Life insurance denied in Ontario: Your rights

Life insurance in Ontario is a contract between an individual and an insurance company, where the policyholder pays regular premiums in exchange for a lump-sum payment to their beneficiaries upon their death. It provides financial protection to the policyholder’s loved ones by replacing their lost income, covering outstanding debts, and helping with funeral expenses.

When an insurance company denies a life insurance claim, it can have a significant impact on you and your loved ones. The denial may result in financial hardship, leaving you without the intended support. This can lead to difficulties in paying bills, maintaining a standard of living, and coping with the loss of your loved one. Additionally, the denial can cause emotional distress and frustration, sparked by the insurance company’s refusal to honour the policy.

If your insurer turns down your legitimate life insurance claim, don’t panic.

Samfiru Tumarkin LLP is an experienced and respected Canadian law firm that specializes in resolving disputes with insurance companies, and advocating for their clients’ rights.

Our team of experienced life insurance lawyers can review your insurance policy, assess the claim, and provide guidance on the best course of action. Our team’s unique understanding of the insurance industry in Ontario and across the country allows us to identify weaknesses in the insurer’s arguments, and ultimately secure the compensation that you are legally entitled to.

WATCH: Insurance lawyer Sivan Tumarkin tells Global News why a Canadian insurer was wrong to deny Florence Steele’s life insurance claim.

Common reasons life insurance claims are denied in Ontario

Life insurance companies operating in Ontario are constantly looking for ways to deny life insurance claims. By not providing you or your family with the benefits needed to deal with the financial impact of a loved one, these insurers are able to increase their bottom line.

Some of the most common reasons insurers will use to deny life insurance claims include:

• Misrepresentation or missing information in the application
• Fraud
• Exclusionary terms in the policy
• Missed premium payments or policy lapses
• Expire term life insurance

If your insurance provider identifies one or more reason to turn down your life insurance claim, don’t lose hope. You have a right to ask questions and learn more about their decision.

Contact an experienced insurance lawyer at Samfiru Tumarkin LLP for a FREE consultation. We know the right questions to ask, and how to determine if the insurance company has made mistakes when denying your claim.

If my insurer denies my claim, should I get the decision in writing?

You should ask for a denial letter from the insurance company. This document will explain why your life insurance claim was turned down.

It should also reference:

• How to appeal the insurer’s decision
• The two-year limitation period within which you can file a legal claim for compensation

In some cases, insurance companies will try to explain over the phone why you were denied life insurance benefits. Don’t end the call until they confirm that they will also provide you with their decision in writing.

Once you receive the denial letter, gather any other relevant documents (i.e. your policy, application forms, etc.) and contact an experienced Ontario life insurance lawyer at Samfiru Tumarkin LLP.

We can review your situation, identify the mistakes made by the insurer while handling the claim, and secure the compensation you and your family are rightfully owed.

If my life insurance claim is denied, should I appeal?

Rather than appeal, you may be better off filing a legal claim instead. In Ontario, the appeals process is typically handled by the same insurance company that denied the life insurance benefits in the first place.

Insurers use the appeals process to run out the clock on the two-year window, or limitation period, that you have to take legal action after your life insurance claim has been denied.

Once the two years are up, the insurance company doesn’t have to pay out on the claim and you can’t take legal action through Samfiru Tumarkin LLP to get the money you are owed.

SEE ALSO
• Disability Law Show: Why you shouldn’t appeal a denied LTD claim
• Disability lawyer discusses Ontario woman’s life insurance denial
• Sun Life reinstates long-term disability coverage after legal action

I already appealed, what should I do now?

If you appealed the insurance company’s decision to turn down your life insurance claim but were still unsuccessful, you may still have options.

As long as it hasn’t been two years since the life insurance claim was originally denied, an experienced Ontario life insurance lawyer at Samfiru Tumarkin LLP can review your situation and help you secure the compensation that you are entitled to.

During this challenging time of loss, your top priority should be to focus on the wellbeing of your family and dealing with the emotional impact of losing a loved one. We understand that struggling to make an insurance company see reason can be overwhelming and add to your burden. That’s why, once you hire us to represent you, we will take on the responsibility of communicating directly with the insurer on your behalf. Our goal is to ensure that you can have peace of mind and not have to worry about the complexities of dealing with the insurance company, allowing you to focus on what truly matters – healing and supporting your family.

How we can help

If your life insurance claim is denied in Ontario, contact the experienced legal team at Samfiru Tumarkin LLP.

We know the law and regularly resolve life insurance, long-term disability, critical illness and mortgage insurance claim denials.

Several of our lawyers previously worked for insurance companies. We know how they operate, why they make certain decisions, and how to enforce your rights.

Samfiru Tumarkin LLP has helped thousands of clients, including Florence Steele, Julie Austin and Sandra Bullock, hold insurance companies accountable after their claims were denied.

Our life insurance lawyers in Ontario provide free consultations – and we aren’t paid until we secure the compensation that you are legally entitled to.