It would certainly be tough to learn that your insurance company denied your application for insurance at a time you were fully sure of a positive response. You may have something in your background like diabetes, a previous cancer diagnosis, obesity that makes you a higher risk for dying prematurely and you might fall into the impaired risk market.
It is obviously a hurdle for applicants with such cases and at times they may face denial, but this certainly does not mean that the hunt is over for an approval. A different policy type or a more suitable company can be good options in such a scenario.
It is obviously a hurdle for applicants with such cases and at times they may face denial, but this certainly does not mean that the hunt is over for an approval. A different policy type or a more suitable company can be good options in such a scenario.
If you have been denied life insurance, below are important steps that can help you:
1. Collect Information:
Lot of data is collected by the insurer from several sources for risk evaluation before denying an application. You are either postponed or denied if the risk is high enough. The carrier can provide detailed information upon request on why application denied for insurance. You may not know about an illness or disease beforehand and the denials from current exams tend to be the most shocking. Current exam results, medical history, driving record or something else, your carrier can provide detailed information on why your applicant was declined.
2. Confirm the Results:
Any data provided to the underwriter should be double checked as errors can happen anytime. Confirm it with your primary care physician if poor exam results were cited as the cause. Even if there is little cause for concern, a company may simply deny coverage because of new, undiagnosed lab results.
In some cases, the underwriter simply can’t assess a proper risk profile and this can lead to postponement or declines because records such as recreational hazards, criminal records and even financial distress aren’t updated or detailed enough.
3. Work with an Agent:
It is not necessary that the first company you apply is the best one. An agent can help you to find the better options with thorough access of the information provided by you. A well-trained high-risk life insurance agent can find the best fit for you. Each life insurance company adheres to its own set of underwriting guidelines and so you should understand that applying to another carrier is an option only if the reason for denial (such as diabetes) is one another may accept (because your diabetes is under control with medication).
1. Collect Information:
Lot of data is collected by the insurer from several sources for risk evaluation before denying an application. You are either postponed or denied if the risk is high enough. The carrier can provide detailed information upon request on why application denied for insurance. You may not know about an illness or disease beforehand and the denials from current exams tend to be the most shocking. Current exam results, medical history, driving record or something else, your carrier can provide detailed information on why your applicant was declined.
2. Confirm the Results:
Any data provided to the underwriter should be double checked as errors can happen anytime. Confirm it with your primary care physician if poor exam results were cited as the cause. Even if there is little cause for concern, a company may simply deny coverage because of new, undiagnosed lab results.
In some cases, the underwriter simply can’t assess a proper risk profile and this can lead to postponement or declines because records such as recreational hazards, criminal records and even financial distress aren’t updated or detailed enough.
3. Work with an Agent:
It is not necessary that the first company you apply is the best one. An agent can help you to find the better options with thorough access of the information provided by you. A well-trained high-risk life insurance agent can find the best fit for you. Each life insurance company adheres to its own set of underwriting guidelines and so you should understand that applying to another carrier is an option only if the reason for denial (such as diabetes) is one another may accept (because your diabetes is under control with medication).
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