What Happens If I Lie On A Life Insurance Application? 
If you lie on your life insurance application and then die within the first two years of the policy , the life insurance company may not pay your claim . This would especially be true if the cause of death was something that you lied about on your application . They usually return all the premiums paid in , but will not pay the death benefit , in cases where the cause of death was lied about on the application during the contestable period . 