What Is Life Insurance?

If people in your life rely on you financially, they could quickly be put into financial distress if you were to die unexpectedly. Life insurance is a contract between the insurance company and an insured in which the company promises that at the death of the insured, the company will pay a certain amount of money to a person the insured designates in the contract if that person survives the insured. In return for the promise to pay, the insured will pay the life insurance company a premium.

Many people are unsure whether or not they need life insurance, let alone if they need a lawyer to help them get a policy or get a claim from their policy. If you have any questions about the information below, contact McKennon Law Group to speak to a qualified insurance attorney about your options.

How Do I Know If I Need Life Insurance?

Not everyone needs life insurance. Parents don’t typically take out life insurance policies on their children, as parents are responsible for their children’s financial wellbeing. Rather, parents would take out a life insurance policy on themselves to mitigate the risk of bringing financial hardship upon their children.

If your death would financially impact the other people in your life, it’s wise to get life insurance. If you have a life insurance policy and pass away, the people who receive your death benefit – your spouse, children, or other family members – are permitted to use that money to cover their financial needs, such as paying a mortgage or car payment.

If you die unexpectedly and you feel that your sudden death would put your loved ones in a bad financial position, getting life insurance would be wise. Having life insurance takes care of any debt you hold during your lifetime after you pass away, meaning it won’t become a burden to your loved ones. Your spouse or children may inherit certain debts after you pass away, making it a wise decision to get insurance to avoid this. Many people also get life insurance if they believe their funeral costs would be a financial burden on their loved ones.

How Should I Choose A Life Insurance Lawyer?

As with any time you need the help of a lawyer, you should make your choice based upon their record of success, any awards they’ve won, referrals they’ve gotten, and so forth. You want to work with a law firm that can prove their success and has repeatedly demonstrated their care and concern for their clients.

With over 70 years of experience, the McKennon Law Group has specialized in long-term disability and short-term disability insurance, life insurance, health insurance, accidental death insurance, and long-term care claims, as well as all types of ERISA litigation claims involving employee benefits, including group insurance claims, pension claims and severance claims.

Our law firm provides aggressive advocacy to those who need it most. We’ve recovered millions of dollars for our clients, and are proud to receive superb testimonials from our many thankful clients. Our attorneys have received many recognitions and awards as top insurance and ERISA attorneys, including Super Lawyers, The American Lawyer, Martindale-Hubbell, AVVO, Forbes, and the Los Angeles Times, among others. See our Awards & Recognitions. These awards and accolades are testament to our commitment to our clients, and proof that we will stop at nothing to ensure our clients receive the best possible outcome for every case, every time.

How Much Does It Cost To Speak With A Life Insurance Lawyer?

At McKennon Law Group, most of our cases are taken on a contingency fee basis. A contingency fee basis means that you pay nothing at all unless we win your case by way of judgment, reinstatement of benefits or settlement. If we don’t win your case, you pay nothing.

Not all California insurance lawyers offer a free consultation either, but our law firm does. We offer a free, no-risk case evaluation to anyone with issues regarding life insurance – or any other insurance policy they hold. We understand that when insurance companies fail to properly pay out claims, or delay in paying out claims, it can put you in a tight financial spot. That’s why our initial phone consultation is offered free of charge to any California resident in need.

Schedule A Case Evaluation With A Life Insurance Lawyer Today

If your life insurance company has acted in bad faith, or you have questions regarding the legal terms and conditions laid out in your life insurance policy, schedule a free case evaluation with the California insurance attorneys at McKennon Law Group today.

What Is Bad Faith?

Under Federal law, all people owe a basic duty of care to others. This duty of care extends to businesses and business owners as well. Insurance companies are not exempt from this basic duty of care. Insurance companies are required by law to operate in good faith with every policyholder. This means, a policyholder should not have to worry that their insurance company is taking advantage of them when they’re not looking. This is considered bad faith.

“Bad faith” is a term that generally describes dishonest dealing in any capacity. Depending on the exact setting, bad faith may mean a dishonest belief or purpose, untrustworthy performance of duties, neglect of fair dealing standards, or a fraudulent intent. All insurance contracts and documents should imply a duty of good faith and fair dealing between both the insurance company and the policyholder. When this is breached, policyholders have the right to take action.

