As COVID-19 Raises Chronic Illness Fears, Life Insurers Defend Against Chronic and Critical Illness Claims

Los Angeles, CA, August 21, 2020 --(PR.com)-- An add-on benefit to current life insurance policies includes chronic and critical illness protections. These add-ons, also referred to as riders, are marketed by insurers and their agents as being free coverage that will pay a benefit if the insured is diagnosed with any number of diseases or debilitating illnesses.

As a part of a life insurance policy, these riders are marketed as free benefits that encourage the purchase of a life insurance policy. The general sales pitch goes, “If you are diagnosed with cancer, you can tap into the death benefit for much-needed cash while you’re still alive.” Insurers such as AIG, Transamerica, Brighthouse Financial (formerly MET Life), New York Life, and Prudential all offer chronic and critical illness riders.

Chronic illness is top of mind during the COVID-19 pandemic. New evidence suggests that a portion of people - dubbed COVID-19 “long-haulers” - experience chronic coronavirus symptoms that wax and wane months after the initial infection. Because of these increased COVID-19-related health risks, a ValuePenguin survey found 25% of people are now more likely to purchase life insurance. For those who do purchase a new policy, they may be confronted with chronic and critical illness protections.

On the face of it, a chronic and critical illness rider seems to be a benefit. A deeper look at how these claims are examined by insurers, however, demonstrates that even with a chronic or critical illness diagnosis, receiving the benefits promised in the rider can be very difficult. What’s more, when a chronic or critical illness claim is made, insurers will use the opportunity to review the existence of a purchaser’s entire life insurance policy and may end up cancelling the policy altogether.

The Center for Life Insurance Disputes, the premier life insurance claims firm in the U.S., provides safeguards and representation against insurer claim denials and policy reviews for policyowners. By getting involved in a chronic or critical illness claim at the outset, The Center can present a client’s claim in a way that assures payment to the insured. Their experts know how the claim examiners will analyze medical records and policy coverage, leading to a successful outcome.

“Chronic and critical illness claims are much different than death claims. With a chronic or critical illness claim, there is much more foul play by insurers,” said Stephen C. Burgess, founder and president of The Center for Life Insurance Disputes. “We see so many claims where the insurer challenges the insured’s integrity about medical disclosures and whether their medical condition is excluded from coverage. It’s quite unfortunate that these chronic and critical illness policies aren’t clearer and in favor of the insureds.”

Policyholders preparing to file a claim under a chronic and critical illness rider with their life insurance company need expert support on their side, whether it’s related to COVID-19 or another health condition. Rather than wait for the insurer to make mistakes or false assumptions, The Center for Life Insurance Disputes does its own analysis and works with the insurer directly on behalf of the claimant. By being proactive, The Center has been able to advance clients’ claims through the process without unnecessary delays and claim denials, assuring an approved claim.