Bad faith insurance laws protect the public from unfair or fraudulent practices by insurance companies. These are state laws, and each state’s definition of bad faith and associated regulations varies.
With regards to disability benefits, bad faith law generally applies only to individual disability insurance policies that you personally buy through an insurance company agent or rep.
If you filed an Illinois Mutual disability claim and the company denied benefits, it is important to seek legal counsel without delay. All insurance companies may deny claims for various reasons; some deny claims unfairly.
Illinois Mutual is headquartered in Peoria, IL. The company provides disability income insurance, worksite or group disability insurance and life insurance. It has been servicing customers for over 100 years, and markets its disability insurance products to most of the U.S.
Disability insurance riders are additional coverage you buy to add to your privately-purchased base policy. Riders can affect your ability to collect full benefits if you become disabled.
Even so, insurance companies may still deny a valid claim no matter what coverage you have paid for under the policy. There’s no guarantee that, because you have added a rider to your LTD policy, your claim will result in the award of benefits associated with that rider.
Disability policies are inherently complicated. In fact, sometimes by adding further benefits and exclusions through riders, the policy becomes even more baffling.
Our firm successfully represented a 48 year old woman, from Savannah, Georgia, in her recent appeal of an Aetna Life Insurance Company’s denial for long-term disability (LTD) benefits. We were able to take the responsibility for the appeal off of her shoulders and win her the benefits that she deserves.
Our client suffers from thoracic lumbar radiculopathy, fractured ribs, sleep apnea, depression and anxiety. She also has severe ongoing pain which she has managed with nerve blocks, physical therapy, and heavy medication. She is unable to sit for prolonged periods of time. Her concentration is impaired. She also has difficulty coping at times with her pain symptoms and is depressed as a result. Certainly, she can’t perform the duties of any occupation with reasonable continuity.
The Disability Insurance Denial Letter. After a long term disability insurance claim is filed, the insurance carrier will either grant the claim or deny the claim. If the claim is granted, the insurance company will begin to pay monthly benefits. If the claim is denied, the claimant will receive a “denial letter.” This letter is very important because it will list what evidence the insurance company reviewed when making its decision, who reviewed the evidence, for example, an in house Nurse Case Manager, a doctor hired as a consultant or only non-medical reviewers such as a Senior Claims Adjuster. Most major insurance carriers such as Unum, MetLife, Cigna and Aetna follow this procedure. The denial letter should state the reasons the claim was denied and what medical evidence the carrier needs to prove disability. The denial letter will also give important information for an appeal, including where and when the appeal must be received.