Frequently Asked Questions

If your insurance company had declined your claim after a full assessment, it is important that you understand the reasons why. The most common reason a Life Insurance claim is rejected is due to non-disclosure (some information that the insurance company said should have been on the application form). When the insurance company process the claim, they would normally request information from healthcare providers. This may in turn highlight something that should have been disclosed during the application (normally medical or lifestyle information like smoking or alcohol consumption).

In the event of non-disclosure, your insurance company will normally ask you to explain the non-disclosure. Insurance companies may push for an immediate response, looking for a way to reject your life insurance claim. It is important to note that you can always ask the insurance company to put these questions in writing. This gives you the opportunity to consider the questions and answer them accurately in your own time.

Many people ask, “does Life Insurance pay out for suicidal death in the UK” or “will Life Insurance pay out if someone commits suicide.” The short answer is yes. Today’s policies will normally cover suicide from a year after the policy started. Suicide has a devastating impact on loved ones and unfortunately the process of claiming on Life Insurance may not be easy. In some cases where a person has passed away from suicide insurance, companies may use this to obtain vast amounts of medical information. This may be in the hope of identifying a qualifying non-disclosure (often a mental health non-disclosure). This can be stressful and can cause considerable delays to the claim.

ABI figures* state that around 3% of Insurance claims pay out. This may not include claims where the policy has been cancelled since inception (for reasons such as non-disclosure). Over 2 million pounds of Life Insurance claims are denied every week in the UK (that we know about). * View ABI figures

If your claim is rejected, the insurer should refund the premiums paid into the policy and cancel it. You can appeal the claim denial by talking to your insurance company and looking at the exact reasons your claim was rejected. Once you have the exact reason you can get to work looking at regulation, previous precedent cases, guidelines, policy terms & conditions and initial application. Should you require expert information and guidance you can speak with Resolute Claims.

If someone has passed away and alcohol is found to be a contributing factor it is most likely the insurance company will ask for historical medical evidence to confirm your application was correct (in other words, to make sure the amount of alcohol consumption reported on the application was correct). If the consumption amount disclosed was correct, then they would normally pay the claim.

Much like alcohol abuse, if someone has passed away and drug use is found to be a contributing factor it is most likely the insurance company will ask for historical medical evidence to confirm your application was correct (i.e., to make sure the level of drug use reported on the application was correct). If the consumption amount was correct, they would normally pay the claim.

A number of customers who have tried to claim on Life Insurance unsuccessfully due to information not being filled in correctly or care not being taken when filling in the application. This can often happen when IFA’s or Brokers “churn” policies and may not ask the right questions. Providing the right medical and lifestyle information is essential to ensure your insurance claim is paid. If you have thought “has my Life Insurance been mis-sold” or “I’ve been sold a policy that would never payout,” you may be entitled to compensation from whoever sold you the policy. You might start by requesting all the information relating to the sale of the insurance policy (along with any recorded phone calls). If you need any help on how to claim against a mis-sold Life Insurance policy, you can use Resolute Claims free information and guidance service.

Appealing a rejected Life Insurance Claim can be complex and relies on an evidence based, logical and structured argument rather than appealing to the good nature of an insurance provider. If your insurance claim has been denied it is important to get all the information to hand, including what medical information has been looked at, to review the insurance companies’ terms and conditions and look over the appropriate regulations.

You may need help when it comes to appealing a denied Life Insurance claim. Resolute Claims offer a free and impartial guidance service that can give you handy hints and tips and how to appeal a declined Life Insurance claim. We can also offer our advocacy service where we can fight insurance companies on your behalf.

Normally a claim will take around six to eight weeks. This can vary depending on how much information your insurance company requests.

This can depend on the reason(s) an insurance claim was denied and the type of policies you have. Normally an insurance company will have to respond within eight weeks of you submitting your appeal. It may take longer if further medical information is sought, depending on how promptly medical professionals supply this information.

If your insurance claim appeal has been denied you can appeal directly to the Financial Ombudsman Service. At first your complaint will be referred to an investigator or adjudicator, if you are unhappy with their decision, you can refer your case to an Ombudsman. Timescales can vary but an investigator may take around four to six months to decide and an Ombudsman can take around the same timeframe.