What disqualifies loved ones from getting a life insurance payout in Florida?

No one wants to think about their death, let alone the death of a loved one. But if something happens and your loved one does pass away, you want to know that their life insurance policy will cover funeral expenses and other final bills, helping to ease the financial burden at an already difficult time. McCormick Insurance Inc. is here to answer the hard questions.

Unfortunately, some conditions could disqualify your loved one from receiving a life insurance payout. 

Criminal Activity

One of the most common reasons why life insurance payouts are denied is because the policyholder was engaged in criminal activity when they died. 

Natural Causes

Most people expect their life insurance policy to pay out if they die of natural causes. However, that’s not always the case. For instance, if your loved one died directly from failing to take medication for a pre-existing condition, their life insurance company may refuse to issue a payout.


It’s also important to be aware that many life insurance policies have clauses that void coverage in the event of suicide. So if your loved one took their own life, their family would not be eligible to receive a death benefit.

Drug and Alcohol Use

Another factor that could impact whether or not you receive a life insurance payout is drug and alcohol use. If your loved one dies under the influence of drugs or alcohol, their life insurance company may refuse to issue a payout. In some cases, policyholders are required to take regular drug tests to keep their coverage active.


If you have questions about life insurance in Pembroke Pines, FL, contact McCormick Insurance Inc., and we will find answers.