Skip to Content
Top
Life Insurance Claims

Des Moines Life Insurance Claim Attorneys

Understanding Life Insurance Claims: Types, Disputes, and What to Do After a Denial

When a family member passes away, life insurance benefits can provide beneficiaries with the monetary compensation to pay for final expenses and keep the family afloat without the deceased’s financial support. When you pay hefty premiums to a life insurance company, you expect that the insurance company will do right by you and pay these benefits right away. Unfortunately, this is not always the case.

Life insurance companies often deny coverage for various reasons, making life more difficult for families who are already dealing with the tragic loss of their loved one. Most insurance companies make a profit by collecting premiums and not paying out on policies. Some insurers may participate in illegal or illegitimate practices to delay or deny payment to policyholders. Insurance companies employ large teams of lawyers to ensure that payment is denied or that policyholders will accept minimal settlements for their claim.

Get the Life Insurance Benefits You Deserve
If your life insurance claim has been delayed or denied, we can help. Contact us today at (515) 705-0233 for a free consultation.

Types of Life Insurance Policies

Understanding the different types of life insurance policies can help beneficiaries navigate claims more effectively.

  • Term Life Insurance vs. Whole Life Insurance
    • Term Life Insurance provides coverage for a specific period (e.g., 10, 20, or 30 years). If the insured passes away during the term, the beneficiaries receive a payout. However, if the policy expires before death, there is no payout.
    • Whole Life Insurance is a permanent policy that remains in effect as long as premiums are paid. It also accumulates cash value over time, which policyholders can borrow against.
  • Universal Life Insurance and Variable Life Insurance
    • Universal Life Insurance offers flexible premiums and a savings component that earns interest. It allows policyholders to adjust their death benefits and premium payments over time.
    • Variable Life Insurance combines life insurance with investment opportunities. Policyholders can invest in stocks, bonds, or mutual funds within the policy. The cash value and death benefit fluctuate based on market performance.
  • Employer-Sponsored Life Insurance Policies
    • Many employers offer group life insurance as a workplace benefit. These policies usually provide limited coverage and may end if the employee leaves the company. Employees often need to convert them into individual policies to maintain coverage. 

Common Life Insurance Claim Disputes

Insurance companies sometimes deny claims or dispute payouts for various reasons. Common disputes include:

  • Disputes over policy exclusions and fine print – Insurers may claim that a specific event (such as death by suicide within the first two years) is excluded from coverage.
  • Beneficiary disputes and legal challenges – If multiple parties claim to be beneficiaries or the insured did not update their policy after life changes (e.g., divorce), legal battles can arise.
  • Issues with policy lapse and missed payments – If premiums were not paid on time, insurers may argue that the policy was no longer active at the time of death.

Steps to Take After a Life Insurance Claim Denial

If your life insurance claim has been denied, follow these steps to fight for the benefits you deserve:

  • Request a written explanation – Ask the insurer for a detailed reason for the denial. This can help you understand their justification and identify possible errors.
  • Gather supporting documentation – Collect medical records, death certificates, premium payment history, and any correspondence with the insurer. These documents can strengthen your appeal.
  • File an appeal – Most insurance companies have an appeals process. Submit a formal appeal with additional evidence to challenge the denial.
  • Consult a life insurance attorney – If your claim is still denied, an experienced attorney can help you take legal action against the insurance company.

How a Life Insurance Claim Lawyer Can Help

If a life insurance company can avoid paying out on policies with some plausible excuse, they won’t hesitate to reject your claim. Their goal is to maintain hefty profits by collecting insurance premiums by denying claims or offering a policyholder a fraction of the compensation that they are entitled to.

If this happens to you, consulting with a life insurance claim attorney is essential. You may have to file a lawsuit to get the payment you deserve. An experienced attorney representing beneficiaries can litigate in both state and federal court to obtain appropriate settlements for their clients. An attorney can also help appeal an insurance company’s decision.

Why Choose Us?

The Iowa attorneys at LaMarca Law Group, P.C. have years of experience assisting clients with insurance claims, including life insurance. Our experienced lawyers are prepared to help clients with legal matters involving both delayed and denied life insurance claims. Our primary goal is protecting your rights, whether you are a policyholder or a beneficiary. We have successfully recovered money for our clients and we are fully prepared to go to court if we cannot negotiate a settlement from an insurance company right away.

At LaMarca Law Group, P.C., we pride ourselves on providing individualized, personal attention to every client we take on. We never use a cookie-cutter approach, and instead take the time to understand the nuances of your particular case to find the best legal strategy for you. Our dedication and success has allowed us to garner numerous prestigious awards, including being consistently named among the country’s Best Law Firms.

Life Insurance Denial Cases We Handle

Many clients have questions about why their life insurance claim was denied and if the insurer had a valid reason for the rejection. Every life insurance case is different, but there are some common reasons the insurance company may cite.

If the insured dies within a specific time frame (usually two years following the issuance of the insurance policy) the insurance company may employ manipulative tactics or practices to justify denying or delaying payment of a life insurance claim. Although state laws can limit some exclusions, insurance companies may use certain words or terms in an ambiguous manner to justify denying a claim.

We handle life insurance cases where the claim is denied for the following reason(s):

  • Denial due to a policy exclusion
  • Failure to pay premiums or lapse in coverage
  • Failure to reinstate policies
  • Denial due to death in a foreign land
  • Failure to provide complete information on the application
  • Misrepresentation on the life insurance application
  • Denial for failure to provide an insurability form
  • Denial due to an assumption of death because the insured is missing
  • Denial due to employer error
  • Denial due to a policy termination
  • Denial due to an employment status change
  • Denial due to a conversion of a policy
  • Denial due to alcohol or drug use
  • Denial due to an accidental death
  • Denial due to suicide
Read More Read Less

Put Your Iowa Lawyers On Your Side Today

Free & Confidential Consultations
  • Please enter your first name.
  • Please enter your last name.
  • Please enter your phone number.
    This isn't a valid phone number.
  • Please enter your email address.
    This isn't a valid email address.
  • Please make a selection.
  • Please enter a message.
  • By submitting, you agree to receive text messages from LaMarca Law Group, P.C. at the number provided, including those related to your inquiry, follow-ups, and review requests, via automated technology. Consent is not a condition of purchase. Msg & data rates may apply. Msg frequency may vary. Reply STOP to cancel or HELP for assistance. Acceptable Use Policy

LaMarca Law Group

Our Promise to You
  • Over 100 Years of Experience
    Our dedicated Iowa attorneys have been protecting the rights of injured Iowans for decades giving us the knowledge and skill to successfully advocate on your behalf.
  • Available 24 Hours a Day, 7 Days a Week
    We have the largest plaintiff law firm in all of Iowa meaning that at any time of the day or night, there will be someone available to answer questions regarding your case.
  • We Handle All the Details
    From the moment you call our office, our team is dedicated to handling any of your legal needs in house from beginning to end. All you have to worry about is your recovery. We take care of the rest.
  • Full- Service Law Firm
    Whether you were injured at work or because of someone else's negligence, our full-service law firm has the knowledge and the skill to successfully advocate on your behalf.