Life Insurance Settlement – $333,000

Settlement: $333,000

Attorney: Gene Riddle

Gene Riddle was contacted by the sister of a deceased middle-aged man who had children and grandchildren.  The man died in an accident.  The sister claimed that she was the beneficiary of his life insurance policy through his employer.  She had no other information except the name of the insurance company.  The life insurance company was preparing to pay $100,000 to the man’s estate and not pay the sister.  Riddle made demand on this insurance company for the proceeds to be paid to the sister.  The insurance company refused.  At this time, Riddle requested a copy of the policy issued and all documents for application, designation of beneficiaries and anything executed by the deceased.  Riddle received only a copy of the policy which made him believe that there may be multiple coverages.  He made demand for double indemnity and demanded payment within 2 weeks.  The life insurance company paid the first tier of the policy to Riddle for his client, the sister (which was $111,000).  Riddle then demanded double indemnity which sometimes provides double the amount of coverage based only on a checked box and a very small premium.  Riddle threatened suit and then received a second check for $111,000 as double indemnity applied.  Then Riddle inquired whether the issued policy also provided for additional coverage if the death resulted from an accident.  The insurance company balked but admitted the policy provided this coverage.  After obtaining medical records to prove that the insured person under the policy was not impaired at the time of the accident (which would have excluded this additional coverage), the life insurance company agreed to pay the last installment of $111,000 for a total of $333,000.