Your health shouldn’t prevent you from getting the coverage you need.
It actually is possible to get life insurance with pre existing conditions.
There comes a point in your life when you may start wondering whether you should get life insurance or not. (Spoiler alert: the answer is always “Yes!”)
Unfortunately, a lot of people assume that they won’t be able to obtain life insurance with a pre existing condition, or if they can, that the prices will be astronomical. However, these common myths are just that…myths.
While it is true that insurance premiums may be higher if you have a pre existing condition, there are several options available (and this shouldn’t prevent you from getting the coverage you need).
Read on to find out whether you can get life insurance with pre existing conditions and how your medical issues factor into your insurability.
What Is A Pre Existing Condition?
A pre existing condition is any condition that you were diagnosed with prior to obtaining life insurance.
Conditions that may affect the ability to secure life insurance vary but some of the major ones include:
- Heart disease,
- High cholesterol,
- High blood pressure,
- And others.
These conditions do not automatically exclude you from life insurance, but they may make it more difficult and/or expensive to obtain coverage.
Why Does Life Insurance Cost More With a Pre Existing Condition?
Unfortunately (and quite morbidly), the reason that life insurance costs more when you have a pre existing condition is because the insurance company deems you as more of a risk to them. To put it bluntly, they are assuming that your health issues will cause you to die sooner than someone else who has no medical conditions to speak of.
Yeah, it’s awful to think about. But in the insurance business, they have to think about it.
For example, if you buy a policy and pass away a year later, you got way more out of your policy than you put in. If this happens frequently in a short amount of time, the insurance company may run out of money and have to close up shop altogether.
If that happens, everybody loses.
The longer you live, the more the insurance company makes from your premiums before they have to pay you (rather, your beneficiaries). It might sound heartless, but insurance companies have expenses, too.
Can I Get Life Insurance With Pre Existing Conditions?
Yes! In fact, this is one of the biggest, most harmful myths surrounding life insurance.
People with pre existing conditions need life insurance just as much (if not more) than everyone else. The same reason that it’s more expensive for people with health issues is also the same reason they need coverage.
Having a shorter life expectancy than the national average makes it crucial to prepare for those you leave behind.
People with pre existing conditions deserve to know that—after their death—their debts will be paid, their family taken care of, and any charities they care about receive donations.
Pre existing health conditions rarely make you completely uninsurable, but they might charge you more in premiums or deny coverage for some parts of life insurance.
Every life insurance company in America (there are more than 800 of them!) is different, which is why it’s important to seek out a reputable insurance agent to help you navigate the marketplace.
Where one company may deny you because you have diabetes, another company may welcome you with open arms (and an adjusted premium). Having an experienced insurance agent at your side to be your advocate is vital to getting the coverage you need at a price you can afford.
What Can I Expect?
When you’re searching for life insurance, you will likely find that a lot of them require you to undergo a medical exam.
It is vital that you do not hide any information and that you disclose any conditions that you know about. If you don’t (and you are eventually caught), it will go on your record and you may be deemed uninsurable to all companies. Not to mention it’s considered fraud.
In addition to your medical exam—which will include a physical and blood work—you will be asked a series of questions about your lifestyle. You will need to disclose how often you exercise, your hobbies, and whether or not you smoke. These answers will all help determine what policies may be offered to you.
What Are My Options?
Fortunately, people with pre existing health conditions have options if their premiums are too high or they were denied by another company.
Tailored life insurance policies issue insurance specifically to people with diabetes, cancer, and HIV.
Guaranteed life insurance is another option. Premiums are often extremely affordable because term rates are generally very short (about five years). Even though you don’t have to submit to a medical exam, you will have to answer a series of pointed questions that are designed to filter out pre existing conditions.
Term and whole policies are standard options, but you will have to obtain a medical exam, which will likely mean shopping around for the best prices.
Unfortunately, higher premiums and less coverage are the standard for those seeking life insurance with pre existing conditions. The good news is that there is still protection available for your family and assets upon your death even if you’re dealing with a medical issue.
It’s important to note that life insurance is one of the most important decisions you’ll make in your life. It is never a good idea to forgo life insurance all together. That’s why it’s extremely important to have a reputable independent insurance agent by your side to help you find the policies that are best for your situation.
We know that thinking about your death and medical issues is nerve-wracking. At Harry Levine Insurance, we aim to provide compassionate service because we consider our clients to be our family.
With decades of experience under our belts, we know how to find the best life insurance for our clients, including the ones with pre existing conditions. We will be your advocate, friend, and counselor.
If you’ve recently discovered that you have a health condition and want to explore your options for life insurance coverage, give us a call. We are happy to help.