Our life insurance lawyers in Kansas handle delayed and denied life insurance claims, AD&D claims, beneficiary disputes and Kansas interpleader lawsuits.
While most denied life insurance claims result from common issues like misrepresentation, suicide within the contestability period, or lapses in premium payments, there are indeed some rarer and more unusual reasons for denied life insurance claims. These reasons often stem from unique policy provisions or extraordinary circumstances. Here are a few examples of some rare reasons for denied life insurance claims:
Death in a War Zone: Some life insurance policies may exclude coverage for deaths that occur in war zones or during acts of war. If the insured’s death takes place in such a region or under circumstances classified as acts of war, the claim may be denied.
Participation in Extreme Activities: Policies may have exclusions related to participation in high-risk or extreme activities, such as extreme sports or activities with a high likelihood of injury. If the insured’s death is directly linked to one of these excluded activities, the claim may be denied.
Experimental Medical Procedures: If the insured undergoes an experimental medical procedure that is explicitly excluded in the policy, and their death results from complications related to the procedure, the claim may be denied.
Non-Disclosure of Foreign Travel: Some policies require disclosure of foreign travel plans, and failure to provide this information when visiting certain high-risk countries may lead to a claim denial if the death occurs during the trip.
Criminal Activity by Beneficiary: In rare cases, a beneficiary’s criminal activities or involvement in the insured’s death may lead to a claim denial. For example, if the beneficiary is found guilty of causing the insured’s death, the claim may be denied based on the beneficiary’s criminal actions.
Non-Disclosure of Genetic Testing: Some policies require disclosure of genetic testing results, and non-disclosure of such information may result in a claim denial if the insured’s death is linked to a hereditary condition that was known but not disclosed.
Terrorist Acts by Beneficiary: If the beneficiary is involved in terrorist acts leading to the insured’s death, it may lead to a claim denial based on the beneficiary’s criminal activities.
Misrepresentation of Hobbies: If the insured provided false information about their hobbies or activities that were considered non-hazardous but were actually high-risk (e.g., collecting rare and venomous snakes), the insurer may deny the claim if the death is related to that hobby.
Pre-Existing Conditions Not Disclosed: In rare instances, an insured may have a pre-existing medical condition that was not disclosed on the insurance application. If the insurer discovers the undisclosed condition and it is determined to be material to the risk assessment, the claim may be denied.
Fraudulent Claims: In cases of proven insurance fraud, where the insured deliberately fakes their own death or provides false information to collect the death benefit, the claim may be denied, and legal action may be taken against the insured.
It’s important to remember that the specific reasons for denied claims can vary depending on the insurance company and the terms of the policy.