Life Insurance Are You Uninsurable
Investopedia defines an uninsurable risk as ‘a hazard or condition that either has either a high likelihood of loss, or in which the insurance would be considered against the law.’ Many individuals applying for life insurance have been deemed uninsurable and had their application for cover declined. This article will take a closer look at some of the reasons why a life insurance company would deny an application for life cover.
While it is important to remember that each and every company has different underwriting policies, here are some of the more common reasons for denying an individual life insurance:
Pre-existing medical conditions, for example heart disease, cancer or HIV/AIDS. Note that in some cases insurers might not decline cover but might load premiums or limit cover to accidental death only, or apply a waiting period to the condition.