When Does Life Insurance Not Pay Out? 
That is a great question ! there are only a very few reasons why your policy would not pay out . The first would be that your policy was a term life policy , and you outlived the term -LRB- AARP and AAA offer this type of policy , and they end at the age of 80 , so if you live to be to 80 and a day , you wo n't get paid -RRB- . Another reason would be that somewhere along the line there were missed payments , and the policy lapsed . In that case , the coverage ends also , and you will not get paid.Another reason would be if it was determined that your answers on your application were less than truthful , and that was discovered . In that case , your policy would be terminated , and you would not get paid . The last reason for many companies is the clause that says that the policy wo n't pay if your death was a result of the commission of an illegal act . For example , if you were killed in a high speed drunken driving accident , and your policy contains that clause , it is likely that you wo n't get paid . The same is true for most policies and suicides , if they are committed in the first two policy years . In virtually every other case , you will get paid . I hope that helps , thanks for asking ! 