Life Insurance Claim Denial Lawyers in Toronto
The death of a loved one is an unavoidable and uncomfortable fact of life that no one enjoys talking about, but is nonetheless an important discussion involved in laying out the terms and conditions of a life insurance policy. In theory, life insurance is designed to provide loved ones or beneficiaries with the financial safety net they need to continue on with their lives once the policyholder has passed away.
This is especially important for dependents like spouses and children who rely on your income to put food on the table and pay their bills. With that said, however, there are certain circumstances in which insurance companies may have the right to legally deny a life insurance claim.
During this time of immense grief, the stress of mounting medical bills, funeral costs, and other payments associated with the death of a loved one can be extremely overwhelming. And life insurance claim denial only exacerbates the stress. On top of grieving the loss of a loved one, beneficiaries are now subjected to dealing with the bureaucratic procedures set forth by insurance companies.
The good news is that they don’t have to endure this hardship alone. The esteemed life insurance lawyers at Mirian Law Firm are always ready and willing to help clients in Toronto and the GTA who have had their claims unjustly denied by insurance providers.
Common Reasons for Life Insurance Claim Denial
Here are some of the top reasons insurance companies reserve the right to deny a life insurance claim:
- The policyholder passed away during the initial 2-year contestability period
- The insurance policy doesn’t cover the official cause of death
- Negligent or intentional material misrepresentation of facts provided during the application process (this refers to either fraudulent information that was purposely or accidentally included in the application)
- The applicant omitted important information from the application (i.e. pre-existing medical conditions or harmful behaviours that would otherwise preclude them from obtaining coverage)
- Partially or completely unpaid policy payments
- A beneficiary isn’t named in the policy in which case the claim will be denied and the benefit will be paid to the estate of the deceased policyholder unless otherwise specified in their will or policy
Prior to accepting or denying a life insurance claim, the insurance provider has the right and responsibility to perform a thorough investigation into the situation. That includes reviewing the policy, investigating the circumstances of the death, and evaluating the value of the claim.
What to Do If a Life Insurance Claim is Denied
If you submit a life insurance claim and it’s denied for any reason, the first thing you should do is review the terms and conditions of the policy yourself. Next, you should consult with the knowledgeable insurance lawyers at Mirian Law Firm. Our team of dedicated legal workers will review your loved one’s life insurance policy, answer all of your questions, and work alongside the insurance company to come up with a feasible solution. Contact us today to learn more.