Okay, so maybe you’ve been declined for coverage from a life insurance company, don’t get down, it doesn’t mean they all don’t like you! Most life insurance companies weigh risk differently so if you got declined for life insurance it’s not the end of the road. If you got declined it simply means you are considered a high risk. The key to getting approved is working with an independent life insurance agent or agency that specializes in high- risk cases (that’s us). This means we have the ability to shop around with all the companies and use our years of experience in working with high-risk clients to put you with the company that will give you coverage at the best rate possible. So if you’re still looking for coverage, please contact us today. If you want to learn more about why you got declined for life insurance let’s discuss that further.
Why did I get declined?
As mentioned earlier, if you got declined it means you’re a high risk. Being classified high risk by the life insurance company usually depends on a few factors like health, occupation, dangerous hobbies, and driving history to name a few. Most of the time the rejection is just a result of that particular company’s harsh underwriting standards for your particular situation. Another reason could be that something came back negative on your medical exam and it’s your agent’s job to examine what steps to take next based on the information the life insurance company returns with.
For example:
Let’s say John got declined with company A because he has a D.U.I on his record within the last two years. So John goes and finds an independent life insurance agent Joe. John tells him that he wants to apply company B because it has a better rate than company C. The thing is, Joe is an experienced independent agent and he tells John that applying with company B will only result in a huge rate up or a decline. Because agent Joe knows based on his experience working with company A, B, and C that company C is the best option for those with a bad driving history. Joe also knows that if he attaches a cover letter letting the company know that John has been alcohol-free since the DUI, it will potentially help John get a better rate. By the way, we do all of this for you at InsureChance so if you’ve been declined for any reason, give us a call and we will get you covered.
What do I do next?
Give us a call or email us here. We have been working with declined cases for ages and we will be able to get you coverage. Our clients range from cases with type 1 diabetes, cancer survivors, to clients with past history of felonies. If there is a company out there that will get you coverage we will do whatever it takes to make sure you get it. Don’t just try to throw darts with a blindfold and apply with many carriers at the same time. Life insurance companies look at the amount of companies that you have applied with and have been declined with. That means the shotgun approach will only hurt your chances of getting coverage and make your agent’s job a little more difficult.
What happens if you get declined?
If you have medical conditions or background information that has prevented you from getting approved for life insurance there may be another option out there known as guaranteed approval policy. A type of policy that is available for people over age 50 on guaranteed basis with no questions or examination requirement. It is a limited policy so you can only get around $25,000 of life insurance coverage but you can stack some other policies together to get like $50,000 or $75,000. These plans typically have a wait period of 2 years so if something happens your family will only get premiums paid returned with some interest as well. If you die in an accident then the waiting period doesn’t apply since it is not an illness.
Tips for Life Insurance Applications
If you have been getting declined sometimes is is still not the time to give up. You need to give it a serious try with an agency that has experience with higher risk cases. Here is a list of tips you can take to get the best results:
- Apply with the right company- There are 1000’s of life insurers on the market and you want to make sure that you work with the most aggressive ones. From our experience, you can be turned down by 10 company’s and then an aggressive carrier will approve you with a decent rate.
- Quick Quote- This is a process where your agent can email underwriters at various companies to get a prequalification done. This is anonymous so none of your personal information gets shared. Once the offer is made we usually attach it on top of your application to show the underwriters that they made a prior commitment.
- Cover Letter- A cover letter needs to be attached to every application and it should cover things like your hobbies, lifestyle, family life and the reason you getting the policy. This letter helps you get a much better rate than someone who is just another application in a large stack.
- Organize Medical Records- This is your time to shine and work with your doctor to make your medical records look neat and accurate. You need to work along with your medical practitioner to make sure there are no errors and update anything that is no longer relevant.
Work with us!
Even though you may have had some difficulty in the past getting life insurance there are still some options and new ways of trying to get coverage. This is the same reason we work with all the major insurance companies in the marketplace because with one examination and order of your medical records we can use it for all of our companies. We will actually pay for the medical records ourselves so we can have this ability because there have been so many times when one company flat out declines our client and another one approves with no issues. In addition to that if we have tried all the top traditional carriers then we will move one to the last resort options like graded death benefit or guaranteed issue life insurance plans. So let us do all the work for you while you focus on things that are more important to you. You can start with one of our quote engines or simply call us at 888.492.1967 to speak to one of our licensed pros. Oh and don’t forget that our service doesn’t cost you a penny. Welcome to InsureChance!
