Navigating the labyrinth of life insurance can be a daunting task, especially when pre-existing conditions enter the equation. As you contemplate securing financial protection for your loved ones, you might find yourself grappling with uncertainty. Can you buy life insurance with a pre-existing condition? This question isn’t just about acquiring a policy; it delves into the complexities of health, mortality, and financial planning.
However, if you have a pre-existing condition, it can be a little difficult to find a life insurance policy. Pre-existing conditions make it a lot harder to be eligible for a life insurance policy; however, this isn’t impossible. High-risk life insurance policies are usually more expensive, and they have limited benefits.
What is a Pre-existing Condition?
A pre-existing condition is a medical condition that is diagnosed before applying for insurance coverage. While health insurance companies don’t refuse to cover treatment or increase insurance rates for pre-existing conditions, there aren’t such laws for life insurance policies.
This means that some pre-existing health conditions like diabetes, asthma, heart disease, and asthma can impact your premium negatively. Mind you, life insurers don’t weigh all pre-existing conditions equally.
The more serious the condition is, the more it will impact your premium. Any medical condition for which you have sought the advice of a medical professional in the past can also be considered a pre-existing condition.
Can You Buy Life Insurance With a Pre-Existing Condition?
Yes, you can buy life insurance with a pre-existing condition. However, certain factors will determine if you are eligible for a life insurance policy with pre-existing conditions, and these factors include the severity of your medical condition and the type of your medical condition.
You might also be eligible for term life insurance if your medical condition is controlled through a treatment plan.
How Does Pre-Existing Condition Impact My Life Insurance Rates?
Although it is possible to get life insurance with a pre-existing condition, it might negatively impact your coverage options and premium. Insurance companies make use of a tiered system to determine the risk of covering you.
The lower-tier classifications consist of people with pre-existing conditions. To know your risk level, the insurance company will assess every case based on specific criteria, which include the date of diagnosis, severity of the medical condition, if the issue is current, how you have managed the condition, and your lifestyle.
The insurance company will also ask your doctor for an attending physician statement. This statement will detail any legally allowed specifics that the insurer asks for, and this will help the insurance company determine if they want to deny or approve your insurance application and the rate you will pay.
What Types of Insurance Can I Get With a Pre-Existing Condition?
Life insurance companies charge higher premiums for people with pre-existing conditions. Some policies are available to people with pre-existing conditions. Here are some available life insurance options for high-risk life insurance candidates:
• Term Life Insurance
Term life insurance is more affordable because it is only provided for a specific period, which is between 10 and 30 years. Policyholders might lock in low rates for coverage and might also be eligible for coverage with their pre-existing conditions. However, the chances of approval are based on the severity of your condition. In addition, your premium will also be higher.
• Guaranteed Issue Life Insurance
A guaranteed-issued life insurance plan is an excellent option if you have a pre-existing condition because the insurance policies are guaranteed to be issued. There is no requirement for a medical exam. Thus, people with pre-existing conditions might be able to get more coverage through this type of life insurance policy.
This type of life insurance is more expensive, and the coverage amounts are lower than others. In addition, a guaranteed-issue life insurance policy provides lifetime coverage. Once the premiums are paid, you will have coverage until you die.
• Group Life Insurance
Another way to get a life insurance policy with a pre-existing condition is with group life insurance. You can get this insurance plan through your employer. These insurance policies are offered to a group of people at an affordable rate since the coverage is typically basic and its costs are shared among a large group of people.
Group life insurance plans are usually offered to employees as a part of their benefit, and some enable employees to add their spouse or their children to the insurance policy. Your employer might even cover the whole cost of your premium.
How Much Does Life Insurance With a Pre-Existing Condition Cost?
The insurance company groups applicants into tiers based on their health, which include super preferred or standard preferred. The name given to every class also varies among the insurers. However, the goal is the same.
Most people are eligible for either preferred or standard rates. However, if you have a serious health condition, you might be eligible for substandard rates. To know the cost of your insurance rate, you can visit various insurance sites and use their calculators to get an estimate.
Tips for Buying Life Insurance with a Pre-Existing Condition
It can be a little hard to buy life insurance with a pre-existing condition. However, some steps might boost your chances of being approved for coverage. By taking your time to understand how pre-existing conditions can affect your coverage costs before shopping, you will have a better understanding of how to apply for a life insurance policy with a pre-existing condition.
- Be careful when you apply: An insurance company will turn you down if you apply after a health condition attack. However, you can always reapply, especially if your medical records show that your treatment is effective. Some companies also have a time limit for when you can apply for insurance.
- Share your improvement with your insurer: After you are approved for a life insurance policy with pre-existing conditions, it is an excellent idea to share any health improvement with your insurer. Most times, the insurance company adjusts your premium if they see that your health has improved.
- Find the right agent: You must search for an independent agent who will work with a specialist. Ensure that your agent submits informal inquiries instead of formal applications.
With the tips listed above, you can be able to get a life insurance policy with a pre-existing condition.
What to Do If You Have Been Denied Life Insurance
If you have been denied applying for life insurance or you can’t find any affordable premiums for the coverage that you want, then you might want to consider waiting.
After waiting, you can then reapply for life insurance as soon as your health condition has improved. The insurance company will provide a timeframe for when you can reapply.
