When an individual with a valid life insurance policy passes away, benefits are paid to the parties named in their policy. However, it is not uncommon for disputes to occur regarding the allocation and value of life insurance benefits.
At an already sensitive and emotionally charged time, life insurance disputes can make bereavement even more difficult to deal with. However challenging and complex your case may be, we can provide the support you need to bring the matter to a swift and amicable conclusion.
Contact our insurance dispute lawyers at Aristone Solicitors anytime for more information.
Why Life Insurance Disputes Occur
There are various reasons why one or more individuals may choose to contest the terms and conditions of a deceased individual’s Life Insurance policy. However, the two most common types of life insurance disputes that occur in the United Kingdom are as follows:
1. Former Spouses Claim to Be the Beneficiary
This occurs when an ex-spouse partner of the deceased individual is still named on the Life Insurance policy at the time of their death. It is not uncommon for people with life insurance to forget to make changes to their policy in the wake of separation. Depending on the terms of the policy and the extent to which the separation was amicable or otherwise, the named former spouse may or may not be entitled to the life insurance benefits.
2. Competing Claims by Beneficiaries
Life insurance holders can name any person or persons they choose as beneficiaries in their policies. It is therefore not uncommon for both named beneficiaries and those excluded from a life insurance policy to launch competing claims. In a typical example, one or more family members may feel they have been unfairly excluded from the policy, or that other beneficiaries have been allocated too much.
There are also instances where life insurance policyholders are suspected to have taken out policies under duress or having been misled into doing so. If any terms or conditions were agreed to at a time when the policyholder was not of sound mind, it could impact the validity of the entire policy.
If you have any questions or concerns regarding the life insurance policy of a deceased friend or family member, contact a member of the team at Aristone Solicitors today.
How Are Insurance Disputes Handled?
Unfortunately, no insurance company has the authority to alter the terms of a deceased individual’s policy. Nor do insurers have a legal right to decide who is entitled to the benefits of the policy when disputes occur.
Through independent third-party mediation, it’s often possible for those involved in the dispute to reach a mutually amicable agreement. In which case, a solicitor can take the necessary action to receive formal permission from the courts to alter the terms of policy and distribute the benefits accordingly. Otherwise, the dispute must be brought before the courts for a legally binding ruling to be reached.
Whichever side of the argument you find yourself on, we can provide the support and representation you need to bring the matter to a prompt resolution. Contact a member of the team at Aristone Solicitors anytime for more information.