Can A Life Insurance Claim Be Denied? 
If a policy has been applied for honestly and issued according to best underwriting practices , then this is probably not a possibility . There are circumstances , however , that could cause a denial . Policies are commonly issued with a `` contestability period '' which is usually 2 years from the date of issue . Simply stated , if an applicant willfully misleads , misrepresents or deliberately withholds material information from an insurance company during the application and underwriting process , then if that person dies during the contestability period , it is possible for a company to deny benefits . 