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Our New York life insurance lawyers have decades of experience fighting for the rights of life insurance beneficiaries like you.
Facing a denied life insurance claim can be overwhelming, especially when your family’s financial stability is at stake. At Boonswang Law, our life insurance lawyers in New York City, NY help beneficiaries fight back against wrongful denials and delayed payments.
Our New York City life insurance attorneys have:
- Decades of experience in life insurance law
- Recovered over $200 million for our clients
- Litigated cases involving many insurance carriers
- Accolades from several publications
Life insurance is meant to provide financial security, protect loved ones from hardship, and support business continuity after a loss. However, 99% of term life insurance policies never pay out, often withholding claims and neglecting to honor required payments. Our NYC life insurance attorneys stand by your side in these situations and hold life insurance companies accountable.
Contact Boonswang Law Firm at (855)-347-1279 for a free legal consultation with a skilled life insurance lawyer in New York City to discuss your claim so we can fight for what you deserve.
Boonswang Law Has Helped Life Insurance Beneficiaries throughout New York City, Including These Cities and the Surrounding Areas:
- Albany
- Brentwood
- Buffalo
- Cheektowaga
- Mount Vernon
- New York City
- New Rochelle
- Niagara Falls
- Rochester
- Syracuse
- Schenectady
- Troy
- Utica
- West Seneca
- White Plains
Your Claim Matters – Talk to a New York Life Insurance Lawyer Today for Free!
Why Life Insurance Companies Commonly Reject Claims in New York City
Life insurance companies often deny claims to protect their profits, leaving beneficiaries without the support they were promised. Understanding these tactics can help you determine if your life insurance claim was unfairly rejected and if legal action is needed to recover the benefits you deserve.
Unpaid Premiums
Maintaining a life insurance policy requires regular premium payments. If the policyholder misses payments, even unintentionally, the insurance company may declare the policy lapsed and deny any claims.
Policy Misinterpretation
Life insurance policies are often filled with complex language, which insurers may interpret in a way that benefits them instead of the policyholder’s beneficiaries. For instance, they might claim that a policy’s terms don’t cover a certain event, even if the intent of the policy suggests otherwise.
Alleged Misrepresentation and Retroactive Cancellation
When applying for life insurance, policyholders must provide accurate personal information. If an insurer discovers a mistake or omission after the policyholder’s death, they may cancel the policy retroactively, claiming fraud or misrepresentation.
An Exclusion Applies to the Cause of Death
Policies typically list exclusions, such as deaths resulting from suicide, illegal activities, or risky hobbies. However, insurance companies sometimes misclassify causes of death to avoid payouts. They might label an accidental overdose as intentional to invoke a suicide exclusion.
Our New York City life insurance lawyers work with medical experts to challenge these classifications and secure the benefits clients deserve.
Filing a Life Insurance Claim in NY: A Complete Overview
The life insurance claims process in New York can feel daunting, but knowing what to expect can help you approach it with confidence. Here’s a straightforward guide to help beneficiaries file a claim and receive the benefits they’re owed:
- Notify the Insurance Company: Inform the insurer of the policyholder’s passing promptly, providing a certified copy of the death certificate.
- Complete the Claim Form: Fill out the claim form accurately, ensuring all details align with the policy’s information.
- Gather and Submit Required Documents: Submit the completed form along with the death certificate, policy document, and proof of the beneficiary’s identity.
- Await Insurance Company Review: The insurer will review the claim and documents, a process that can take several weeks or longer.
- Receive Approval or Address Denial: If approved, benefits will be paid; if denied, the insurer must explain their decision in writing.
What You Can Expect When You Work With the New York City Life Insurance Lawyers at Boonswang Law
If you’ve never worked with a life insurance attorney, it’s important to know what kind of support you’ll receive. When you choose Boonswang Law’s seasoned life insurance lawyers in New York City to handle your claim, you can count on us to:
- Examine the Life Insurance Policy: Analyze the policy’s terms to confirm coverage, identify exclusions, and uncover any inconsistencies.
- Evaluate Insurance Company Communications: Review denial letters and other correspondence to determine the insurer’s reasoning and develop a strategic response.
- Investigate Claim Denial Reasons: Conduct a detailed investigation to uncover the actual reasons for the denial, including policy misinterpretations or errors.
- Negotiate on Your Behalf: Work directly with the insurance company’s legal team to advocate for your right to the benefits.
- Take Legal Action if Necessary: If negotiations fail, litigate your life insurance denial case in court to ensure you get the compensation you’re entitled to receive.
Resolving Conflicts Over Life Insurance Beneficiaries in New York City
Disputes over life insurance beneficiaries can be emotionally and legally complicated, often arising during an already difficult time. Here are some of the most common conflicts and how they can affect claims:
- Contested Beneficiary Designations: Claims may be challenged if there is evidence the policyholder was pressured or coerced into changing the beneficiary. These disputes often involve allegations of undue influence, fraud, or lack of mental capacity.
- Outdated Beneficiary Information: Beneficiary disputes can arise when a policyholder fails to update designations after major life changes, such as divorce, remarriage, or the birth of children. This can lead to conflicts between current and former beneficiaries.
- Multiple Beneficiaries: Confusion often occurs when a policy names multiple beneficiaries without clearly defining how life insurance benefits should be divided. Disagreements over percentages or conflicting designations can stall payments.
