AIG Insurance Co. Disability Denials

By Frank N. Darras > Founding Partner, DarrasLaw | Nationally Recognized Disability Advocate > Last Updated: August 2026

With more than 30 years of experience and nearly $1 billion recovered for disabled policyholders, Frank Darras leads one of the nation’s foremost disability litigation firms in holding major insurers such as AI Insurance Company accountable. Disability claims involving AI Insurance Company may include complicated policy provisions, strict appeal deadlines, ERISA requirements, occupational disability definitions, and disputes over medical evidence, functional restrictions, and policy limitations. This guide draws on decades of experience representing policyholders whose disability benefits have been wrongfully denied, delayed, reduced, or terminated and helping them navigate the legal and procedural challenges these claims can present.

AIG, short for American General Life and Accident Insurance Co., is one of the biggest life insurance companies in the world. According to one source, Harris’ Interactive 14 ^th Annual Reputation Quotient Survey, it is also the most hated company in America. One reason could be the huge taxpayer-funded bailout that AIG received during the financial crisis. Another could be a poor customer service reputation.

If your valid claim for AIG disability insurance benefits was turned down or if your policy was wrongly canceled, our attorneys are here to help you. At DarrasLaw, our team of nationally-rated disability insurance attorneys are known for our hard work helping insureds just like you receive the benefits you deserve. To learn how we can help you with an AIG denied claim or other problem with this insurance giant, call 800-898-7299 or complete our online contact form.

AIG Wants You To Give Up On Your Valid Insurance Claim – We Don’t Let You

AIG is a huge company and is able to afford high-priced company attorneys and claims adjusters whose jobs revolve around protecting the company’s bottom line. One of the easiest ways to do this is to deny claims – even valid claims. This is done with the hope that claimants will give up if they are denied. Unfortunately, many people do, dropping their claims and letting the company get away with failing to live up to its side of the insurance contract bargain.

Most insurance companies make a large proportion of their profits by investing the premiums they receive. In contrast, AIG is known for trying to make a profit on actual claims – taking in more in premiums than is paid out in benefits. As a result, it often denies valid initial claims.

Former claims supervisors allege that the company uses a variety of subterfuges to avoid paying claims. These include locking checks away until beneficiaries complained, denying payment of attorneys fees until they were at least a year old, fighting insureds in court for years over minor and straightforward claims and “accidentally” destroying critical documents.

If you have experienced any of these delay, deny or terminate practices from AIG, do not give up. Our law firm has the experience, knowledge and resources to go head-to-head with AIG, the biggest insurance company in the United States. Our top-ranked team of disability insurance lawyers have recovered nearly $1 billion on behalf of insureds just like you.

Understanding AIG and Corebridge Financial Disability Policies

Insurance branding and corporate changes can make it difficult to determine which company is responsible for a disability policy. AIG’s former Life & Retirement business began operating under the Corebridge Financial name in 2022. Depending on when your coverage was purchased, your policy and claim correspondence may refer to AIG, American General, Corebridge Financial, or a specific insurance subsidiary.

The name appearing on a website or benefits portal is not always the same as the legal entity that issued the policy. Before filing a claim or appeal, review the policy’s cover page, schedule of benefits, denial letter, and any correspondence identifying the insurer, plan administrator, or claims administrator. That distinction may affect where documents must be submitted, which deadlines apply, and what legal remedies may be available.

What Does an AIG Disability Insurance Policy Cover?

Disability insurance is intended to replace part of a policyholder’s income when an illness or injury prevents the person from working as required by the policy. Coverage varies considerably, so eligibility cannot be determined from a diagnosis alone.

An AIG or formerly AIG-branded policy may require proof that the claimant:

• Meets the policy’s definition of total or partial disability;
• Is receiving appropriate care from a qualified medical provider;
• Cannot perform one or more important duties of an occupation;
• Has experienced a qualifying loss of income;
• Has satisfied the elimination or waiting period; and
• Continues to comply with requests for medical, financial, occupational, or functional information.

The controlling language is found in the policy or employer benefit plan. Coverage terms, exclusions, benefit periods, offsets, limitations, and proof-of-loss requirements can differ even between policies issued by related companies.

Own-Occupation and Any-Occupation Disability Standards

One of the most important provisions in an AIG disability policy is its definition of disability. Some policies initially evaluate whether the claimant can perform the material and substantial duties of their regular or “own” occupation. Others use an “any occupation” standard or transition to that standard after benefits have been paid for a specified period.

An own-occupation determination should involve more than comparing a diagnosis to a job title. The analysis may require a detailed assessment of the claimant’s actual occupational duties, the physical and cognitive demands of those duties, the way the occupation is performed in the national economy, and the restrictions supported by the medical evidence.

