleader in New York, you need an attorney to represent your interests in court. For instance, if multiple family members are disputing the payout, we ensure your rightful share is protected.

What if I’m involved in a beneficiary dispute over a New York life insurance policy?

Beneficiary disputes in New York often arise between ex-spouses, children, or unexpected new claimants. For example, if a last-minute change favored a caregiver, we challenge the designation when there is evidence of undue influence.

Why do New York life insurance companies deny AD&D claims?

AD&D claims are often denied when insurers argue that death was caused by illness or alcohol rather than an accident. For instance, a fall resulting in death might be wrongly blamed on a pre-existing medical condition, which we dispute with expert evidence.

Can a policy lapse result in the denial of a life insurance claim in New York?

Yes, but only if the insurer followed New York’s strict lapse notice laws. For example, if no pre-lapse warning was mailed to the correct address, the policy may still be considered active.

Is a misrepresentation on a life insurance application a reason to deny benefits in New York?

Misrepresentation can result in denial only if it was material and made with intent to deceive. For instance, forgetting to disclose mild asthma would not justify denial if the death was caused by a car accident.

Can alcohol exclusions be used to deny life insurance claims in New York?

Alcohol exclusions can be used, but only if clearly written and applicable. For example, if the insured had minimal alcohol in their system but died in an accident unrelated to intoxication, we challenge the exclusion.

What should I do if my group life insurance claim was denied under ERISA in New York?

If your ERISA group life claim was denied, you must act quickly because you only get one appeal. For example, missing critical medical evidence during the appeal could permanently bar recovery without proper legal help.

How does the contestability period affect New York life insurance claims?

During the contestability period, insurers can investigate application inaccuracies. For instance, if a minor misstatement about weight is found but unrelated to death, we can still secure the benefit.

What happens if my claim denial letter refers to New York law?

Just because an insurer cites New York law doesn’t mean the denial is correct. For example, insurers may misapply beneficiary revocation statutes after a divorce, and we challenge these improper denials.

Which life insurance companies deny the most claims in New York?

New York Life, Haven Life, and Allianz Life are often associated with disputed claims. For example, we have seen Allianz deny claims over technicalities that are later overturned through legal intervention.

Does divorce automatically revoke an ex-spouse’s beneficiary status in New York?

Yes, divorce generally revokes an ex-spouse’s rights unless reaffirmed. For instance, if the insured remarried and failed to update the policy, the former spouse may lose their right to benefits under New York law.

Is New York a community property state, and does it affect life insurance claims?

No, New York is not a community property state. However, if premiums were paid from shared marital assets, a surviving spouse may have a financial interest in the proceeds.

Can a will override a beneficiary designation in a New York life insurance policy?

No, a will cannot override a named beneficiary in New York. For example, even if the will leaves assets to children, the policy pays whoever is listed unless fraud or coercion is proven.

What do New York life insurance lawyers charge to handle a denied claim?

Most New York life insurance lawyers work on contingency, meaning no upfront fees. For instance, we only collect a fee if we successfully recover your denied benefit.

Can a New York life insurance claim be denied if the death occurred in another country?

Yes, but only if the policy includes a valid foreign death exclusion. For example, we have successfully challenged denials when policies were silent about deaths abroad.

What if the beneficiary designation was changed shortly before the insured’s death in New York?

Late-stage beneficiary changes can be challenged if made under duress or without capacity. For instance, a sudden change in favor of a caretaker just before death may be invalidated.

What should I do if my New York life insurance claim is being delayed?

If your New York claim is unreasonably delayed, you may have a case for bad faith. For example, delays longer than 90 days without justification can lead to legal action for damages.

Can an insurer in New York deny an AD&D claim by calling the death natural instead of accidental?

Yes, but we often challenge these misclassifications. For example, if a fatal fall is blamed on a heart attack without clear evidence, we use experts to prove the death was accidental.

Can agent mistakes on an application result in a denial in New York?

Agent mistakes on life insurance applications do not necessarily void coverage. For instance, if an agent incorrectly filled in health information, the insurer may still be liable.

What constitutes bad faith in a New York life insurance denial?

Bad faith includes denying valid claims, misrepresenting policy terms, or failing to investigate. For example, if an insurer refuses payment without examining the cause of death, we pursue punitive damages.

Can you appeal a life insurance denial during the contestability period in New York?

Yes, contestability period denials can be appealed. For example, if the misstatement had nothing to do with the cause of death, we build appeals proving the benefit must still be paid.

Are ERISA life insurance appeals more complicated in New York?

Yes, ERISA appeals are complex because remedies are limited. For instance, if evidence is not submitted properly during the appeal, it may not be allowed in court later, making early legal help critical.

What happens if no beneficiary is named on a New York life insurance policy?

If no beneficiary is named, the payout usually goes to the estate. For example, we assist families with probate court proceedings to claim the insurance proceeds legally.

Can a questionable beneficiary designation be challenged in New York?

Yes, questionable designations can be challenged in court. For instance, if an elderly insured changed beneficiaries while mentally impaired, we seek to overturn the change.

Are New York insurers required to provide notice before canceling a policy?

Yes, insurers must send advance notice before terminating a policy. For example, failure to send proper notice can invalidate a lapse and reinstate coverage.

How are union or employer life insurance policies treated in New York?

Union and employer policies are often governed by ERISA. For example, if your union plan improperly denied coverage, we handle administrative appeals and lawsuits against the plan administrator.

What happens if multiple people claim the same life insurance benefit in New York?

When multiple claimants exist, insurers often file an interpleader. For example, we represent clients in New York interpleader actions to prove their rightful entitlement to the benefits.

Can I recover life insurance benefits if the insured was declared legally dead in New York after being missing?