Common Insurance Scams and Bad Faith Behaviors to Avoid
While life insurance provides families with financial protection, it’s important to stay vigilant against unscrupulous practices by insurance companies. Insurers may prioritize profits over their legal and contractual obligations, leading to bad faith behaviors or outright scams. Below are key issues to watch for when dealing with life insurance policies in NYC:
Indexed Universal Life Insurance
While Indexed Universal Life Insurance (IUL) policies can offer benefits, they’re often misrepresented to policyholders. Companies might promise significant savings growth tied to indices like the S&P 500 but downplay the time and income required to see returns. For those with limited discretionary income or a shorter life expectancy, IUL policies often fail to deliver as advertised.
Churning Scams
Churning scams exploit policyholders’ trust by encouraging them to replace an older policy with a seemingly better one. Insurers might offer lower premiums on a new policy but fail to disclose that the old policy will be used as collateral for a loan against the new one. Over time, this scheme depletes both policies, leaving the policyholder with no coverage.
Insurance Bad Faith
Bad faith occurs when insurers deliberately fail to honor their contractual obligations. Common examples include unjustified life insurance claim denials, excessive delays in processing claims, or refusal to pay the full death benefit. These actions can leave beneficiaries without the support they were promised, requiring the support of a life insurance attorney to hold them accountable.
Common Questions about Life Insurance Claims in New York City
What is the Statute of Limitations in New York for Contesting When My Life Insurance Claim Was Denied?
In New York, the statute of limitations for life insurance claim disputes is typically six years from the date of denial. However, it’s crucial to act promptly, as delays in filing can make it more challenging to gather the necessary evidence and build a strong case.
Can I Still Receive Death Benefits if the Policy Lapsed?
If a life insurance policy lapses due to non-payment, coverage ceases, and insurers are not obligated to pay death benefits. However, some policies offer a grace period (e.g., 31 days for term life policies in New York) during which the policy can be reinstated. Additionally, if the lapse resulted from insurer or employer error, beneficiaries might still have a valid claim.
The Beneficiary Designation Changed Just Before the Policyholder’s Death From Me to Someone Else, What Can I Do?
If you suspect the beneficiary change was made under duress, fraud, or without the policyholder’s consent, you can contest it. Gather evidence supporting your claim and consult a life insurance attorney in NYC to assess your options.
I Am the Only Named Beneficiary. Am I Allowed to Share the Death Benefits with My Siblings?
Yes, as the sole named beneficiary, you have the legal right to distribute the death benefits as you see fit, including sharing them with your siblings. However, once you receive the funds, any sharing is at your discretion and not governed by the insurance policy.
I Think a Loved One May Have Had Life Insurance, How Do I Find Out?
To locate a potential life insurance policy, check the deceased’s records for policy documents or payment receipts. Contact their employer to inquire about any group life insurance coverage. Additionally, you can use online tools provided by insurance companies, such as New York Life’s policy finder, to search for lost policies.
When Should a Spouse Contest a Life Insurance Beneficiary Designation?
A spouse should consider contesting a beneficiary designation if there is evidence it was changed unlawfully, under duress, or in violation of a legal agreement, such as a divorce decree. Consulting with a NYC life insurance attorney can help determine the validity of the claim and the best course of action.
Who is Authorized to Change a Life Insurance Beneficiary Designation in NY?
In New York, only the policyholder has the legal authority to change the beneficiary designation on a life insurance policy. In certain situations, someone with a valid power of attorney may also make changes on behalf of the policyholder, provided the authority is explicitly granted.
Can the Life Insurance Beneficiary Designation Change After the Policyholder’s Death?
No, beneficiary designations cannot be altered after the policyholder’s death. Any changes made posthumously are considered invalid.
What if a Minor is the Designated Life Insurance Beneficiary?
In New York, minors cannot directly receive life insurance proceeds. Typically, the court will appoint a guardian to manage the funds until the minor reaches the age of majority. Alternatively, setting up a trust with the minor as the beneficiary can ensure the funds are managed according to the policyholder’s wishes.
What Happens If the Beneficiary Predeceases the Policyholder?
If the primary beneficiary dies before the policyholder and no contingent beneficiary is named, the death benefit usually becomes part of the policyholder’s estate. It’s advisable to regularly update beneficiary designations to reflect current intentions.
Need Help with Your Life Insurance Claim in New York City? Contact Boonswang Law
Life Insurance Attorneys Serving These States
- Alabama
- Alaska
- Arizona
- Arkansas
- California
- Colorado
- Connecticut
- Delaware
- Florida
- Georgia
- Hawaii
- Idaho
- Illinois
- Indiana
- Iowa
- Kansas
- Kentucky
- Louisiana
- Maine
- Maryland
- Massachusetts
- Michigan
- Minnesota
- Missouri
- Mississippi
- Montana
- Nebraska
- Nevada
- New Hampshire
- New Jersey
- New Mexico
- New York
- North Carolina
- North Dakota
- Ohio
- Oklahoma
- Oregon
- Pennsylvania
- Rhode Island
- South Carolina
- South Dakota
- Tennessee
- Texas
- US Virgin Islands
- Utah
- Vermont
- Virginia
- Washington
- West Virginia
- Wisconsin
- Wyoming