If a mortgage protection claim is denied
A denial is a decision, not the end of the process. There's a free route to challenge it.
A denied claim is devastating at a moment when a family can least absorb it. It is also not necessarily final.
There's an established process for challenging one, it costs nothing, and most people don't know it exists.
Get the reason in writing
Before anything else, request a written explanation citing the specific policy provision relied on. Insurers are generally required to explain a denial.
A verbal reason is not something you can act on. A written one tells you exactly what you're arguing about.
The usual reasons
- Material misrepresentation on the application, usually raised within the contestability period
- The policy had lapsed for non-payment before the death
- The cause of death falls within an exclusion — most policies exclude suicide for an initial period, which varies by state and contract
- The claim was for someone not actually covered under the policy
- Missing documentation, which is a delay rather than a true denial
Denials that turn out to be wrong
- A lapse where premium notices went to an old address, or a grace period wasn't correctly applied
- An alleged non-disclosure of something immaterial to the cause of death
- A misread policy provision or the wrong policy version applied
- Beneficiary confusion where designations were updated but not recorded
- A claim denied as outside the contestability period rules when it wasn't
Your state insurance department
Insurance is regulated at state level, and every state has a department that accepts consumer complaints about claim handling. Filing costs nothing and doesn't require a lawyer.
The department can require the insurer to respond and explain itself, and complaints are recorded — which is also why the complaint record is worth checking before buying a policy.
What to gather
- The policy document and declarations page
- The written denial letter
- The original application, if you can obtain a copy
- Proof of premium payments
- A log of every call — date, name, and what was said
When to involve an attorney
For a large benefit, a complex factual dispute, or a denial you believe is wrong after the department's review, an attorney experienced in insurance claims is worth consulting. Many will assess a case at no initial cost.
Common questions
Sometimes. Get the written reason citing the specific policy provision, then file with your state insurance department — it costs nothing and they can require the insurer to explain itself.
Alleged misrepresentation on the application within the contestability period, a lapse for non-payment, or a cause of death within an exclusion such as the initial suicide exclusion, whose length varies by state and contract.
Not to file a complaint with your state insurance department — that's free and needs no attorney. For a large benefit or a complex dispute, consulting one is worth it, and many assess a case at no initial cost.
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This page is general information, not advice about your specific circumstances. A licensed insurance professional can tell you what’s actually available to you.
General information only, not insurance advice. Coverage, availability, and terms vary by insurer and by state, and are subject to underwriting. Quote My Policy LLC is a licensed insurance producer. Nothing here binds coverage.