Can a life insurance claim be denied in Nevada and what can I do?

Life insurance claims can be denied, but valid claims from solvent carriers under in-force policies are rarely denied. Understanding why denials happen helps you protect your claim and appeal if necessary.

Common denial reasons include: material misrepresentation on the original application (discovered during contestability review), policy lapse due to unpaid premiums, an exclusion in the policy (such as suicide within the first two years), or a death that falls within a specific exclusion period.

If your claim is denied, the carrier must provide the reason for denial in writing. Carefully review the denial letter and the policy exclusions and terms together. Many initial denials involve misunderstandings about documentation requirements or application of exclusions that don't actually apply to your situation.

To appeal, submit a written appeal to the carrier's claims department with supporting documentation addressing the stated reason for denial. For misrepresentation claims, medical records confirming the accuracy of the original application can be powerful evidence.

If the carrier maintains the denial improperly, file a complaint with the Nevada Division of Insurance. Nevada has a formal complaint process and can conduct market conduct examinations of carriers with patterns of inappropriate denials.

For significant disputed claims, consulting an attorney specializing in insurance disputes is advisable. Agents in our network can provide guidance on the appeals process.