Insurance Coverage – Improper Cancelation of Policy
BLG’s client was denied payment under a group life insurance policy following her husband’s death. The insurer denied coverage because the deceased’s employee allegedly failed to remit the necessary premium payments. This lapse in payments led to the cancellation of our client’s policy. However, upon thorough investigation, we discovered that the insurer failed to provide adequate notice of missed payments and/or policy cancellation at the relevant time. We initiated a lawsuit against the insurance company, during which it became evident that the insurer could not locate valid documentation of policy cancellation and reached an extremely favorable settlement.