What Are Examples Of Bad Faith Insurance Dealing?

Insurance companies have a bad reputation for being focused solely on their profits, and not giving policyholders the money they deserve when they need it most. Because insurance companies must meet their bottom line, bad faith claims are somewhat common. Many insurance companies will deny a claim immediately, in hopes that a policyholder will give up and accept defeat. In other cases, an insurance company will treat a policyholder unfairly, take far too long paying out a claim, or worse – wrongfully deny a claim altogether.

Consult with an attorney if your insurer:

Improperly investigated an insurance claim
Made a lowball offer
Was dishonest or fraudulent
Changed your policy without telling you
Denied your claim without any explanation
Ignored your attempts to communicate
Refused to accept you supporting documentation
Charged an unfairly high premium
Wrongfully cancelled your policy
DIdn’t advise you of a lapse in your coverage

Is A Denied Claim Always Bad Faith?

When an insurance company denies a claim, this doesn’t always constitute bad faith. There are a handful of reasons why an insurance claim could be rightfully denied. However, if your claim has been denied and you feel that it should have been accepted instead, you have every right to contact a bad faith insurance lawyer with any questions you may have.

Insurance claims can be denied for legitimate reasons, such as when a policyholder seeks compensation for damages that are not included under their policy. Insurance claims can also be denied if the claim does not contain sufficient information to back up the claim, proving why the policyholder requires compensation. This situation can be fixed with the help of a lawyer.

Sometimes, insurance companies do make mistakes. Sometimes insurance adjusters calculate a different amount of damages than the policyholder calculates, leading to a discrepancy. This is not necessarily bad faith, but doesn constitute a mistake that needs to be addressed. If you are unsure if your denied claim is bad faith or not, speak to a lawyer as soon as you possibly can.

How Can I Fight A Bad Faith Insurer?

Sadly, it’s not rare for an insurance company to act in bad faith- but fighting back is possible. If you have any inclination that your insurance company has been acting in bad faith, contact the McKennon Law Group as possible.

If applicable to your situation, our lawyers will help you hold the insurance company accountable by filing a lawsuit against them for acting in bad faith. Before filing a lawsuit, your lawyer will likely advise you to work with your insurance company as best as you can. One of the best ways to fight back against a bad faith insurer is to keep all documents, records and emails that demonstrate evidence of your loss. If you can provide this to the insurance company, they are required to adjust their actions accordingly. If they refuse, contact a lawyer.

Schedule A Free Consultation With McKennon Law Group Today

Your initial consultation with our law firm is free of charge. Additionally, most of our cases are taken on a contingency fee basis, which means that you pay nothing unless we successfully resolve your case by way of judgment, reinstatement of benefits or settlement.

If you need to fight back against a bad faith insurance company, schedule your free consultation with McKennon Law Group as soon as possible.

Every insurance carrier is expected to operate on a good faith basis. This means, every policyholder has the right to take out an insurance policy and believe that they won’t be scammed, misled, or otherwise taken advantage of. If an insurance company acts without regard for their policyholders, this is what’s referred to as “operating in bad faith.” Bad faith is a term that generally describes dishonest dealing. Depending on the exact setting, bad faith may mean a dishonest belief or purpose, untrustworthy performance of duties, neglect of fair dealing standards, or a fraudulent intent.

When an insurance company takes advantage of you and operates in bad faith, you have every right to hold them accountable in the eyes of the law. A bad faith insurance lawyer can help you recognize the insurance company’s wrongdoings, will create a strong case that demonstrates their negligence, and will fight every step of the way for you to get the compensation you deserve. For some, the only issue is finding the right lawyer.

If you’ve never worked with a lawyer before, and are unsure what to look for in a bad faith insurance lawyer, use the information below as a guide. Generally speaking, you want to work with a lawyer who is honest, has a demonstrated track record of success, sticks to insurance law, and is authorized to practice law in your home state.

Work With A California Insurance Lawyer Who Is Successful, Qualified, And Hardworking

It can be helpful to ask friends, family members and neighbors who they trust as a lawyer also. At McKennon Law Group, we’re proud to have hundreds of satisfied clients and are thankful when our former clients provide us with a referral. Thanks to our record of successful cases, we’re often mentioned when Californians ask who to turn to for insurance help.

