COVID-19 and Life Insurance Company Claims

COVID-19 and Life Insurance Company Claims

COVID-19 and Life Insurance Company Claims is an extremely important issue today. At Life Insurance Lawyer Now, we are all-in on whatever it takes to protect people during this health crisis.  Whatever happens in the next few months, we are concerned if COVID-19 will allow life insurance companies deny even more claims – even claims that have nothing to do with this novel virus.

Does Life Insurance Cover the Coronavirus (COVID-19)?

Overall, we think that the life insurance companies will continue to pay some claims, and have the financial strength to pay claims.  The real question is if the life insurance company will pay your claim – or use COVID-19 as another excuse in their favor.

The COVID-19 crisis will likely allow Life Insurance Companies to step-up their plans on avoiding paying life insurance claims.

If your claim is in the first two years of a life insurance policy, watch out for stepped-up rescission claims by the insurance company. Rescission is a strategy by the Life Insurance Company to avoid paying any policy benefits by claiming that you have no insurance coverage.

The tricky thing that most people don’t understand about a rescission review (also called a “contestible investigation” by some life insurance companies) is this:

  • The life insurance company can “blow up” the policy if it says there is anything misrepresented on the application.
  • The thing that is “misrepresented” does not have to be the incident that unfortunately caused the loved one’s death.
  • The life insurance company says that any misrepresentation is enough to undo and rescind the policy.  This is really tough for most people to understand – and it is very unfair.

This position of the life insurance companies results in the ridiculous but successful rescissions such as:

A man unfortunately passes away in a fire at his home, while he is sleeping.  The fire is caused by an electrical malfunction.  Because the man did not tell the life insurance company on the application that a doctor had told him he had high blood pressure, the life insurance company is successful in making the life insurance policy disappear (rescission).  Of course, the high blood pressure had nothing to do with the death by smoke, but the family still did not get paid.

This Rescission Rule Really Favors the Life Insurance Companies.

Because it is so unexpected to most people, it can be a problem.  This is another reason having a lawyer on your side, early, is important.  We know the rules and we know why the life insurance company is doing the sort of strange things that it is doing.  You don’t want to learn the basics on your own case.  It is better to rely on us.  Even if it seems like a difficult situation, we may be able to help. The Life Insurer has a team of experienced lawyers – you need the same. We are here to fight for you regarding Covid-19 and Life Insurance Company Claims.

We Expect Life Insurance Companies to Use Rescission rules for COVID-19 claims.

The life insurance companies will look for literally anything they can twist into looking like a misrepresentation, so they can avoid paying the life insurance policy, no matter how unrelated the cause of death and the misrepresentation may be.  Especially now, if the life insurance company begins to “over-investigate” your claim, asking for broad medical authorizations, you should beware, as well as have some expert lawyers on your side to get your claim paid.

Nerdwallet.com has this to say about Life Insurance Benefit claims relating to COVID-19:

Traditional life insurance policies, such as whole and term life, likely cover deaths from COVID-19, according to spokespeople from industry research group LIMRA, State Farm and Farmers New World Life (part of Farmers Insurance).

We have done this a lot.  We take the time to know you and your case.  We start working for you NOW.  We communicate with you, respond to your calls, are available to you.  We focus on how to win your case.  If you have a problem getting your life insurance claim paid, rescission, beneficiary disputes, or your policy has been cancelled or has other issues on it, you need to contact Life Insurance Lawyer NOW.com or life insurance justice.com.  Use the form on our site, or email us, or call (888) 997-4070 or (818) 937-0937 to speak directly to an experienced life insurance lawyer.   We are the best life insurance lawyers you can find, and we are real lawyers, not a lawyer referral service or “middleman”, we are here for you NOW.

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Life Insurance Coverage and COVID-19

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Life Insurance Coverage and COVID-19

If You are Having Problems Paying for Your Life Insurance Policy, or Have Fallen Behind, We Can Help Keep Your Life Insurance Coverage in Place throughout the COVID-19 period. Life Insurance Coverage and COVID-19 is an issue we can help you with!

While we hope that everything is being done to protect people in this COVID-19 crisis is effective, now is not the time to lose your life insurance coverage.  We can help you keep your life insurance coverage in place during this crisis.

  • If you, unfortunately, have a claim, and a life insurance company doesn’t want to pay because it says the policy was “terminated for non-payment” or late payment, or any type of payment excuse, we can help you.

Life insurance policies are very special contracts.  Because a life insurance contract is a special contract, it can only be cancelled under certain circumstances.

