Understanding the Incontestability Clause in Florida Disability Insurance Policies

Our Florida and nationwide claims attorneys at Disability Insurance Law Group know that the “incontestability clause” in insurance policies is a crucial safeguard for policyholders.

It limits the insurer’s ability to contest the policy’s validity after a specific time.

While the incontestability clause provides significant protection for policyholders, it does not mean that the insurer is entirely prohibited from challenging the policy’s validity. There are generally limited exceptions under which the insurer can contest the policy even after the incontestability period has expired.

These exceptions often include fraud, material misrepresentation, or nonpayment of premiums.

Here’s how it works and what policyholders should understand when filing a disability claim in their state.

What is the Purpose of an Incontestability Clause in Disability Insurance Policies?

The incontestability clause typically specifies a period during which the insurer cannot contest the policy’s validity. In many cases, this period is two years from the date the policy goes into effect, but it can vary depending on the policy’s terms and state regulations.

The primary purpose of the incontestability clause is to provide policyholders with peace of mind and financial security. Once the incontestability period has passed, the insurer generally cannot cancel the policy or deny a claim based on grounds that existed before the end of the contestability period.

This assures policyholders that their coverage will remain in place as long as they continue to pay their premiums.

While the incontestability clause protects policyholders, applicants must provide accurate and complete information when applying for disability insurance. Failure to disclose relevant information or provide false information could give the insurer grounds to contest the policy even after the incontestability period has expired.

Insurance regulations, including those related to incontestability clauses, can vary from state to state. It’s essential to review the policy’s specific terms and familiarize yourself with the laws and regulations governing insurance in yours. We can help.

Contact Our Skilled Insurance Claims Attorneys Today

Contact our skilled disability insurance claims attorneys in Florida and nationwide today by calling (954)-989-9000 or online to schedule a free and confidential case assessment. We can use our over 50 years of combined experience to help you.

Related Links

• Filing a Claim Under an Individual Disability Policy in Fort Lauderdale, Florida
• Filing a Claim for Benefits in Fort Lauderdale, Florida
• Disability Insurance FAQs By the attorneys of the Disability Insurance Law Group
• What Are Some of the Medical Conditions for Which I Can Collect Disability Insurance Benefits?