The Top Five Reasons People Are Turned Down For Life Insurance

The Top Five Reasons People Are Turned Down For Life Insurance

Life insurance companies have the right to deny coverage to any life insurance applicant based on your repose scale. A high tomb risk means that you may die immediately and life insurance companies dont want to run the risk of insuring you and then immediately having to pay out claims to your beneficiary. The lower your silence risk, the better your chances of getting a life insurance policy and being eligible for lower premiums. If youre uncertainty whether you could be denied life insurance heres a list of the top five reasons why life insurance carriers may deny coverage.

Pre - existing health conditions

Depending on fierceness of your pre - existing health character, life insurance companies may deny coverage or hike up premiums to those with known health problems. According to the Health and Human Services analysis of January 2011, about 129 million Americans below the age of 65 have pre - existing health conditions relating as heart disease, cancer, asthma, high blood pressure, diabetes, arthritis or other conditions that may decrease life spans. Older Americans are more prone to undifferentiated health risks and about 48 to 86 percent in the age weave of 55 to 64 modern live with a pre - existing health sort.

Life insurance companies will also gun at your family health history for direct family who have died from a chronic or genetic disease. Played out mental health or being significantly plump is also factored in and used to assess your insurability and wrap up the premium category you are allotted.

Lifestyle factors

Life insurance companies will also gain information about you through your credit place reports and driving history. Statistics show that if youre beggared in managing your money or show recklessness in your driving skills, youll commonplace approach health issues in your life in the equivalent way. Something to sense about! If you have penniless credit history, too many traffic violations ( particularly DUIs ) you may be denied coverage.

Lifestyle assessment also includes your smoking and drinking habits. If youve been a chronic smoker for years, you current wont be denied coverage but even the cost of term life insurance would be an estimable proposition. If youre a chain smoker and your vital health signs are not looking too good, you can be denied coverage precisely.

Age Factors

Generally those in the age yoke of 17 to 74 are eligible for life insurance. Most companies deny coverage to people older than the age of 74. Those beneath the age of 17 can exploit for child life insurance.

High - Risk Job or Hobby

If you have a job or relaxation that is adventurous and involves a certain amount of risk to life, you may find it tough to get coverage. Professions related as underground mining, flying on airlines as a pilot or stewardess, lumberjacks, construction workers, offshore oil faction workers are considered high - risk occupations. The identical goes for people who are engaged in sports jibing murder gliding, bungee jumping, pile climbing, skydiving, car hypersonic, etc.

Criminal record

Have you ever tested positive for substance abuse? Or been disturbed with illegal possession of drugs? Perhaps grand larceny or a petty purloining? Theres no faster way to be denied life insurance coverage than having a criminal enter against your name. Dont see you can misrepresentation your way through this on your application construction for once discovered ( and life insurance companies will do a thorough job at uncovering this type of information ) it will only add to your list of felonies as lying on a life insurance application is also a crime fit to be tried in a gavel jockey of law. It called fraud and comes below gray collar crimes.

Other reasons

Make incontestable your health records are in order and you equip accurate information on your application conformation. Spare common motive why life insurance companies deny coverage is due to of poor lab results. If you havent had a blood evaluation done in years, get one done at first 3 months before you promote for life insurance. Use the three months time period to repair any alterable health factors that could up thrust your life insurance rates or make you uninsurable.

If youre in the second or third trimester of your pregnancy, you may not be able to advance for coverage. Women should get life insurance before they become pregnant to get the best rates.

The bottom line

Life insurance companies will deny coverage to anyone whom they envisage has higher odds of paradise than the universal Joe who leads a healthy life. Life insurance companies will do one of the adjacent if you are a high - risk applicant for life insurance:

Outright deny you any coverage
Put you into a higher rate category. Youll get coverage but youll have to pay plentiful premiums to keep your policy engaged.
Offer a policy with a disclaimer that excuses them from paying benefits if you anatomy while engrossed in your distinguishing high risk recreation or job. So if you jargon pocket money your profession or leave the concern you love, you can still get life insurance at affordable rates through exclusions in the contract.

Life insurance is a competitive industry. Underwriting systems differ with each company so even if you do belong in a few of the categories listed major, you may still be able to find better rates for yourself by shopping around for life insurance. To get the cheapest life insurance, make use of online life insurance quoting services and brokerage firms that act as hundreds of life insurance companies.

Insufficient Health Records. Health records are an important tool to help underwriters see your personal health profile. But if your doctor has failed to store medical records to crawl any of the information you have provided then coverage may be denied.

Inaccurate Information. Similarly, if you have provided any incorrect information on your application in an exertion to get better premium rates, it is a serious offence and you are liable to criminal trial.

Disappointing lab results! Most people have not taken blood tests for years. When they go through a medical examination they discover their sugar levels are high or they have a slightly high blood pressure. Get a checkup done at leading 3 months brother to applying for life insurance. During these months modify your diet, follow a heart - healthy lifestyle and your chances of doing better in the medical exam are higher.
Many of the factors that make a person a high - risk option for life insurance companies are not alterable. For instance, if you have a terminal malady, there is not anything much you can do about this erase get treatment. But there are convertible factors that you could work on before applying for your life insurance, parallel as.