Protecting Against Underwriting And Rescission Tricks
You purchase insurance for peace of mind that should an unfortunate or tragic event occur, you as well as your loved ones can look to our insurance companies for coverage. Unfortunately, however, even though one may have diligently paid premiums and even been issued a policy of insurance, an insured’s peace of mind may be destroyed after submitting a claim and being told by their insurance company that their policy of insurance is being cancelled retroactively. This scenario is a result of insurance companies engaging in a practice known as “post-claim underwriting.”
Insurance companies are obligated to make reasonable and diligent attempts to research and confirm the accuracy of information contained on an application for insurance before a policy is issued, not after a loss, and in turn after significant bills, have already been incurred or a claim has been submitted — at a time when you need coverage the most.
Our Track Record Of Results
The attorneys at The Law Offices of Hiepler & Hiepler have more than 25 years of experience in fighting back against the tactics that insurance companies employ. We have secured multimillion-dollar verdicts and settlements for our clients.
A Common Tactic Used By Insurance Companies To Avoid Living Up To Their Obligations
Insurers engaging in post-claim underwriting issue policies based on the information contained in the initial application for insurance. Insurance companies do so without confirming the accuracy of the information contained therein. Insurance companies issue a policy of insurance and then begin collecting monthly premiums all the while leading the insured to believe he or she will be covered in a time of need when a claim arises.
Only once a claim is submitted, which could be months or even years after the policy has been issued and premiums have been paid, does the insurer, for the first time, collect medical records to determine if there are any inconsistencies or omissions between the information disclosed on the application and the facts pertaining to one’s health history or medical conditions. The insurer then rescinds the policy back to its effective date based on the assertion a material misrepresentation or omission, that if disclosed on the application, would not have resulted in a policy of insurance being issued. The decision to rescind coverage is made based upon information that the insurance company had access to and should have reviewed at the time of the application was submitted.
Hiepler & Hiepler Can Assist You To Overcome Insurance Company Tactics
If you believe you have had claims denied or your insurance coverage canceled/rescinded on the basis of a misrepresentation or omission on your application for insurance, this may be due to post-claim underwriting. Call our attorneys for assistance at 866-531-3532 or complete the online form. Based in Oxnard, our lawyers help clients throughout California.