What to Know:
- A professional in Minneapolis, MNl was wrongly denied Continuance of Life Insurance Protection (CLIP) benefits after already qualifying for long-term disability (LTD).
- MetLife reversed its denial of LTD but delayed action on the companion life insurance waiver.
- Dabdoub Law Firm intervened, demanding a timely and fair resolution.
- The firm’s persistence led to reinstatement of CLIP coverage, protecting valuable life insurance benefits for a disabled policyholder.
Life Insurance Continuance: A Silent But Critical Benefit
When employees become disabled and can no longer work, many group policies offer a Continuance of Life Insurance Protection (CLIP) benefit—allowing life insurance coverage to remain in place without premium payments. This safety net is often overlooked until it's wrongfully taken away. This functions similarly to Waiver of Life Premiums (WOLP).
That’s exactly what happened to our client, a longtime employee of a major U.S. defense contractor. After becoming disabled, she filed for both LTD and CLIP through her employer-sponsored plan. MetLife approved and paid long term disability benefits and approved CLIP for many years. But then, with no change in her medical condition, MetLife changed course and denied both claims.
We appeal the long term disability denial and the CLIP denial on behalf of our client. After reviewing updated medical documentation, MetLife approved her LTD appeal, recognizing she was indeed disabled and eligible for ongoing benefits. But despite this acknowledgment, MetLife failed to act on her CLIP appeal. Her life insurance coverage remained in limbo.
Why CLIP Matters, Especially for the Disabled
Life insurance is a vital part of long-term financial protection, especially for individuals who can no longer work due to illness or injury. The CLIP benefit ensures:
- Life insurance remains active, even if the person cannot pay premiums.
- Families are protected from financial hardship in the event of death.
- The insured maintains peace of mind during already difficult circumstances.
Wrongfully terminating this benefit leaves vulnerable individuals exposed, both emotionally and financially.
Dabdoub Law Firm Demanded Immediate Action
With no decision issued and no justification for the delay, Dabdoub Law Firm acted swiftly. A formal demand letter was sent to MetLife, reminding the insurer that it had already approved the LTD appeal, therefore satisfying the medical criteria for CLIP under most group life policies.
The firm’s letter was concise and firm:
- It confirmed legal representation and requested all communication be directed through counsel.
- It documented the timeline of events, including the June appeal and the July LTD approval.
- It demanded immediate reinstatement of CLIP benefits on behalf of the client.
The result? MetLife reinstated the life insurance protection, safeguarding the claimant’s life insurance coverage moving forward.
A Message to Other Policyholders
If your group life insurance coverage has been denied or terminated, even after your LTD claim was approved, you may still be entitled to CLIP benefits.
This case proves that:
- Approval of long-term disability often supports approval of CLIP.
- Delays or wrongful denials can be challenged and reversed.
- Insurance companies must apply policy terms consistently and fairly.
Trust the Firm That Focuses Exclusively on Disability and Life Insurance Claims
At Dabdoub Law Firm, we fight for people when insurers delay or deny benefits that make a life-changing difference. Our team handles only disability and life insurance cases—nationwide. We’ve taken on every major insurance company, including MetLife—and we know how to win. We can help by:
- Filing a long-term disability claim
- Appealing a disability insurance denial
- Negotiating a lump-sum settlement
- Filing a lawsuit against your insurance company
If your CLIP benefits were denied or wrongfully terminated, we’re here to help you fight back.