Unfortunately, the concern stemming from developing a chronic health issue isn’t limited to your medical needs and health. On the insurance side, you’re not just an everyday Jane or Joe purchasing life insurance any longer.
While you might not be considered a standard risk any longer, there are still insurance options that can provide you with the coverage you need. One such option is called impaired risk coverage. This unique form of life insurance is designed to provide coverage for individuals who are no longer a standard risk. A bad risk is life insurance underwriting terminology used to describe an individual with some factor making him an above-average risk to insure, such as an unfavorable health history or current health condition. Most underwriters consider an individual an impaired risk if any of the following statements are answered with a yes:
* Do you have cancer?
* Do you have diabetes?
* Do you have heart disease or cardiovascular disease?
* Do you have rheumatoid arthritis?
* Do you have chronic asthma?
* Do you have chronic liver, lung, or kidney disease?
* Do you have AIDS or HIV?
* Do you abuse any substance – alcohol, tobacco, or illicit drugs?
* Are you employed in a dangerous occupation?
* Do you participate in any dangerous leisure activities?
The good news is that even if you answer yes to these questions, you can still find affordable life insurance coverage. One of the most important steps will be working with the right insurance agent. Agents experienced with impaired risk insurance have better-working knowledge of what carriers will cover you at a reasonable price, the underwriting process for each, and what pages are best avoided. For example, some life insurance carriers are now using clinical underwriting. This underwriting method is a relatively new process for insuring those exceeding the usual risks. It looks beyond your current health condition(s) and takes your overall health into account by considering elements like how well you’re managing your situation, if you live a healthy lifestyle, and if you take medications as prescribed and follow your doctor’s guidelines.
In today’s life insurance market, finding adequate and affordable coverage is possible, even if you have an impaired risk. There might be a few rejections before you find the right coverage, but remember that one insurer viewing you as an unacceptable risk doesn’t mean that all insurers will share their viewpoint.