Under an any-occupation standard, the insurer may examine whether the claimant can perform another occupation based on factors identified in the policy, which may include education, training, experience, functional capacity, and potential earnings. Disputes often arise when an insurer relies on generalized job descriptions or identifies alternative occupations that do not realistically match the claimant’s limitations or qualifications.

Common Reasons AIG Disability Claims May Be Denied or Terminated

A denial does not necessarily mean that the claimant is capable of returning to work. It may reflect a disagreement over how the policy applies, whether the file contains enough objective support, or whether the evidence clearly connects the medical condition to the claimant’s occupational limitations.

Reasons commonly stated in disability denial or termination letters include:

• Insufficient medical evidence of functional impairment;
• Normal or mild findings on imaging, laboratory testing, or physical examinations;
• A lack of measurable restrictions and limitations from treating providers;
• Disagreement with the opinions of treating physicians;
• Failure to satisfy the policy’s definition of disability;
• Surveillance or social media activity allegedly inconsistent with reported limitations;
• Missed treatment, incomplete forms, or delayed responses to information requests;
• A change from an own-occupation to an any-occupation standard;
• Application of a mental and nervous, self-reported symptom, or other benefit limitation;
• Pre-existing condition exclusions; or
• Alleged failure to remain under regular and appropriate medical care.

Each stated reason should be compared against the actual policy language and the evidence contained in the insurer’s claim file. A strong appeal addresses the insurer’s reasoning directly rather than simply resubmitting the same records.

Medical Evidence That May Strengthen an AIG Disability Claim

Medical records are central to a disability claim, but records created for treatment do not always answer the questions an insurer asks. A physician may document symptoms and prescribe treatment without explaining why those symptoms prevent the patient from sustaining full-time occupational duties.

Depending on the condition and policy requirements, useful evidence may include:

• Detailed attending physician statements;
• Narrative reports explaining functional restrictions and limitations;
• Specialist evaluations and longitudinal treatment records;
• Imaging, laboratory findings, operative reports, or diagnostic testing;
• Neuropsychological, cognitive, or psychiatric evaluations;
• Functional capacity evaluations when medically appropriate;
• Medication histories and documentation of side effects;
• Statements from coworkers, family members, or others with direct knowledge of the claimant’s limitations; and
• A detailed explanation of how the condition affects the specific duties of the claimant’s occupation.

Not every disabling condition produces dramatic objective findings. Chronic pain, fatigue, migraine disorders, mental health conditions, and other illnesses may require careful documentation of symptom frequency, severity, duration, treatment response, and functional impact.

What To Do After Receiving an AIG Disability Denial Letter

Start by reading the denial letter in full. It should identify the policy provisions relied upon, the evidence considered, the reason benefits were denied or terminated, and the procedure for requesting review.

1. Confirm the appeal deadline. Do not assume that informal discussions with a claims representative pause or extend it.
2. Request the policy and claim file. The file may contain medical reviews, vocational analyses, internal notes, surveillance, correspondence, and other material used to reach the decision.
3. Identify every stated basis for the denial. Each medical, vocational, financial, and procedural issue should be answered with supporting evidence.
4. Review the occupational analysis. Confirm that the insurer evaluated the correct occupation and accurately described its material duties.
5. Coordinate with treating providers. Physicians may need to explain why the claimant’s symptoms and restrictions prevent reliable, sustained work.
6. Avoid submitting a rushed appeal. A brief letter stating that the decision is unfair may preserve little and fail to correct weaknesses in the record.

ERISA Appeals for Employer-Provided AIG Disability Benefits

Many disability policies obtained through an employer are governed by the Employee Retirement Income Security Act of 1974, commonly known as ERISA. ERISA claims follow administrative procedures that differ from disputes involving individually purchased disability policies.

For an ERISA-governed disability claim, a claimant generally must be given at least 180 days after receiving an adverse benefit determination to request a full and fair review. The denial letter and plan documents should be checked carefully because the applicable procedure may provide additional requirements or a longer period. Missing a mandatory administrative appeal can jeopardize the right to pursue benefits in court.

The administrative appeal is especially important because a later lawsuit may be largely limited to the evidence placed in the claim record before the insurer issues its final decision. Medical opinions, vocational evidence, occupational information, objections to insurer reviews, and responses to surveillance should therefore be developed before the appeal process closes.

The U.S. Department of Labor provides additional information about filing and appealing disability benefit claims.

Individual AIG Disability Policies Are Different From ERISA Plans

An individually purchased disability insurance policy is generally governed by state insurance and contract law rather than ERISA. The claimant’s rights may include remedies that are unavailable in an ERISA case, but those rights depend on the policy, the applicable state law, and the facts surrounding the insurer’s conduct.

