This is the worst-case scenario and you should know that it’s very rare that insurance companies do this. In fact, surveys show that most insurance companies end up still paying the claims that they initially tried to dispute. On the other hand, as a life insurance policyholder, you want to make sure that your family and loved ones are left with the financial help that as you expected.
Although these cases are indeed very rare, here are some ways that you can prevent insurance companies from rejecting your claim.
Do Not Give False Information on Your Application
It might sound tempting to lower your premiums by not disclosing previous smoking habits or treatments for other illnesses. You may think that just because they happened a long time ago that you can get away with them. However, if something unfortunate happens and the policy owner dies less than five years before the insurance application, the company might withdraw the policy. This is whether or not the cause of death had something to do with your lie.
Basically, most insurance companies protect themselves with these kinds of false information. It might be good to pay lower fees but remember that it may cost you in the end.
Take Your Time in Answering Questions on the Application Form
Most customers would rush through the questions on the application form which concerns their health. While it’s true that most questionnaires are very long and you might think that it’s troublesome to read every single question, you need to remember that this is a document that is valid and binding. What this means is that overlooking an important fact can lead to the rejection of your claim in the end.
4. Carefully review your application. After you or your insurance agent fill out an application, carefully read it over to ensure all answers are accurate before signing it.
Demand for A Copy of Your Insurance Application Form
There are some agents who would “tweak” your application forms to get a higher commission. These agents will usually not inform you that they changed your annual income on the form or that they chose a policy with a higher value for your application. In fact, there have been cases where insurance agents were arrested due to falsification of application forms.
Because of this, you need to demand for a copy of your application form before it is submitted. Carefully review the form and make sure that all information is correct before submission.
Another way to avoid having troubles with your claims is to only deal with reputable insurance companies that offer nothing but the best policies.
We at Roper Insurance, provide expert assistance to our clients in choosing the best deal within their budget. We are always ready to help and give our services. Feel free to contact us at (828) 697-6709. Get your free quote today by CLICKING HERE.