Free Case Review | Refer a Case 205-343-1771

Blog | ERISA and Disability Rights and Benefits | Alabama | The Martin Law Firm, LLC

The Edge Series: What Does “Merger Clause” Mean?

Posted by David P. Martin | Jul 22, 2022 | 0 Comments

The lawyers in our firm are focused on helping people with disability policies and ERISA claims. We want to give you the edge in understanding your policy. Today, we want to help you understand what the term “merger clause” means in your disability policy.

A merger clause is not a term labeled that way in a policy. It may instead be called a limitation of authority. That makes understanding a merger clause more challenging.
However, nearly every policy has one of these clauses. The intent of this term is to limit any responsibility and duty of the insurance company to only the language contained in the contract. It bars any oral statements or agreements.

The merger clause usually states: “Only the president, vice president, or secretary of our company has the authority to waive or alter any policy provision. Then, that must be signed and in writing by that officer.”

Regardless of what an insurance agent, employee, or anyone from the insurance company tells you, the contract is not changed unless it is in a signed document.
The entire agreement is merged into the policy. Oral agreements or statements may provide evidence as to how the policy is interpreted when there is ambiguity. But, they don't necessarily change the policy terms.

The danger arises when people rely on statements from other people about their policy; however, if it isn't in writing, you can't count on it.
If someone lies to you about the policy, then you may have some type of claim against them, but it won't change the policy. If you cannot find the coverage you need in writing in your contract, then ask the agent or your employer to locate where that promise is found.

Remember our ERISA attorneys and long-term disability lawyers are here to help if you run into problems. Contact us at the first sign of trouble with your disability claim.

About the Author

David P. Martin

Senior & Managing Attorney


There are no comments for this post. Be the first and Add your Comment below.

Leave a Comment

Contact [ME/US] Today

[LAW FIRM NAME] is committed to answering your questions about [PRACTICE AREA] law issues in [CITY/STATE]. [[I/WE] OFFER A FREE CONSULTATION] and [I'LL/WE'LL] gladly discuss your case with you at your convenience. Contact [ME/US] today to schedule an appointment.

Office Locations

Tuscaloosa Office
2117 Jack Warner Pkwy STE 1
Tuscaloosa, AL 35401
(205) 343-1771

Birmingham Office
300 Vestavia Pkwy, Suite #2300
Birmingham, AL 35216
(205) 286-5576

Huntsville Office
116 Jefferson Street N., Suite 209
Huntsville, AL 35801
(800) 284-9309

Mobile Office
205 N. Conception St.
Mobile, AL 36603
(251) 206-0024