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Identifying Reasons For Life Insurance Denials

scales of justice

A Jersey City life insurance lawyer can explain that there are several tactics that insurance companies may use to deny a life insurance claim. After all, the insurance company’s goal is to provide as little coverage to people as possible. Therefore, it has an incentive to deny claims in order to have a positive impact on its profit margin. If any potential legal avenue is available to deny a claim, the insurance company may first exhaust it before paying out.

Material Misrepresentations

Many a Jersey City life insurance lawyer has seen the common tactic in which the insurance company accuses the insured or loved ones of making a material misrepresentation on the life insurance application. This is even more common if the insured died during the period in which the insurance company has provided preliminary coverage for the insured but is still reviewing the application to determine if it will provide coverage to the insured. Claims of material misrepresentations may appear on any portion of the life insurance application, including information about past employment, current or former occupation, income, tobacco use, age, health or dangerous recreational activities. It is quite common for insurance companies to investigate if there are any material misrepresentations in order to justify a denial of coverage.

Failure To Disclose

Another tactic that a Jersey City life insurance lawyer can warn you about is the insurance company accusing you of failing to disclose required information during the application process.

Disputed Cause Of Death

If the insurance company believes that the death was caused by a situation in which coverage does not apply, such as homicide or suicide, it may use this as a reason to deny coverage.

Not Complying With The Filing Process

A Jersey City life insurance lawyer can explain that an insurance company may deny coverage because it states that the beneficiary did not strictly comply with the claims process. For example, the beneficiary may not have notified the insurance company within a specific amount of time, failed to submit a death certificate or failed to complete a particular form as required by the claims process.

Legal Assistance From A Jersey City Life Insurance Lawyer

A Jersey City life insurance lawyer may be able to help individuals who have had their claims wrongfully denied. Contact Uscher, Quiat, Uscher & Russo, P.C., at 201-781-5645 or via email for more information.