The Life Insurance Company has to give Special Notices before Cancelling a Life Insurance Policy.

The insured needs to be offered an opportunity for reinstatement of the life insurance policy, and–especially in California–the life insurance company has to do all of this in just the right way.

Combined with the cliff-like drop of the economy due to the COVID-19 virus, many people have their life insurance security threatened.  This isn’t right.  This isn’t just a question of the life insurance companies following the California laws and regulations to cancel a policy.

Will Life Insurance Company Premiums be Raised During the COVID-19 Crisis?

Another thing that life insurance companies have done, especially to people who were sold their policies long ago in the 1990’s and soon after, is to raise the cost of premiums too much.  Many people were told that their premium costs would “vanish” or that the life insurance policy would “pay for itself” after a few years.  This has almost never come true.  Instead, many life insurance companies have increased the premiums, year after year.

Here’s how Metlife.com recently updated their website regarding COVID-19:

“Would any additional fees be imposed if a significant number of claims were submitted as a result of a pandemic event?

For insured business, rates in effect during the current policy period would not be affected. For self-funded business or for absence administration, the terms of the applicable Administrative Service Agreement will apply.”

Too many life insurance companies made false representations about the cost of insurance over time, and what would happen to the premiums.  If the agent and the company told you the premiums would go down, or be paid by the policy, or some other financial hocus-pocus, you may have a case against the life insurance company.

A Life Insurance Company Cannot just cut-off your Policy, like a Cable Company.

A life insurance company has to follow the special rules, for such a special contract.  If the life insurance company has increased your premiums, or other add-on costs to the policy, over the years when it had promised to not do so, you may have a case against them.  Not only may you be entitled to continue the policy for years, without the payment of any more premium, but you may be entitled to a refund or compensation for their misrepresentations to you. A “Notice of Cancellation for Non-payment” Must Be Sent By the Insurer if they intend to cancel your policy.

Get a few of your life insurance company premium statements and any letters from the life insurance company together, and get in touch with us.  We will tell you how we can help.  Sometimes, the deferral of payment is possible.  Sometimes, we can get a late reinstatement approved, without any new medical underwriting.  Watch out–if a life insurance company ever asks for medical updates, that policy is done.  No one is in the same medical condition years later, as when they were first sold the policy, and “medical underwriting” is tantamount to “we will deny you soon” when a life insurance company says it.

We have done this a lot.  We take the time to know you and your case.  We start working for you NOW.  We communicate with you, respond to your calls, are available to you.  We focus on how to win your case.  If you have a problem getting your life insurance claim paid, rescission, beneficiary disputes, or your policy has been cancelled or has other issues on it, you need to contact Life Insurance Lawyer NOW.com or life insurance justice.com.  Use the form on our site, or email us, or call (888) 997-4070 or (818) 937-0937 to speak directly to an experienced life insurance lawyer.   We are the best life insurance lawyers around, and we are real lawyers, not a lawyer referral service or “middleman”, we are here for you NOW.

Life Insurance in the Time of COVID-19

Life Insurance in the Time of COVID-19

This pandemic changes everything.  Or does it change anything?  You have questions – and we at LifeInsuranceLawyerNOW. com have answers for you regarding Life Insurance in the Time of COVID-19.  Our biggest hope is that very few people are unable to make full recoveries from this virus.  But if things get really bad, should you be worried about the life insurance company?  What will happen to your claim?

The life insurance companies are generally financially strong; they have the ability to pay your claim.  Overall, most life insurance companies are in very strong financial positions.  Life insurance companies have large income streams (premiums), conservative property-type investments, and large credit lines.  Many companies have additional insurance programs, where part of a large policy is held by another insurance company, through reinsurance agreements and “treaties.”

It would take a truly severe situation to threaten a life insurance company, not to mention, the entire marketplace, and even an overwhelming number of claims could be accommodated, through various programs.

Will COVID-19 Hurt Life Insurance Companies and My Claim?

While it is unlikely that the whole life insurance industry would tank because of this pandemic, it could put significant pressures on particular life insurance companies.  Some companies do have more specialized or focused policies, in a particular class of insureds, or parts of the country.  Depending on how things unfold, there could be greater pressures on some life insurance companies, more than others.  Some life insurance companies are parts of bigger companies, too, or write insurance policies beyond life insurance alone.  That may provide some stability, or even some vulnerability, again depending on what happens in the next few months.

But your real question, and our true interest, is even more focused.  Will this affect your life insurance claim?  We think it is hard for it to not affect your claim.