In addition to our impressive track record of success Our attorneys have received many recognitions and awards as top insurance and ERISA attorneys, including Super Lawyers, The American Lawyer, Martindale-Hubbell, AVVO, Forbes, and the Los Angeles Times, among others. See our Awards & Recognitions. Not all California insurance lawyers have widespread recognition of their success, but our law firm does. We’re proud of these accolades, as they prove our commitment to our clients and the success of their cases.

What Are Some Examples Of Bad Faith Insurance?

Are you still unsure if you need a lawyer? The actions below constitute bad faith insurance dealing. If you feel that your insurance company has done any of the actions below, call a lawyer and set up a free consultation.

Increasing your premium. Changing your insurance policy, without letting you know, is fraud.
Giving out lowball offers. If your insurance company knowingly offers less money than you deserve, this is operating in bad faith.
Unreasonable and unfair demands. If your insurance company asks for documents you can’t access or that are irrelevant to your claim, this behavior is not permitted.
Improperly conducted investigations. Investigators for your insurance company are also required to operate on good faith, and always must conduct an honest and reasonable investigation.
Delay in making a decision. Insurance companies are required to make decisions regarding your claim in a reasonably efficient manner. Purposely taking too long to process a claim is considered bad faith.
Wrongfully denying a claim. If an insurance claim is denied for no reason, or for an illegitimate reason, your insurance company needs to be held accountable for this.

There are a multitude of ways in which an insurance company can act in bad faith. If you’re concerned with the way your insurance company has handled your policy or a recently filed claim, contact McKennon Law Group as soon as possible.

Schedule A Free, No-Risk Case Evaluation WIth McKennon Law Group Today

When insurance companies act in bad faith, innocent people pay the price. If you feel that your insurance company has taken too long to process your claim, wrongfully denied your claim, or otherwise is acting against the doctrine of good faith, you have the right to hold them accountable.

McKennon Law Group is a well-respected California law firm that specializes in holding insurance companies accountable when they act in bad faith. With the help of a legal representative, you can fight back against these unlawful insurance companies and get the compensation you deserve for your insurance claim.

Unfortunately, life insurance policies can be denied for a handful of reasons. One reason is that insurance companies will claim that the policyholder let the insurance coverage lapse, and they didn’t pay for it. Generally, insurers must notify the policyholder (and a designee, if specified) of an upcoming lapse and offer a 60-day grace period. If the insurer failed to provide adequate notice, the lapse may be improper, and a denial issued on this basis must be overturned.

Insurance companies are required to look out for policyholders’ best interests. They are required to always operate honestly and to never do anything untrustworthy that could put a policyholder in a bad position. However, this unfortunately isn’t always the case. “Bad faith” is a term that generally describes dishonest dealing. Depending on the exact setting, bad faith may mean a dishonest belief or purpose, untrustworthy performance of duties, neglect of fair dealing standards, or a fraudulent intent. If your insurance company wrongfully denied your insurance claim and we found to be operating in bad faith, you have the right to hire a lawyer and hold them accountable.

You, of course, can try to appeal a denied claim and resubmit a stronger claim on your own, but without the help of an experienced insurance attorney, this process is daunting, overwhelming and difficult.

How Does A Lawyer Help If My Life Insurance Claim Was Denied?

First and foremost, if your insurance company has acted in bad faith, you can bring a lawsuit for your policy benefits owed, plus emotional distress damages, consequential damages, attorneys’ fees, pre-judgment interest and punitive damages. If your life insurance claim was denied for seemingly no reason, bad faith may be at play. Your lawyer will know the next steps to take to hold the insurer accountable.

But, if your life insurance claim was denied and you don’t know why, a California life insurance lawyer can retrace your steps and identify what part of your claim needs to be stronger in order to have it approved. Your life insurance attorney will help you contact your insurer, find out why your claim was denied, help you file an appeal to the decision, and ultimately help you resubmit a stronger claim.

What Is The Process Of Appealing A Decision And Submitting A Stronger Life Insurance Claim?

