I have had several calls from friends lately that dealt with an issue of a loved one who had passed away due to sickness or illness, and one was even murdered! The decease had insurance in place, however, the insurance company is not paying out on the claim. You may be wondering well why is that?? Well my first question always is “what type of policy was it?” In most cases the response is always the same. An ACCIDENTAL LIFE INSURANCE POLICY.
Many people receive these advertisements in the mail for this very low-cost insurance and apply for it without thoroughly understanding what they have. There is NOT anything wrong with accidental policies as long as you are clear on how they work and if you have some additional permanent coverage as well. They only pay out death claims that result in death from an accident. An accident would be a car accident, public transportation (most cases), etc. Does not include dangerous activities such as hang gliding or skydiving, or the like. So when loved ones pass away from illnesses, cancer, or natural causes the insurance will not pay out. You do not want to be the family who is planning funeral arrangements to learn that you are now responsible for the bill and worse off that there are no resources to take care of the family left behind. These are devastating circumstances!
I encourage you to double check the type of policy you own or schedule a free no obligation consultation with me and I’ll review it for you, as a gift to my readers. Feel free to contact me with any further questions. Call my office to schedule (301) 577-6340