Life insurance claim denial is more common than most would imagine. Because life insurance companies are in the business of making money, it’s in their best interest to deny as many claims as possible. Unfortunately for the claimant, a life insurance claim denial can be devastating financially and emotionally. However, the good news for victims of life insurance claim denials, most life insurance companies may be willing to settle the dispute out of court. Here’s why:
It Costs Money To Fight Your Life Insurance Attorney
While the life insurance company may be willing to ignore a claimant who doesn’t have an attorney, they are unlikely to ignore someone with representation. Why? Because fighting a life insurance attorney in court will be costly for the company. A matter of fact, the expenses of litigation could be more than the actual claim if you count appeals and the calling of expert witnesses. An experienced life insurance attorney can present facts and leverage laws that in uninformed life insurance claimant simply can.
Taking A Life Insurance Claim To Court Takes Time
Life insurance claim denials which go to court can have lengthy trials depending on a number of factors; including the complexity of the case and the willingness of both parties to stick it out and fight. However, for a life insurance company, the time spent going to trial equals money lost. Even if it does not directly impact the time of the CEO’s they still need to pay for the time and effort expended by their employees and attorneys. If an insurance company suspects that an insurance claim denial may end up in court, they are more willing to settle.
Avoiding a trial is also beneficial for life insurance claimants since they will need to take off from work to attend the trial.
A Trial By Jury Is Uncertain
Going to trial can be risky for both parties. For life insurance companies denying an insurance claim, the risk is that the jury will be sympathetic and grant the claimants a lot more money than a settlement. On the other hand, claimants fighting a life insurance claim denial in court takes the risk of having the jury side with the life insurance company which could leave them with no money at all.
When considering a trial, life insurance claimants should speak with their life insurance attorney to find out if a settlement would be the preferable way to resolve their dispute.
The life insurance lawyers at Life Insurance Law are committed to winning justice for individuals and families who have experienced a life insurance claim denial. Understanding that the primary objective of life insurance companies is to deny insurance claims, Life Insurance Law is prepared to utilize all of our knowledge and legal tools to fight and win your case in the most expedient and effective manner possible. We are also committed to winning the largest payout for you and loved ones. If you are experiencing a life insurance claim denial contact us today.