With the help of a lawyer, the process of appealing a negative decision and re-filing a stronger insurance claim is simple. Your lawyer will help you by:

Contacting the insurance company. Your lawyer will request a letter that explains in detail why the claim was denied. The letter will include details of your policy, your claim, and specific reasons why you’re not entitled to the money you need. Your lawyer will also seek, compile, and examine all of the supporting documentation that the insurer used to make their decision.
Reviewing the life insurance policy. Your lawyer will compare the language in your policy to the language used in the letter that formally denied your claim. Your lawyer will use their expertise to determine if the insurance company’s decision makes sense. These policies are often confusing, and often contain many conditions and exceptions. This is why it’s helpful to work with a lawyer – they will help you better understand the conditions laid out in the policy.
Preparing the appeal. Most insurers have an appeal process that’s handled internally. Your lawyer will prepare documentation, such as medical records, that strengthens your claim and demonstrates precisely why you should be entitled to the life insurance claim.
Submitting the appeal. Once a much stronger appeal has been created, your lawyer will ensure it’s submitted on time to your insurance company.

Schedule A Free, No-Obligation Consultation With McKennon Law Group PC If Your Life Insurance Claim Was Denied

If your life insurance claim was denied, there could be a long road ahead of you. Battling with insurance companies is never an easy process, and insurance companies are notorious for making the process as long and daunting as possible. Many people try to take on the appeals process on their own, but it’s never worth the headache. The most effective way to appeal a denied life insurance claim and resubmit a stronger claim is to do so with the help of an insurance attorney by your side.

At McKennon Law Group PC, we offer a free, no-obligation phone consultation to anyone who’s currently in this position. McKennon Law Group PC has law offices throughout California, allowing us to serve you anywhere in the state, including the metropolitan areas of Los Angeles, Orange County, San Diego, San Francisco and the Central Valley. Our lawyers also represent insured policyholders nationwide, and are skilled in negotiating denied insurance claims.

It’s important to be aware of personal property and loss of use as they are laid out in California state law. If you ever lose your home due to a natural disaster, you’ll need to understand how the claims process works so you can ensure you receive the insurance payout that you deserve. Insurance companies are notorious for attempting to pay out less than victims deserve, so familiarizing yourself with the details will be helpful should you ever find yourself in this situation.

What is Considered Personal Property On A Homeowners Insurance Policy?

Personal property refers to mostly just about anything you possess. Animals, credit cards, your car, and other property insured outside of your homeowners’ policy will not be covered should you lose your home to a natural disaster.

Under Coverage C or your homeowners policy, your amount of coverage is limited by the dollar amount listed here. This amount is typically a percentage of the amount of coverage listed for your home under Coverage A.

How Is Damage To Personal Property Calculated?

If your personal property is destroyed in a natural disaster, you are entitled to the actual case value of the personal property that is, in fact, covered under your homeowner’s insurance policy. In the state of California, state courts generally understand that this refers to fair market value. If your home was destroyed, the damages will then be calculated in accordance to what your home would be valued at in the present real estate market.

If a natural disaster occurred and your home was not entirely destroyed by the events, you as the homeowner are entitled to the estimated cost for repairing or replacing the damaged personal property. This information is broken down in California Insurance Code section 2051(b).

The value of your personal property will be adjusted by your insurance company for depreciation. Depreciation adjustments will show a difference based upon the age and working condition of the property that was damaged.

If your homeowner’s insurance policy includes replacement cost coverage, you will be reimbursed for what it would cost to purchase the damaged personal property if it were all new in the current market. With replacement cost coverage, in other words, there is no deduction to account for value depreciation over the years.

What Is Loss Of Use?

When your home becomes uninhabitable following destruction from a natural disaster, it loses its use. Loss of Use refers to the reasonable and necessary uptick in living expenses you incurred while your home was uninhabitable. This information is available under Coverage D of your homeowners insurance policy.

You can only leverage the Loss of Use policy for as long as your home is truly unable to be inhabited. Some homeowners insurance carriers specifically lay out what they consider to be uninhabitable in your policy, but not all do, which leaves the conditions up for interpretation. Generally speaking, if the basic functions of habitable shelter aren’t available, such as cooking and bathing, or the space is unsafe, your house is considered uninhabitable by your insurance company. The length of time it takes to rebuild or repair damage after the natural disaster is not included under Loss of Use.

Sometimes, insurance companies attempt to pay out far less than innocent victims deserve when they lose their house due to natural disasters. Some insurers will argue that the house was inhabitable when it truly wasn’t, and will subsequently pay you less than you deserve. This is referred to as operating in bad faith. If your insurance company has acted in bad faith, you can sue for the benefits owed to you.

