If you or a loved one have had a life insurance claim denied because an insurance company claims that there was a misrepresentation on the insurance application, you may be still be entitled to receive those benefits as the named beneficiary.
In Louisiana, a life insurance company can contest the validity of a life insurance policy if the named insured dies within two years. This is referred to as the policy’s “contestability period”. Often, a life insurance company will deny a claim citing that an insured made a misrepresentation on his or her insurance application. However, not every misrepresentation or a mere mistake made by a person who fills out an application for life insurance is just grounds for a life insurance company to deny a claim.
Louisiana law provides that in order for a life insurance company to deny a claim during the contestability period of a life insurance policy, the company must show that the misrepresentation on the insurance application was made with the intent to deceive the life insurance company or to affect the insurance company’s risk in their determination of issuing the life insurance policy.
If an insurance company is unable to prove that a person intentionally provided an untrue fact on a life insurance application to affect whether the insurance company would issue the policy, then the life insurance policy must be honored.
If you have had a life insurance claim denied because a life insurance company claims that there was a misrepresentation on the insurance application, give us a call for a free consultation on your possible claim.
This is provided for informational purposes only and not for the purpose of providing legal advice.