Top 4 Reasons Life Insurance Won’t Pay Out Today| Resolute Claims

Since you’re reading this post, we’re sure you exactly understand what the term “life insurance” means. This type of insurance involves paying premiums and going into an agreement with an insurer to pay an insured’s beneficiaries as soon as the insured passes away. But do you know that some insurance companies often fail to pay out in parts or in full? As an insured beneficiary, we understand that it can be pretty challenging to lose your loved one and still get denied a life insurance claim.

There are many reasons why life insurance won’t pay out today. You’ll find out all you should know about them as you read on. Knowing these reasons is the first step to understanding exactly all you need to reclaim life insurance.

1.  Death during the contestability period

The term “contestability period” is very important when it comes to applying for life insurance. This period is usually the first two years after a life insurance policy has been issued. This is the period in which the insurer gets the opportunity to contest the information provided by the insured. It’s also the period in which the insurer gets to contest the validity of the policy. The possibility of canceling the policy is very high if discrepancies are identified.

Now, let’s come back to the issue of death during the contestability period. As an insured beneficiary, you need to understand that you may be denied a life insurance claim if the insurer investigates and identifies inaccuracies or non-disclosures in the application.

2.  Failure to pay insurance premiums

As you already know, payment for life insurance isn’t a one-time thing. Instead, the insured has to continue paying premiums to keep the insurance valid. Of course, these premium payments also need to be paid regularly, before the due dates. Missing payments could end a life insurance policy. If this happens, the insurance company may decide never to pay out the death benefit.

Bottom line: another reason why life insurance won’t pay out is if the insurance policy lapses due to the insured’s nonpayment of premiums.

3.  Exclusions

Understand that life insurance companies don’t always provide coverage for all causes of death. If there are any cause of death exclusions, the insurers will certainly outline them in the policy contract.

That said, the insurance company may decide to deny a life insurance claim if the cause of the insured’s death is not covered. That said, as an insured beneficiary, you need to carefully review an insurance policy before going ahead to file for a life insurance claim.

4.  Fraud

You’ll most likely be denied an insurance claim if the insurer identifies any evidence of fraud that goes against the insurance policy. Some of these fraud cases include:

• Provision of false information, which contributed to why an insurer issued the life insurance policy.
• Falsification of documents to deceive the insurance company
• Non-disclosure of important information
• Faking death just to claim life insurance

If the insurer finds enough evidence to prove that any of the aforementioned fraud cases happened, they decide not to pay any death benefit.

Should you appeal a rejected life insurance claim?

Now that you know some of the top reasons why life insurance won’t pay, what next? Should you appeal the rejected life insurance claim? This simple answer is yes – you can always appeal the claim if you feel cheated. Like every person out there, insurers don’t always get things right. Just because they denied the insurance claim doesn’t mean you’re not entitled to getting the death benefit.

Resolute Claims is one of the most reliable companies that can provide you with “life insurance rejected” help. Experts at Resolute Claims understand that getting denied a life insurance claim can cause serious problems for the insured or the insured’s beneficiaries. As such, they often take this type of case seriously by doing everything possible to reclaim the insurance.

Here’s exactly how Resolute Claims can assist you today:

• If you want to make the complaint yourself, experts will provide you with support and free information.
• A case manager will be assigned to you if you decide to use the services offered by Resolute Claims. The manager will check the insurance policy terms and medical cases, which will assist them in making the necessary appeals.

Learn more about how to appeal a denied life insurance claim by visiting Resolute Claims’ official website today.