Why Do I Need A Lawyer If I’ve Lost My Home In A Natural Disaster?

If you or a loved one has lost their home in a natural disaster, you need the help of skilled litigators who have extensive experience dealing with insurance companies in these catastrophic situations. WIthout a knowledgeable attorney by your side, you run the risk of receiving far less insurance money than you deserve. Insurance companies are notorious for trying to pay out the least possible amount of money in their claims and, without an attorney, you may be stuck settling for less than you really need.

Let’s say, for example, you’ve been in an accident in California. Your car insurance company may help you pay your medical bills in your time of need if you don’t have health insurance. The only problem is that they are entitled to ask for this money back once you’ve received your lawsuit settlement. With the help of a lawyer who understands the Made Whole Doctrine, you may be able to hold onto that settlement money.

California state law upholds the Made Whole Doctrine. This doctrine states that the insured individual must be “made whole” before their insurance company can take money. This doctrine prevents the insurer from requiring payments from the person who injured you or damaged your belongings unless you have been adequately compensated.

Examples of this doctrine in effect include Sapiano v. Williamsburg Ins. Co., (1994) 28 CA 4th 533, 538 and Progressive West Ins. Co. v. Yolo County Superior Court, (2005) 135 CA 4th 263, 273.

In order to better understand the Made Whole Doctrine, it’s important to get a basic understanding of California’s subrogation laws.

What Are California’s Subrogation Laws?

Because insurance companies have their own set of reimbursement (subrogation) rights, California state law permits that an insurer can be reimbursed for money they pay out on behalf of a policyholder.

Subrogation occurs when the insurer pays out money on the insured behalf. In order to get that money back, the insurer will seek to have their money reimbursed by either the insured policyholder or the insurance company of the at-fault party who caused the damages in the first place.

For example, if you were injured in a motor vehicle accident but don’t have health insurance, you likely will need extensive medical care. Your emergency room bill and medical treatment bill will be given to your car insurer. The insurer will be for these damages. When you contact an attorney to hold the negligent party accountable, you may receive a settlement from the personal injury lawsuit. Your insurance company will then demand that you repay the emergency room bill and medical treatment bill, now that you’ve received a sum of money.

Under California state subrogation law, it’s lawful for an insurance company to seek to recoup the money they demanded. When this happens, your lawyer will apply the Made Whole Doctrine.

Your attorney will defend you before a judge, stating that your insurance company is not entitled to the money they’re asking for back, because you have not yet been “made whole”. For example, your attorney will attest that settlement from the car accident did not settle the cost of your future medical care.

Why Should I Work With A Lawyer If I’ve Been Involved In An Accident In California?

Most California residents know that a lawyer can help defend them before a judge by proving the negligence of the at-fault party after an accident. But many residents fail to realize that even after the case is settled, the work isn’t always done. Hire a lawyer to apply the Made Whole Doctrine to your personal injury claim to ensure you can keep all of the money you’re rightfully entitled to.

When you need an attorney to aggressively fight your insurance company, choosing the right law firm is the most important decision you will make. At McKennon Law Group PC, we understand how important it is to keep the money you’ve earned from your settlement in your pocket. We have extensive experience standing up against insurance companies, and will stop at nothing to get what you deserve.

With over 70 years of experience, McKennon Law Group PC has specialized in long-term disability and short-term disability insurance, life insurance, health insurance, accidental death insurance, and long-term care claims, as well as all types of ERISA litigation claims involving employee benefits, including group insurance claims, pension claims and severance claims.

Schedule A Free, No-Obligation Consultation With McKennon Law Group PC

If you’ve suffered an accident of any kind in California, you likely have medical bills to pay. Insurance companies are notorious for trying to shell out the least amount of money to injured victims. In some cases, your car insurance company will provide you with the help you need to pay medical bills if you don’t have health insurance, but they do have every right to ask for that money back.

If you find yourself in a situation where an insurance company is trying to take a portion of your personal injury lawsuit settlement, contact an attorney right away. At McKennon Law Group PC, we offer a free, no-risk consultation to anyone in this situation. Your initial case evaluation is free of charge and comes at no obligation to you.