Life Insurance Lawyer Texas

Whether you reside in: Midland; McAllen; Killeen; Mesquite; Pasadena; Frisco; McKinney; Brownsville; Grand Prairie; Amarillo; Irving; Garland; Lubbock; Laredo; Piano; Corpus Christi; Arlington; El Paso; Forth Worth; Austin; Dallas; San Antonio or Houston; our life insurance attorneys who live and work here in Texas are here to help resolve your delayed or denied life insurance claim.

Texas Denied Life Insurance Claims Recently Settled

  • Midland National alcohol exclusion $262,000.00
  • CIGNA three policy exclusions $103,700.00
  • Pioneer Security beneficiary change $301,400.00
  • Texas denied life insurance claim $3,000,000.00
  • Foremost undue influence beneficiary $203,000.00
  • HSBC accidental death and dismemberment $412,000.00
  • Reliance Standard prescription drug exclusion $214,900.00
  • FEGLI appeal successful outcome $131,000.00
  • Denied life insurance claim Texas $2,800,000.00
  • Standard beneficiary dispute $349,000.00
  • Texas bad faith life insurance $931,000.00
  • Gerber self-inflicted injury suicide $317,000.00
  • Texas divorce and life insurance
  • Aviva autoerotic asphyxiation death $309,000.00
  • Western Southern medical records $282,000.00
  • SGLI ex-spouse versus spouse dispute $400,000.00
  • American General interpleader lawsuit $335,000.00
  • Texas bad faith life insurance $903,500.00
  • Primerica felony exclusion $272,000.00
  • AIG autoerotic asphyxiation death $414,000.00
  • Principal Life alcohol exclusion $302,000.00

Death during a police chase: an accident or not?

Your life insurance policy may try to exclude coverage

When many people purchase life insurance, they are given the opportunity to purchase what’s known in the industry as an “accidental death rider.” The accidental death rider serves to multiply the policy’s death benefit payout – sometimes by as much triple the original amount.

Life insurance companies are happy to collect additional premiums from consumers who opt for the accidental death riders. After all, according to the Center for Disease Control, only about 50 out of every 100,000 deaths is the result of an accident. Of those, only a fraction of the decedents will have life insurance, and a smaller fraction will have an accidental death rider. In other words, these riders are a strong and low-risk way for life insurers to collect additional revenue.

Moreover, when an insured with an accidental death rider does die in an accident, life insurance companies are quick to deny claims on the basis that the underlying death was not an accident at all. Such was the case for the family of a Missouri man named John who was killed in an automobile accident.

A dramatic way to die

Prior to his death, John lived a bit of a dual life. On the one hand, he was known as a steady, hard working architect. While he didn’t have a wife or any children, he did take care of his extended family with great generosity. In fact, when he was offered a life insurance policy through his employer, he purchased a lucrative policy with an accidental death rider. John named his grandmother, Minerva, as the sole beneficiary under the policy.

The other side of John’s personality, however, was a bit more dubious. He had a fast sports car and liked to drive it at excessive speeds all around the small town where he lived in Missouri. In fact, at the time of his death, he had an outstanding warrant for several unanswered speeding tickets.

On the night he died, John was once again driving his sports car through town, though initially he was only going about 10 miles above the posted speed limit. It was at that point that a local sheriff’s deputy spotted him. While the officer probably would not normally have pulled someone over for exceeding the speed limit by just 10 mph, the deputy was familiar with John, with his habit of driving recklessly through town, and with his pending arrest warrants.

Consequently, the deputy turned on the flashing lights to his police cruiser, made a U-turn to position his car behind John’s, and activated the siren. John, likely aware that he would be arrested if he got pulled over, gave chase. He raced his sports car frantically through the city streets. Eventually, three police cruisers were on his tail and they watched as he had several near-misses with pedestrians and other vehicles. Witnesses estimated that John reached speeds of over 100 mph.

After around 20 minutes of erratic driving, John ended up colliding with another car that turned right in front of him without stopping at the stop sign for that intersection. John and the three occupants of the other car were all killed instantly. Later autopsy reports revealed that John was not under the influence of any alcohol or drugs at the time of his death.

A claim for benefits

Notwithstanding her overwhelming grief, John’s grandmother made a claim for benefits under John’s life insurance policy and accidental death rider. At the time, she had no reason to believe that the life insurance company would do anything but pay her the $400,000 death payout ($100,000 under the original policy, plus $300,000 under the accidental death rider).

A few weeks later, however, Minerva received a shocking letter in the mail. While the life insurance company agreed to pay the $100,000 payout under John’s principal policy, it refused to pay the $300,000 accidental death benefit. Minerva couldn’t believe her eyes. In her mind, John clearly died in an automobile accident.

The insurance company saw it differently. Its denial letter cited a provision in the accidental death rider that excluded coverage if the death resulted “directly or indirectly from committing an assault or felony.” The insurance company claimed John’s reckless driving and act of evading police constituted a felony. It also claimed that the death of the three passengers in the other vehicle was equivalent to an assault and denied coverage under the rider on that basis.

High dollars left on the table

Unfortunately, Minerva didn’t know much about the law and didn’t end up contacting a lawyer until the statute of limitations had run on any lawsuit she might have been able to bring against the life insurance company.

As attorneys who specialize in the wrongful denial of life insurance claims, we see unfortunate circumstances like these all the time. Had Minerva contacted our firm, we would have informed her that the language the life insurance company relied on in denying the accidental death benefits may not have been a valid basis for that denial.

To the contrary, many courts construe policy language in favor of the insured and against the insurance company. This means a court would have looked with suspicion at the insurer’s claim that John had committed a felony and/or an assault. In fact, the denial letter did not cite to any specific statute John was alleged to have violated. Certainly, John was never convicted of either crime, nor did any police report classify the accident as such. Indeed, it is possible that neither John nor the occupants of the other car would have died at all if the other car hadn’t run a stop sign.

This unfortunate situation simply underscores the importance of contacting an attorney specializing in the denial of life insurance claims any time you receive a claim denial that just doesn’t feel right or fair. If you’re in that situation, call us today. We’re here to help.