Claims are time barred when policy information is enough to provide notice of the basis of the claim
In Blumenthal v. New York Life Insurance, Blumenthal cancelled his universal life insurance policy with New York Life after discovering the policy’s cash value and death benefit would be zero between 13 and 17 years. The district court granted New York Life’s motion for summary judgment on the ground that the claims were barred by Oklahoma’s statutes of limitation. Written materials relating to the policy were enough to put Blumenthal on notice of the basis of any claim he may have against New York Life. Blumenthal appealed. The Court of Appeals affirmed the district court’s ruling. It was an undisputed fact that Blumenthal received information that would put a reasonable person on notice that the anticipated premiums might be insufficient to maintain the policy until its maturity date. Blumenthal admitted that he never would have bought the policy if he had read the information when it was provided to him.
