Life insurance payout

My uncle passed away and had a 15,000
policy. The company sent half and said
it was because of his age. Does this
sound right?

Asked on January 22, 2018 under Insurance Law, California

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 3 years ago | Contributor

The insurer has to pay whatever the insurance policy, which is a contract, says they must pay: they could pay less due to age only if the terms of the policy state they may. Review the policy: what does it say? If it does not support what they are doing, your aunt could sue the insurer for "breach of contract" for the rest of the money.


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