My dad had a disability insurance policy with this company since 1986. He always paid $400 a month, on time, for 38 years. Suddenly, they stopped taking the payments. When he called, they said the policy was canceled because he didn’t renew it at age 65.
The problem is, they sent the renewal notice to an old address. We never got it. Now they won’t reinstate the policy, and they haven’t sent us the original contract that supposedly says he agreed to this renewal condition. It’s been six months of waiting. Every lawyer says they can’t help without seeing that contract. Any advice? This feels so unfair.
Ren said:
If he didn’t update his address with the company, they might not be at fault. Policies like these are contracts, and companies follow the terms.
But they have his phone number and email. Relying only on mail is outdated, especially since mail can be unreliable. Shouldn’t they have tried other ways to contact him?
Julia said: @WatkinsDove
They’re often required by law to send notices through the mail. It’s considered the official method for important documents.
Mail is the standard for these notices because it’s secure and reliable. Insurance companies are legally required to use it. Phone calls and emails aren’t as reliable since people change their contact info or ignore messages. It’s always important to keep addresses updated with financial companies.
@Harley
I get that mail is secure, but sending automated texts or calls is super cheap and could serve as an extra reminder. It’s not that expensive to set up.
Westley said: @Harley
I get that mail is secure, but sending automated texts or calls is super cheap and could serve as an extra reminder. It’s not that expensive to set up.
You’re right that automated calls or texts are inexpensive, but they don’t solve all problems. People change numbers or emails often. Returned mail, on the other hand, can trigger a follow-up process. It’s also worth asking why the mail wasn’t flagged as undeliverable. That might have helped them take action sooner.
@WatkinsDove
Have you tried taking this issue up with your state’s insurance department? They might help if the law requires companies to send cancellation notices through the mail.
The premium after 65 would likely have been much higher, and the coverage might not have been worth it. Your dad was wise to have disability insurance, and he’s fortunate never to have needed it.
Sai said:
The premium after 65 would likely have been much higher, and the coverage might not have been worth it. Your dad was wise to have disability insurance, and he’s fortunate never to have needed it.
Disability policies usually end at retirement age. Continuing coverage after 65 would have been extremely expensive, if it was even an option. Many people rely on social security after they retire.
@Arlen
Social security doesn’t provide enough for most people to live on. Disability insurance is essential for covering lost work income, but it’s not designed to support someone through retirement.
Dallas said: @Arlen
Social security doesn’t provide enough for most people to live on. Disability insurance is essential for covering lost work income, but it’s not designed to support someone through retirement.
Exactly. Disability insurance is meant to get you to retirement, not to sustain you during retirement.
Sai said:
The premium after 65 would likely have been much higher, and the coverage might not have been worth it. Your dad was wise to have disability insurance, and he’s fortunate never to have needed it.
Thanks for explaining. I guess I hadn’t thought about how much the cost could increase.