  • We expect that life insurance companies will try to slow down the payment of claims, even when they know they need to pay.
  • Some life insurance companies may be tempted to “over” investigate policies less than two years old, looking even harder for a way to try to not pay.
  • More life insurance claims will be met with a simple refund of the premiums, and a hope that the distressed beneficiary will just be too overwhelmed to complain further.

Will Life Insurance Companies Make it Harder to Pay a Claim?

We are here to help.  Whatever the added, unnecessary investigation may be, the repeated submissions of papers that seem to get “lost” like many modification requests, or other antics, we will work with high energy and vigor to hold these life insurance companies accountable.  We are on the life insurance companies to not delay, but to pay, and to do so without asking unnecessary questions, or questions that could have been asked much earlier, but were not, or for things a beneficiary just would not have.  The level of nonsense is likely to go up, no matter where this crisis goes.

We have done this a lot.  We take the time to know you and your case.  We start working for you NOW.  We communicate with you, respond to your calls, are available to you.  We focus on how to win your case.  If you have a problem getting your life insurance claim paid, rescission, beneficiary disputes, or your policy has been cancelled or has other issues on it, you need to contact Life Insurance Lawyer NOW.com or life insurance justice.com.  Use the form on our site, or email us, or call (888) 997-4070 or (818) 937-0937 to speak directly to an experienced life insurance lawyer.   We are the best life insurance lawyers around, and we are real lawyers, not a lawyer referral service or “middleman”, we are here for you NOW.

Don’t Lose Your Life Insurance to Covid-19

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Don’t Lose Your Life Insurance to Covid-19

Don’t Lose Your Life Insurance to Covid-19. If you have lost your employment, being furloughed, or otherwise “separated” from the work you had, and if you have any health issues, you need to strongly consider how to “convert” your group life insurance policy to an individual policy.

Lost Your Employment due to COVID-19?  Take Action on Your Life Insurance Policy now.

With everything going on during this pandemic, it is easy to let this detail get lost in the paperwork.  A failure to complete the necessary paperwork, at the right time, and pay the costs, can be a real problem down the road.

Few employers explain these needs closely – they might not understand it themselves – as they are not experts in this area. But WE are – and that’s why we can help YOU.

Has Your Employer Discussed Your Life Insurance Policy Coverage and Coronavirus to You?

Especially with group employer life insurance benefits, every employee can receive coverage, without individual investigation of their medical backgrounds.  Some private insurance can be somewhat obtainable, but health issues can limit options.

Many employers do not provide the necessary paperwork for “converting” the group policy to an individual policy – but if yours has, this can provide some protection for you and your family – but have they explained this to you?  It may cost more than it did before. But if you have health issues, a private life insurance company might not approve your new policy application. This is not a time to leave your family without proper life insurance policy benefits.

Convert Your Group Life Insurance Benefits to an Individual Policy

Even if your employer has not provided the documents, or if the time has passed, it still may be possible to get the proper coverages in place to stay insured.  It is very important to not wait too long.  The law in this specific area is complex and developing. AND, most importantly, many individuals who have been laid off don’t even realize that their life insurance has been terminated, as seen in this recent news article.

Should you have an opportunity to convert your group life insurance benefits to an individual policy, you should especially consider it, especially if you have any medical issues that may make getting a new policy a challenge.

Can you get a new Life Insurance Policy During the Pandemic?

NerdWallet has recently written that regarding NEW policies, Insurance companies are responding to the pandemic in different ways. Prudential, for instance, has suspended applications for 30-year term life insurance at least through June. Other companies are restricting applications based on the applicant’s recent travel history. And while most insurers continue to issue Life insurance policies, this could change as the situation evolves.

According to WWMT West Michigan, there has been a rush in new policy applications to life insurance companies.

“people have been putting life insurance last on their list, but during the COVID-19 pandemic people are seeking those policies more than ever.” You need to ensure that your previous policy is current and up-to-date. It’s time to contact us to make sure. Don’t Lose Your Life Insurance to Covid-19.

Are you having a problem getting your life insurance claim paid? Have rescission, interpleader, or beneficiary disputes arisen? Has your policy has been cancelled? You need to contact Life Insurance Lawyer NOW.com or life insurance justice.com.  Use the form on our site, or email us, or call (888) 997-4070 or (818) 937-0937 to speak directly to an experienced life insurance lawyer.   We are the best life insurance lawyers around, and we are real lawyers, not a lawyer referral service or “middleman”, we are here for you NOW.