Irene M. Geschke, Individually and as of the Estate of Clarence O. Geschke v. Air Force Association and Monumental Life Insurance Company

SYKES, Circuit Judge.

Clarence Geschke purchased a defined-benefit supplemental cancer insurance policy that promised to reimburse him for “incurred expenses for the cost of blood or blood plasma.” Geschke developed leukemia and required numerous blood transfusions. He later died, and his widow, Irene Geschke, filed an insurance claim that included $33,689.81 in expenses for blood and transfusion-related charges such as laboratory testing, equipment, drugs, administrative fees, and other transfusion expenses. The insurer paid only the cost of the blood product itself, or $1,245.10, and denied…