policy

[mcampbell]

What is the name of your state? illinois
my mother has a policy over 3 years old that has a incontestability clause. my brother died and the insurance company refuses to pay her stateing she falsified the application stting he had no acohol problem. (he died of sicrosis of the liver). It is true she did falsify information on the application to get the policy, but she thought since he lived past 3 years the company had to pay since the policy contains a incontestability clause. where does she stand on this? thank you.

 

[BelizeBreeze]

What is the name of your state? illinois
my mother has a policy over 3 years old that has a incontestability clause. my brother died and the insurance company refuses to pay her stateing she falsified the application stting he had no acohol problem. (he died of sicrosis of the liver). It is true she did falsify information on the application to get the policy, but she thought since he lived past 3 years the company had to pay since the policy contains a incontestability clause. where does she stand on this? thank you.

Where does she stand? Alone.

 

[Betty]

What is the name of your state? illinois
my mother has a policy over 3 years old that has a incontestability clause. my brother died and the insurance company refuses to pay her stateing she falsified the application stting he had no acohol problem. (he died of sicrosis of the liver). It is true she did falsify information on the application to get the policy, but she thought since he lived past 3 years the company had to pay since the policy contains a incontestability clause. where does she stand on this? thank you.

The incontestability clause states that after the policy has been in force for a certain length of time, the co. can no longer contest it or void it, except for nonpayment of premiums. After the policy has been in force for the specified period of time, even if fraud is discovered, the co. cannot void the policy. This makes the life ins. contract a little different from other types of contracts - usually, fraudulent contracts may be voided or canceled at any time. Having said all that - I worked 35+ years for a life ins. co. & I know there are some companies that have in their policy provisions that they can contest & void a contract of ins. at any time if the applicant intentionally lied/fraud was committed on the application & they would not have issued the policy had they had the correct information. You will have to read the policy provisions re incontestability period & see what it says - if there is any reason they can void at any time. How long is the incontestability period? Did mom sign the application as owner/applicant & did your brother sign as insured - how old was he when mom took out the policy?