Does life insurance pay out for suicide?
Short answer
Usually, yes — once the policy's suicide clause has passed. Most individual policies exclude suicide for a limited period after issue, typically two years, and some states allow no more than one. If a death by suicide happens inside that window, the insurer typically refunds the premiums paid instead of paying the death benefit. After it, suicide is generally covered like any other cause of death. If you're struggling, call or text 988.
If you’re thinking about suicide, or worried about someone who is: call or text 988, or chat at 988lifeline.org. It’s free, confidential and available 24/7. Veterans and service members can dial 988 and press 1, or text 838255. You don’t have to be suicidal to call.
Most people asking this question are trying to understand a policy after losing someone — or worried about someone they love. Here’s how it works, plainly.
How the suicide clause works
Most individual life insurance policies include a suicide clause: if the insured dies by suicide within a set period after the policy is issued, the insurer doesn’t pay the death benefit. Instead, it typically refunds the premiums that were paid. Once that period ends, a death by suicide is generally covered like any other cause.
States set the outer limit on how long that exclusion can last. Two examples:
- New York allows a policy to exclude suicide only within two years from the date of issue. If the exclusion applies, the insurer must return the premiums charged, less any dividends paid out and any policy loan (N.Y. Ins. Law §3203).
- Minnesota limits it to one year from issue and requires the insurer to refund all premiums paid for the coverage it denies (Minn. Stat. §61A.031).
Your policy’s own wording controls within those state limits, so the exact period is in the contract — look for a section titled “Suicide” or “Exclusions.”
| When the death happens | What typically happens |
|---|---|
| Inside the suicide-clause period | Premiums refunded; death benefit not paid |
| After the suicide-clause period | Death benefit paid, like any other cause |
It’s separate from the contestability period
Policies also have a contestability period — two years in Michigan (MCL 500.4014) — when the insurer can review the application for misstatements after any claim, whatever the cause of death. The two clocks often run together, but they’re different rules. After both have passed, and with an honest application, the policy pays.
Questions families ask
- What about replacing an old policy? A new policy comes with its own suicide clause and contestability period, and states treat replacements differently — one more reason to ask before you drop coverage you already have.
- What about a reinstated policy? Ask the carrier whether reinstatement restarts the contestability period or suicide clause — rules vary by carrier and state.
- Does a history of depression stop someone from getting coverage? No. Many people with depression or anxiety qualify — see our depression and anxiety page.
If you’ve lost someone
File the claim even if you’re unsure how the clause applies — the insurer reviews the dates against the policy, and in Michigan it must tell you in writing what paperwork it needs within 30 days of your claim (MCL 500.2006). If a claim is denied, ask for the reason in writing. And please take care of yourself, too: 988 is for anyone who needs emotional support, not only people in crisis.
If you have questions about a specific policy, call us at 586-343-1505. We’ll help you read it — no cost, no sales pitch.
Sources: 988 Suicide & Crisis Lifeline · Veterans Crisis Line · N.Y. Insurance Law §3203 · Minnesota Statutes §61A.031 · Michigan Compiled Laws §500.4014 · Michigan Compiled Laws §500.2006
Updated October 11, 2026. General information, not legal, tax or financial advice. United Eagles Financial is an independent life insurance agency, not an insurance carrier; coverage depends on carrier underwriting and state availability.