Life insurance basics

Suicide Exclusion Upheld Where Beneficiary Argued Insured Lacked Mental Capacity to Commit Suicide

Topics: Life insurance basics

Virginia federal court recently upheld a suicide exclusion contained in a supplemental group life insurance policy even though the beneficiary argued that the insured lacked the mental capacity to commit suicide. The insured, a former Navy SEAL, took his own life in 2014. The plan administrator denied the beneficiary’s claim for the policy proceeds on…

Policy Rescinded Due to Concealment of Drug Use

Topics: Life insurance basics

PWPG, LLC purchased a policy on the life of Herschel White, one of its principals. Although in the policy application, White denied having ever used or been treated for using illegal drugs, Primerica discovered—within the contestable period—a history of cocaine use. It rescinded the policy.