How to Appeal a Life Insurance Denial
If a loved one has recently passed away, the last thing you need in the mail is a letter from the life insurance company denying your claim. A life insurance company can deny a claim for many reasons, including a lapsed policy -- if the insured didn't pay the premium, the policy may not have been in effect at the time of death. Whatever the reason the insurance company gives you, you have to right to appeal a claim. With your family's financial future at stake, it's vital that you navigate the appeal process correctly.
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Instructions
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Read the letter of denial carefully to identify why the insurance company denied the claim. One reason the claim may be denied is material representation, where the insured deliberately concealed factors about himself on the application. For example, the insured may have stated "non-smoker" but the life insurance company may have uncovered medical records that suggest the insured was a tobacco user.
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Verify that the factors mentioned in the letter were not true and gather evidence proving your side of the case. For example, if the claim was denied because of non-payment, gather your receipts or canceled checks and make copies.
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Contact the life insurance company and ask them what their appeals process is. Some companies may provide a form while others will accept a letter. Other important information you should find out is what time frame is allowed for an appeal and to what address you should send the letter.
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Fill out the appeals form or draft a letter stating why you are appealing the claim. Include copies of any evidence you have supporting your case.
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Tips & Warnings
If your claim is denied, call the company and ask if there is a further appeals process, like a corporate review.
Contact an attorney who specializes in life insurance denials. If you have a strong case, an attorney make take it on a contingency basis, where you'll only have to pay the lawyer if you win in court.
