insurance conmen refuse to pay out

[germanicdogman]

how low can these so called insurance company's go the man is dying for christ's sake.
http://www.bbc.co.uk/news/uk-england-kent-16010848

 

[Brains]

I wish to give notice that i will die at some point in the next half century

 

[ASC1951]

Insurers offer policy at rates which reflects its conditions. Man buys policy without reading conditions. Man makes £200k claim not covered by policy. Insurers enforce contract - bastards!

 

[srw]

how low can these so called insurance company's go the man is dying for christ's sake.

There's a reason it's called a "contract" of insurance.

 

[Night Train]

The thing is, insurance only exisits because the underwriters can get more money in then they have to pay out. No one complains when it works out the other way around.

When my brother died he had only just started a life insurance policy. The underwriters contract stated that they would pay out after the first monthly payment had been received, and so they did, with no fuss. All his creditors also paid out to write of his credit debts because it was within the terms of their insurance.

It does bug me when people I know will 'claim' a new TV or camera for Christmas, on their household insurance, just because they can and not because anything has happened to the old ones. That sort of fraudulant claim just pushes the insurance bill up for everyone.

 

[ColinJ]

So you pay them for 10 years, but they only pay out for 9 - bargain!

When I was sold mortgage protection insurance, I was told how wonderful it was because it would pay my mortgage interest if I ever lost my job. Super - where do I sign - what a fantastic deal! I paid the premiums for 4 years, and then got made redundant and claimed. Great! Except ...

• They had neglected to mention that every single penny I was paid by them would come off my Housing Benefit.
• Oh, by the way - I had to continue paying the premiums while I was claiming on the policy.
• And ... if I dared to claim, they would send a 6' 9" loss adjuster round to bang on my neighbours' doors until he found me, and he would glare at me in a very intimidating fashion and suggest that in his opinion my claim was fraudulent!

So I pay the premiums, lose my benefits, pay some more premiums, and get threatened - you couldn't make it up!

When I got a new job, I cancelled the insurance. They then kept phoning me up demanding to know why I was being 'so reckless'!

 

[srw]

So you pay them for 10 years, but they only pay out for 9 - bargain!

Life insurance is designed to pay out when you die. So if you die inside 10 years you get a payout. Some policies also payout on diagnosis of a terminal illness - I assume this one has a restriction saying that that diagnosis has to happen within the first 9 years.

 

[ianrauk]

Life insurance is designed to pay out when you die. So if you die inside 10 years you get a payout. Some policies also payout on diagnosis of a terminal illness - I assume this one has a restriction saying that that diagnosis has to happen within the first 9 years.

You assume correct.

A spokeswoman for Royal Liver confirmed that on Mr Holland's 10-year policy, notification of terminal illness had to made before the ninth anniversary of the cover.

 

[oldfatfool]

Though it sounds harsh you can see the point, if he was diagnosed with 12 months to go on the policy then they will pay out as the odds are he will die before the end of the policy, if he dies in the next 4 months then no doubt they will pay out, but otherwise not.

It would be interesting to know wether he was given the oppurtunity to extend his cover when 9 years where up.

 

[Blue]

Why was this mans debt still oustanding 4 months before the policy was going to expire anyway. I presume that if he hadn't become ill the policy would have ended and the debt would still remain that 4 months later. If it was an endowment policy and he was still alive surely he could still afford the premiums, or have the policy made 'paid-up'.

Seems to be a curious arrangement. More detail is required before mud can be slung at anyone, I think!

 

[Night Train]

I've got into reading the T&C carefully and as a result I have never had mortgage protection or home contents protection. Too many real reasons why I can't meet the T&C and so every reason for them not to pay.

For the ones I have to have, like car insurance, I do my damnest to comply with the T&C.

 

[ColinJ]

Though it sounds harsh you can see the point, if he was diagnosed with 12 months to go on the policy then they will pay out as the odds are he will die before the end of the policy, if he dies in the next 4 months then no doubt they will pay out

Oh, I see - they will still pay if he actually dies before the end of the 10 years - fair enough.

If he had been diagnosed before the 9th anniversary, would they have paid out on diagnosis of the terminal illness, or would they have waited for him to die and then pay out, even if it was after the 10 years were up?

 

[Night Train]

I guess it depends on the policy.
Some will pay on diagnosis with a lump sum and no more, some will pay a regular amount until death, some will have a death payout too. Depends on what then policy said.

 

[oldfatfool]

Oh, I see - they will still pay if he actually dies before the end of the 10 years - fair enough.

If he had been diagnosed before the 9th anniversary, would they have paid out on diagnosis of the terminal illness, or would they have waited for him to die and then pay out, even if it was after the 10 years were up?

well it says on diagnosis.

You pays your money and takes your chance. When they where trying to sell me some sort of cover years ago it included pay out on diagnosis of critical/terminal illness and the guys main selling point was that it had paid out in full to a chap in his 30's who had a heart attack and recovered.

 

[ColinJ]

well it says on diagnosis.

You pays your money and takes your chance. When they where trying to sell me some sort of cover years ago it included pay out on diagnosis of critical/terminal illness and the guys main selling point was that it had paid out in full to a chap in his 30's who had a heart attack and recovered.

Lucky fella!

I'll be interested to see if my M&S insurance pays up in full if I ever have one of my bikes stolen. I specifically asked if my bike would be covered leaning against a wall, unlocked, in front of a cafe in a small Spanish village! I used to go on Spanish road training camps and that is what we used to do. Nobody bothered to cart locks about with them. I was told that the insurance would pay, as long as we were within sight of the bikes. We couldn't just leave them lying around all day while we went shopping!