We buy insurance expecting claims to be paid and feel bitter when that does not happen. In an ideal world, insurers would communicate terms in easy-to-follow language; buyers would take the time to read about what they are buying; documents to file a claim would be simple; and helpful customer service executives would ask for bank details to transfer the claim payment. Nothing is further from reality.
I recently watched Steven Spielberg’s Bridge of Spies, a film set during the Cold War, about a first-rate insurance lawyer who used his negotiating skills to strike superb deals for the US with Russia and Cuba. How I wish we had such insurance settlement lawyers represent our own buyers. Claim rejection is high and until there is a better grievance handling system, we would do well to understand why. There is little public information on this subject and I draw from experience with hundreds of claims to list out the main reasons for rejection. Watch out for these in your own insurances.
