The amount received from life insurance claims can be significant, particularly if the insured individual is high-profile. This financial aspect has even been the driving force behind some gruesome spousal murders. Some of the most notable life insurance claims have come from the heirs of celebrities such as Michael Jackson and Dale Earnhardt.
Michael Jackson
The world watched in shock on June 25, 2009, when the death of iconic singer, Michael Jackson, was announced. At the time of his passing, Jackson had a net worth of $600 million. Following his death, AEG LIVE, the company responsible for promoting his concerts, was accused of not disclosing his drug usage and questionable medical history. This allegation was raised by Lloyd’s of London, the firm that insured his concerts. The insurer urged a Los Angeles court to nullify the $17.5 million life insurance policy that AEG had secured for Jackson’s concerts. When his O2 Arena Residency was cancelled just months after his death, it was reported there might be a clause in his insurance policy exempting Lloyd’s from payouts related to illegal drug use.
Lloyd’s lawsuit against AEG revolved around the claim that it was never disclosed Jackson was consuming Propofol, the anesthetic drug reportedly responsible for his premature death at 50. As a result of the unresolved legal dispute, the insurance policy was rendered void.
Dale Earnhardt
Following the tragic death of Dale Earnhardt in a disastrous NASCAR race, Teresa, his wife, tried to claim his $3.7 million life insurance payout only to be reportedly denied. Richard Childress Racing had an agreement indicating that upon Earnhardt’s death, his wife would receive up to $7 million from his life insurance policy, provided by Omaha Insurance. Richard Childress Racing then had to sue Omaha Insurance for denying Teresa’s claim, which left them carrying the financial responsibility.
Heath Ledger
When Heath Ledger died in 2007, his life insurance policy amounted to $10 million. However, due to the suspicious circumstances surrounding his death — an accidental drug overdose, the insurance company questioned paying the claim, suspecting suicide. Another issue complicating the payout was the suspicion that Ledger had failed to disclose his use of prescription drugs on his application.
Don Cornelius
Don Cornelius’ death led to his ex-wife receiving the payout from his two life insurance policies. Their divorce agreement stated that she would receive the $300,000 payoff from his policies. Despite his death being suicide, she was granted the full benefits, as the policies had been in place for over two years prior to his passing. This information is per SmartAsset.com.
