Suicide Clauses in Life Insurance Policies — Are They Enforceable?
When a loved one dies, families often face the devastating reality of a life insurance claim rejection. One of the most common reasons for denial is a **suicide exclusion clause** — a provision that allows insurers to deny benefits if death is classified as **suicide**.
Suicide clauses allow insurers to deny benefits if death by suicide occurs within a certain time frame after the policy is issued, typically **two years**. While this exclusion seems straightforward, its enforcement is complex and often **open to legal challenge**.
As Alberta insurance lawyers, we understand how suicide clauses are applied and interpreted by courts. Denials can be overturned, especially when intent, timing, or mental illness is disputed.
This article explains how suicide clauses work, when they're enforceable under Alberta law, and what families can do if a claim is denied.
What Is a Suicide Clause?
A suicide clause is a standard exclusion in most life-insurance contracts, allowing the insurer to deny benefits if the insured person dies by suicide within a defined period after the policy takes effect, typically **two years**.
Typical Policy Wording:
How Suicide Clauses Work
Understanding how suicide clauses operate is crucial for challenging denials:
The Two-Year Exclusion Period
Starts on the date the policy takes effect. During this period, death by suicide is excluded from coverage. The insurer typically refunds premiums instead of paying the death benefit.
Expiry of the Clause
After two years of continuous coverage, the exclusion no longer applies. If death occurs later, full benefits must be paid — regardless of cause.
Policy Reinstatement or Replacement
If the policy lapses and is reinstated, the two-year period may restart. New or increased coverage (such as adding riders) can trigger a new exclusion period.
Burden of Proof
The insurer must prove both timing (within two years) and intent (that death was self-inflicted). If there's doubt, Alberta courts rule in favour of the beneficiary.
Steps to Take If Your Life Insurance Claim Is Denied
If your life insurance claim has been denied under a suicide clause, taking immediate action is crucial:
Request a Written Denial
Get the insurer's denial in writing, including their reasoning and policy references.
Gather All Policy Documents
Collect the full policy, application, and any amendments or riders.
Obtain Medical and Death Records
Request coroner's reports, medical records, and psychiatric evaluations.
Preserve All Evidence
Keep all correspondence, emails, and statements from the insurer.
Do Not Accept the Denial Without Review
Many denials can be successfully challenged with proper evidence and legal representation.
Contact an Alberta Insurance Lawyer Immediately
Time limits apply, and evidence must be preserved quickly.
How a Lawyer Can Help
An experienced Alberta insurance lawyer ensures that suicide exclusions are examined critically and lawfully.
Obtain and Review Policy Documents
Obtain and review all **policy documents** to verify disclosure and timing.
Analyze Medical and Coroner Records
Analyze **medical and coroner records** for uncertainty around intent or cause.
Engage Psychiatric Experts
Engage **psychiatric experts** to evaluate capacity and motive.
Challenge Insurer Assumptions
Challenge **insurer assumptions** about reinstatement or timing.
Negotiate or Litigate
Negotiate or litigate for full benefit payment and, if applicable, bad-faith damages.
Case Example
A 39-year-old Calgary man died from a prescription overdose 18 months after his policy started. The insurer denied benefits under the suicide clause. We obtained medical evidence showing his depression impaired judgment and intent. The insurer settled for **$500,000**, the full death benefit plus interest.
Frequently Asked Questions
Conclusion
Suicide clauses in life-insurance policies are real — but they're not absolute. Insurers often overreach, denying claims even when intent is uncertain, mental illness is involved, or the exclusion period has expired.
Suicide exclusions typically last **two years**
Insurers must prove both **intent** and **timing**
Mental illness, reinstatement issues, and vague policy wording can all defeat the clause
Alberta law favours families where ambiguity or doubt exists