Individual policies may also contain valuable provisions concerning residual disability, recovery benefits, presumptive disability, cost-of-living adjustments, future increase options, or occupation-specific coverage. These provisions should be reviewed before accepting a denial, benefit reduction, proposed settlement, policy rescission, or demand for repayment.

Can AIG Continue Reviewing a Claim After Benefits Are Approved?

Approval is not always the end of the claim process. Disability insurers commonly request continuing proof that the claimant remains eligible for benefits. AIG, Corebridge, or the company administering the policy may periodically request updated medical records, physician forms, financial documentation, tax returns, occupational information, interviews, examinations, or authorization forms.

Benefits may be reviewed more closely when:

• The policy’s definition of disability is about to change;
• A benefit limitation is approaching;
• The claimant reports part-time work or earned income;
• Medical records suggest improvement or inconsistent treatment;
• The insurer conducts surveillance or reviews online activity; or
• The claimant reaches a policy milestone, such as a specified age or benefit duration.

Claimants should answer legitimate requests accurately and on time while keeping copies of everything submitted. Any request that appears unusually broad, repetitive, or unrelated to eligibility should be reviewed in light of the policy’s cooperation and proof-of-loss provisions.

How DarrasLaw Handles AIG Disability Insurance Disputes

With more than 30 years of experience and nearly $1 billion recovered for disabled policyholders, Frank Darras leads a nationally recognized disability insurance litigation firm that represents claimants in disputes with major insurers, including AIG-related entities and administrators.

Depending on the status of the claim, DarrasLaw may:

• Review the policy, denial letter, and applicable deadlines;
• Determine whether ERISA or state insurance law applies;
• Request and analyze the insurer’s claim file;
• Evaluate the medical and occupational evidence;
• Identify errors in medical, vocational, or financial reviews;
• Develop an administrative appeal record;
• Respond to benefit termination or overpayment allegations; and
• Pursue litigation when a claim cannot be resolved through the administrative process.

No two disability claims are identical. The appropriate strategy depends on the policy language, the claimant’s occupation, the medical condition, the evidence already submitted, and whether the benefits arise from an individual policy or an employer-sponsored plan.

Meet Our Disability Attorneys

Frank N. Darras, Founding Partner
Experience: For more than 30 years, Frank N. Darras has focused exclusively on long-term disability and insurance litigation, including high-stakes disputes against Lloyd’s of London syndicates.

Track Record: He and his firm have recovered nearly $1 billion in wrongfully delayed and denied insurance benefits for policyholders nationwide.

Recognition: Named to Lawdragon’s Top 500 Lawyers in America for 18 consecutive years and listed in Best Lawyers in America since 2006, Mr. Darras is widely regarded as a leading authority on ERISA and disability insurance law.

Susan B. Grabarsky, Senior Trial Attorney
Experience: Ms. Grabarsky represents both individual policyholders and employee groups in complex disability disputes. Her prior experience as an insurance cost-containment analyst provides unique insight into how carriers evaluate and deny claims.

Approach: She leverages her understanding of insurer review tactics to strategically challenge Lloyd’s denials and push for full payment of valid benefits.

Reputation: Known for meticulous preparation and assertive advocacy, she has built a strong record confronting unfair disability practices.

Heather Gardner, Senior Associate
Experience: Heather Gardner concentrates on ERISA-governed and individual disability appeals involving national and international carriers.

Role in Litigation: Working closely with Frank Darras, she helps develop comprehensive administrative records and appellate strategies designed to withstand federal court scrutiny.

Professional Strength: She is respected for her precision in analyzing policy language and dismantling complex denial rationales.

Phillip S. Bather, Associate Attorney
Experience: Phillip S. Bather focuses on ERISA litigation and insurance bad-faith disputes, assisting clients through intake, claim development, and administrative appeals.

Case Strategy: He works to assemble compelling evidentiary records aimed at reversing unjust denials and positioning cases for successful litigation when necessary.

Client Commitment: Recognized for his responsiveness and detail-oriented advocacy, he supports claimants facing aggressive insurer resistance.

Trusted Legal Credentials

• AV Preeminent® Rating – Martindale-Hubbell
• Best Lawyers in America – Disability Law
• Lawdragon 500 Leading Plaintiff Lawyers

Speak With an AIG Disability Insurance Attorney

A denied or terminated disability claim can put a policyholder’s health, income, and financial security at risk. Do not assume the insurer’s decision is final, and do not allow an appeal deadline to pass while attempting to resolve the matter through informal telephone calls.

DarrasLaw represents disabled policyholders nationwide in individual and group disability insurance matters. Call 800-898-7299 or complete the firm’s confidential contact form to request a free policy and claim evaluation.

Frequently Asked Questions About AIG Disability Claims