$5 Million Paid from Denied Life Insurance Claim
Txylo.com/10279613
Trending...
- Texas: Governor Abbott Amends, Renews Drought Disaster Proclamation In April 2025
- Fellow Introduces Espresso Series 1: A New Era of Home Espresso Begins
- New York Times Exposé Vindicates CCHR: ADHD Isn't Biological, Says Watchdog
Life insurance claim investigation uncovers bad policy management by insurer resulting in $5 million death claim payout.
MIAMI - Txylo -- The Center for Life Insurance Disputes recently represented the widow of a Florida dentist in a $5 million life insurance claim dispute. The widow tried to file a claim for the death benefits of a life insurance policy upon her husband's death but was told by the insurer the policy had lapsed two months before his death.
The life insurance was intended to take care of her financial needs after his death. It appeared there would be nothing for her. She was devastated.
The widow retained the Center for Life Insurance Disputes (the Center) to investigate and establish if she had a valid claim.
From their claim investigation the Center found that the insurer had been providing the husband with incorrect policy information for at least 2 years before the policy lapsed. It also uncovered that the insurer had sent more than one set of premium notices that showed different amounts owed at about the same time. And finally, the Center determined that the insurer was managing the policy under the rules and regulations of the wrong state.
More on Txylo.com
One especially critical policy management violation by the insurer was that the insured was being mailed policy status statements quarterly and annually but the information didn't match when it should have. The policy information on the last day of the year should have been the same on both the Quarterly Statement and the Annual Statement – it wasn't.
The Center argued that these errors caused the policy to lapse, not the policyowner.
Life insurance companies are obligated to provide accurate and reliable information to their policyholders. The information an insurer provides -- especially for universal life insurance and whole life policies -- sets the foundation for how a policyowner can keep their policy in good standing. When the information is faulty so too will be the owner's efforts to pay enough premium.
The Center presented their findings to the life insurance company and it was met with skepticism and pushback. The insurer bellowed that their systems were reliable. Their aggressive stance didn't deter the Center, which knew the facts would prove them correct. After several rounds of document sharing and arguments the insurer conceded by paying the claim -- but not admitting any wrongdoing.
More on Txylo.com
This was not just a violation of a single policy and its effect on a beneficiary. The mismanagement of the policy by the insurer affected everyone whose policy was being managed by the same computer system and practices.
The widow received her $5 million life insurance claim payment.
The life insurance was intended to take care of her financial needs after his death. It appeared there would be nothing for her. She was devastated.
The widow retained the Center for Life Insurance Disputes (the Center) to investigate and establish if she had a valid claim.
From their claim investigation the Center found that the insurer had been providing the husband with incorrect policy information for at least 2 years before the policy lapsed. It also uncovered that the insurer had sent more than one set of premium notices that showed different amounts owed at about the same time. And finally, the Center determined that the insurer was managing the policy under the rules and regulations of the wrong state.
More on Txylo.com
- Texas Arrests Mexican Mafia Gang Member, Wanted Criminal Illegal Immigrant
- Sweet Success: Buttermilk Sky Pie Shop Selects BOLD Social as New Marketing Partner
- Youthful Reserve Wine a game changer in the wine industry
- Governor Abbott Appoints Three To Texas State Board Of Social Worker Examiners
- Enverus releases Investor Analytics: Refined, actionable financial insights at your fingertips
One especially critical policy management violation by the insurer was that the insured was being mailed policy status statements quarterly and annually but the information didn't match when it should have. The policy information on the last day of the year should have been the same on both the Quarterly Statement and the Annual Statement – it wasn't.
The Center argued that these errors caused the policy to lapse, not the policyowner.
Life insurance companies are obligated to provide accurate and reliable information to their policyholders. The information an insurer provides -- especially for universal life insurance and whole life policies -- sets the foundation for how a policyowner can keep their policy in good standing. When the information is faulty so too will be the owner's efforts to pay enough premium.
The Center presented their findings to the life insurance company and it was met with skepticism and pushback. The insurer bellowed that their systems were reliable. Their aggressive stance didn't deter the Center, which knew the facts would prove them correct. After several rounds of document sharing and arguments the insurer conceded by paying the claim -- but not admitting any wrongdoing.
More on Txylo.com
- Texas: Governor Abbott Appoints Cohoon As Presiding Judge Of Sixth Administrative Judicial Region
- How to Fast-Track Your Way to the Top with The Code
- Citizen Green TV and Texas HempstaLK Forge Strategic Media & Tech Partnership
- Oak Harvest Financial Group's 2nd Annual Charity Golf Tournament Surpasses Inaugural Event
- Howson Inspections: Trusted Home & Commercial Inspections Across Texas & Southern California
This was not just a violation of a single policy and its effect on a beneficiary. The mismanagement of the policy by the insurer affected everyone whose policy was being managed by the same computer system and practices.
The widow received her $5 million life insurance claim payment.
Source: The Center for Life Insurance Disputes
Filed Under: Business
0 Comments
Latest on Txylo.com
- TechnologyRecyclers.Net Shatters Recycling Records with Unprecedented Earth Day 2025 Turnout
- Insuserve1 Showcases Insurance Virtual Assistant Services at NetVU Accelerate 2025 as Silver Corpora
- Texas: Governor Abbott Appoints Six To The Nueces River Authority
- Governor Abbott Signs Texas DOGE Into Law At Texas Capitol
- Patriot SoftWash Completes Softwash Cleaning at Forum at Grand Prarie
- Fairfield Inn by Marriott Scottsdale Old Town Opens
- Governor Abbott Congratulates Frisco As Tourism Friendly Texas Certified Community
- Altus Nova Launches Advanced Multi-User Voice Platform to Reinvent Memorization and Learning--First Deployed for Bible Study Groups
- Governor Greg Abbott Reappoints Three To Red River Authority Of Texas Board Of Directors
- NASA Astronaut Don Pettit to Discuss Seven-Month Space Mission
- Pelican Reef Group Announces Grand Opening of New High Point Showroom – IHFC Building H-621 & Event April 27th, 2025
- Institute of Product Leadership Launches International Certificate in AI Product Management Program
- NaturismRE Launches the 11 Levels of Naturism: A Groundbreaking Framework Guiding the Global Naturist Journey
- K2 Integrity and Sonata One Partner to Accelerate Capital Raising, Reduce Risk, and Deliver Scalable Advisory Services for Private Fund Managers
- Cortney Burns Named Regional Sales Manager at 1 Resource Group
- NPWR INVESTOR ALERT: NET Power Inc. Investors with Substantial Losses Have Opportunity to Lead Class Action Lawsuit
- The World's No.1 Superstar™ Walks Where Legends Rest: A Sacred Encounter in Rome Before the Pope's Passing
- Quaxs Trading Center Launches Crypto Learning Initiative to Foster Investor Education
- Starlight 512 Shines Bright at the 2025 Cap10K with New Community Partnership
- Coming Up on "Financial Freedom with Tom Hegna" Financial Expert Parker Faulkner