SAN FRANCISCO, Aug. 30, 2021 /PRNewswire/ — Today, the California Supreme Court ruled that legislation added to the Insurance Code on January 1, 2013, provide safeguards for all policyholders and beneficiaries, including existing ones, not just those who had policies issued on or after January 1, 2013. The following protections apply to all life insurance policies in force on or after January 1, 2013 regardless of their original date of issuance: (1) 30 days’ written notice of a pending lapse before termination for nonpayment of premium; (2) 60-day grace period; and (3) an opportunity to designate a third party to receive important notices regarding the policy.
The Court decision means that thousands of policies that originated in California or the insured moved to California were improperly terminated by insurers. Compliance with these protections is required to terminate policies. The insureds and their beneficiaries may be entitled to receive the policy proceeds upon the death of the insureds for improperly terminated policies or have the right to have their policies reinstated where the insureds are still alive.
Nicholas & Tomasevic is a class action law firm that has filed lawsuits against insurance companies arguing that the insureds and beneficiaries in California are entitled to policy proceeds upon death of the insureds or revival of wrongly terminated policies. The law firm is investigating other insurers that also failed to give the required notices and illegally terminated life insurance policies. See https://link.edgepilot.com/s/8dec5b4d/LKCLIkm8x0CZRZoZ1wCDAg?u=https://www.lifeinsurancelapse.com/.
«The California Supreme Court confirmed that the Insurance Code protects surviving spouses and beneficiaries, the elderly and infirm who are the most vulnerable among us to an inadvertent lapse of life insurance after years of faithful payments,» said Mr. Nicholas. «This is a significant victory for the elderly and disabled that lost life insurance coverage. We are thrilled with the Court’s decision and look forward to vindicating these rights,» said Mr. Nicholas.
Mr. Nicholas is available for comment at firstname.lastname@example.org or (619) 325-0492.
SOURCE Craig M. Nicholas
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SOURCE Nicholas & Tomasevic