Life Insurance Claim Delays – Complete Guide for Beneficiaries

Life insurance is meant to provide families with immediate financial support after the death of a loved one. But many families are left waiting — sometimes for months — because of life insurance claim delays. For beneficiaries struggling to cover funeral costs, mortgages, or everyday bills, these delays can be devastating.

If your life insurance claim has been delayed, the Law Offices of Jason Turchin may be able to help. Our firm has represented hundreds of families nationwide in disputes involving delayed, denied, or disputed life insurance benefits.

How Long Should a Life Insurance Claim Take?

Most insurers should pay life insurance claims within 30 to 60 days after receiving:

• A certified death certificate
• A completed claim form
• Policy information and supporting documents

If your claim has taken longer than 60-90 days, this is often a sign of unreasonable delay or a potential dispute.

Why Life Insurance Claims Get Delayed

Contestability Period Reviews

If the death occurs within the first two years of the policy, insurers investigate for misrepresentation. This review can take months, especially if they request old medical records.

Cause of Death Questions

Deaths involving accidents, overdoses, alcohol, or uncertain causes often trigger lengthy investigations.

Beneficiary Disputes

If multiple people file claims, insurers may freeze payment until the dispute is resolved or file an interpleader lawsuit in court.

Missing Records

Insurers may claim they can’t process the claim without additional documents, even when families have already provided sufficient proof.

ERISA Employer Policies

Employer-based life insurance claims often involve mandatory appeals before litigation, delaying payment further.

Bad Faith Tactics

In some cases, insurers intentionally stall to avoid paying or to pressure families into settling for less.

The Financial Impact of Claim Delays

When claims are delayed, families often face:

• Paying funeral and burial costs out-of-pocket
• Falling behind on rent or mortgage payments
• Taking on debt to cover bills
• Increased emotional stress during an already difficult time

This can undermine the very purpose of life insurance — providing timely financial relief.

State Laws on Life Insurance Claim Delays

Each state regulates insurer timelines:

• Florida – Insurers must pay within a reasonable time; delays may trigger interest penalties.
• New York – Interest often accrues on delayed payments after 30 days.
• New Jersey – Similar laws require prompt payment and allow beneficiaries to collect interest if claims are unreasonably delayed.

Even with these protections, insurers sometimes stretch deadlines, hoping families won’t challenge them.

What to Do if Your Claim Is Delayed

1. Request a written explanation – Insurers should explain why the claim hasn’t been paid.
2. Provide requested documents promptly – Avoid giving insurers excuses to stall.
3. Keep records of all communication – Save letters, emails, and notes from phone calls.
4. Consult a life insurance attorney – A life insurance attorney may push for faster payment or file suit if the delay is unreasonable.

How an Attorney May Help With Life Insurance Claim Delays

A life insurance attorney may:

• Investigate why the claim is delayed
• Demand written justifications from the insurer
• Push for compliance with state and federal deadlines
• File a lawsuit for breach of contract or bad faith if delays are improper
• Seek interest and penalties in addition to the policy benefits

Example Scenarios

• A widow waited nearly a year for her claim because the insurer claimed they needed “more medical records” from years earlier.
• A family’s claim was delayed six months while the insurer investigated whether alcohol contributed to an accidental death.
• An employer-based policy stalled because the insurer claimed they never received payroll deduction records, despite proof from HR.

Frequently Asked Questions

How long can a life insurance company delay payment?
Most claims should be processed within 30–60 days. Delays over 90 days may violate the law.

Do I get interest if my claim is delayed?
In many states, yes. Insurers may have to pay interest if benefits are unreasonably delayed.

Can I sue for a delayed claim?
Yes. Families may bring lawsuits for breach of contract or bad faith.

What if the delay turns into a denial?
You may still appeal or challenge the denial in court.

Are ERISA employer claims slower?
Often yes, because ERISA requires an internal appeal before filing in federal court.

Contact a Life Insurance Attorney for Delayed Claims

If your life insurance claim has been delayed, the Law Offices of Jason Turchin may be able to help. We represent families nationwide in disputes over delayed, denied, or disputed life insurance claims. Our cases are handled on a contingency fee basis — meaning you pay no fees or costs unless we recover compensation for you.

📞 Call 800-337-7755 today or start a live chat with our team for a free consultation.