Legal Question in Insurance Law in Iowa

Insurance Company Mistake

My mother rec'd a $35,000 benefit that was to be from my Father whom passed away two years ago, The insurance company is calling her now to tell her they made a mistake, that that money was suppose to go to another person who had the same name. They are telling her she has to pay this back. Is there anything she can do? Is this legal?


Asked on 6/12/08, 11:01 am

1 Answer from Attorneys
Stephen Lombardi Lombardi Law Firm

Re: Insurance Company Mistake

Interesting, a mistake of fact on the part of the insurance company. Why did you mother believe she was entitled to the $35,000.00 death benefit? What was the basis of her belief? If her belief was a mistake in fact then it's a mutual mistake which may work in her favor. If she owns nothing then the insurance company is just out the money.

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Answered on 6/15/08, 11:00 am


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