The application can be investigated for mistatements if the claim is contestable. Generally, misstatement of age or sex is contestable at any time. Other statements made by the insured concerning his representations to obtain the insurance can only be contested for two years unless otherwise stated in the policy. So we already see that age and sex can be investigated for misstatement regardless of when the policy went into effect. We will see later that this is a major thing that is verified in the routine death claim.
Suicide now ranks in the top five causes of death in the United States.
In the majority of life insurance policies, if suicide is commited within a two year period of the date of issue, then the insurance company is only liable for the amount of total premiums paid into the insurance. Over the years, insurance companies have standardized the kinds and types of death claims investigations and tend to order such investigations only in a progressive manner. This will involve only noncontestable cases centering around three basic areas as described below. The majority of noncontestable death claim investigations will center around three areas of investigation. The confirmation of death investigation will be the type of investigation most often completed by the investigator.