Life insurance is a good way to provide a safety net for your family in the event of your death. Your loved ones can use the payout to pay off debt (such as student loans or mortgage), provide an inheritance, or fund a funeral. While life insurance can give you peace of mind, you might wonder what would disqualify you from purchasing a policy.
With a better understanding, you will avoid hitting a roadblock when you are trying to get life insurance to protect your family. In this article, we’ll walk you through the details of why your life insurance application might be denied.
Pre-existing Conditions
Heart disease and cancer are a few pre-existing health conditions that could possibly disqualify you from enrolling in a life insurance policy. Insurance providers believe people with a pre-existing condition are less likely to live as long as those without the pre-existing health condition. For instance, a person with heart disease is more prone to a severe heart attack. However, you don’t need to assume these conditions are automatic disqualifications; many people with pre-existing conditions can still be insured depending on the stage of the condition and if the treatment is effective.
Risky Activities and Occupation
You may not qualify for a life insurance policy if you engage in extreme activities such as scuba diving, base-jumping, and skydiving. Most insurers shy away from activities and hobbies that pose an unusual amount of risk. Also, some jobs are more dangerous than others, and this may affect your coverage rate. Some of the more dangerous professions include police, farmers, pilots, loggers, and more.
Mental Health
You may not qualify for life insurance coverage, depending on the history of your mental health. Depression is seen by insurance providers as an existing condition, and they offer life insurance coverage based on the risk involved. Also, if you have had a history of suicidal activities, providers will likely deny your application due to the high risk.
Age
The older you get, the more difficult it is for you to get life insurance coverage, not to mention that the premiums will become costlier. With age usually comes health problems, which puts you more at risk to an insurer. After reaching a certain age, some coverage will no longer be available to you. That is one of the reasons why it is important to apply for life insurance coverage while you are still young and healthy.
Need Life Insurance? We Can Help
While you may be disqualified from enrolling in life insurance coverage due to the above factors, every insurer is different, which is why it is important to do your research and compare quotes when shopping for coverage. If you need help determining if you will qualify for a life insurance policy, contact All Things Insurance today.