Yes, if a New York court declares the insured legally dead, the life insurance claim can proceed. For example, we assist with both obtaining the court declaration and filing the insurance claim.

What’s the deadline for appealing a denied life insurance claim in New York?

ERISA appeals must be filed within 180 days. For example, if you miss this deadline on a group policy, you may lose your right to any further recovery.

Are verbal promises about life insurance enforceable in New York?

Generally, verbal promises are not enforceable in New York. For example, even if someone promised benefits informally, courts require written proof within the policy documents.

Are life insurance payouts in New York protected from creditors?

Life insurance payouts to named beneficiaries are protected from creditors. For instance, if the policy lists a child as beneficiary, creditors usually cannot reach the proceeds.

Can vague or ambiguous policy language result in a denied claim in New York?

If policy terms are ambiguous, New York law requires courts to favor the beneficiary. For example, if "accidental death" is poorly defined, we argue the definition should favor coverage.

Can a canceled or lapsed life insurance policy still be enforced in New York?

Yes, if lapse procedures were not properly followed, the policy may be enforced. For example, missing a grace period notice could make the cancellation invalid.

What if a policy in New York was canceled for non-payment?

If a policy was canceled for non-payment, we check whether lapse notices were properly sent. For example, failure to send warnings can keep the policy active and require payment.

Can a child receive life insurance benefits in New York?

Yes, but a minor cannot directly access the money. For example, courts may appoint a guardian or set up a custodial account to manage the funds.

Can a life insurance claim be denied based on fraud in New York?

A claim can be denied only if intentional fraud is proven. For instance, small mistakes on the application unrelated to the cause of death should not bar recovery.

Can a New York life insurance dispute be resolved without going to court?

Yes, many disputes settle through negotiation or mediation. For example, we resolve many cases favorably without needing a full trial.

What if a beneficiary change form was completed but never processed in New York?

If a beneficiary change was never processed, the old designation may control. For instance, we litigate cases where insurers failed to properly update the records despite the insured’s clear intent.

Are old life insurance policies still valid in New York?

Yes, old policies remain enforceable if premiums were paid and the policy was active. For example, we recover benefits from policies issued decades ago that beneficiaries were unaware even existed.

How do I prove I’m the rightful beneficiary under New York law?

We gather supporting documents, witness statements, and insurance records to build your claim. For example, we often use beneficiary forms and correspondence to prove rightful entitlement.

2025 New York Denied Life Insurance Claims: settlements & verdicts

Below are examples of New York life insurance claims successfully resolved.

  • Mass shooting New York denied life insurance claim $306,000.00
  • Globe self-inflicted injury or suicide exclusion $218,100.00
  • Transamerica illegal activity felony exclusion $379,000.00
  • AIG interpleader lawsuit beneficiaries won $436,000.00
  • ERISA insufficient documents to support claim $147,000.00
  • New York denied life insurance claim $2,589,300.00
  • SGLI invalid beneficiary issue resolved $400,000.00
  • American Fidelity interpleader lawsuit $308,000.00
  • State Farm spouse and ex-spouse dispute $175,000.00
  • Denied life insurance claim New York $1,264,000.00
  • Stonebridge medical records reveal omission $250,000.00
  • Citizens Life autoerotic asphyxiation death $300,000.00
  • Mass Mutual bad faith denial of claim won $425,000.00
  • Reliance Standard beneficiary dispute $101,000.00
  • Denied AD&D policy New York $1,000,000.00
  • Bankers Life prescription drug exclusion $214,000.00
  • Genworth ambiguous language of policy $126,000.00
  • Principal suspicious circumstances resolved $292,000.00
  • New York divorce and life insurance $3,019,200.00
  • Foresters misstatement of age on application $127,000.00
  • The Hartford foreign death problem settled $389,000.00
  • Prudential accidental death and dismemberment $415,700.00

Every denied claim is unique. In New York, we know how to maximize your chance of recovering the full life insurance payout.

Legal References – New York

  • New York Contestability Clause Law: Under N.Y. Insurance Law § 3203(a)(3), life insurance policies issued in New York become incontestable after being in force during the lifetime of the insured for two years from the policy's date, except for nonpayment of premiums. During this contestability period, insurers may deny claims based on material misrepresentations made in the application.

  • Automatic Revocation of Ex-Spouse Beneficiaries: According to New York Estates, Powers and Trusts Law § 5-1.4, a divorce or annulment automatically revokes a former spouse's designation as a beneficiary on a life insurance policy, unless the policyholder reaffirms the designation after the divorce or the policy explicitly states otherwise.

  • Equitable Distribution Laws: New York is an equitable distribution state, not a community property state. This means that life insurance proceeds are distributed according to the policy's beneficiary designation, and a surviving spouse is not automatically entitled to the death benefit unless named as a beneficiary or granted rights through a court order or marital agreement. ​

  • ERISA & Group Policies: Employer-provided life insurance policies governed by the Employee Retirement Income Security Act of 1974 (ERISA) may preempt New York's state laws in cases involving contested beneficiaries, including disputes with former spouses. In such cases, the beneficiary designation on the policy typically determines who receives the proceeds, regardless of state laws.

For more information on insurance regulations and consumer protections in New York, you can visit the New York State Department of Financial Services. Additionally, the National Association of Insurance Commissioners (NAIC) offers nationwide insurance resources.

The Lassen Law Firm is a national practice focused exclusively on life insurance litigation. Founded by Christian Lassen, Esq., the firm has recovered hundreds of millions for clients in all 50 states. All website content is written or reviewed by Mr. Lassen personally to ensure accuracy and authority.

Christian Lassen is a certified member of the Million Dollar Advocates Forum and Multi-Million Dollar Advocates Forum, a distinction held by fewer than 1% of U.S. attorneys.