If you are a medical resident looking into a GSI Guaranteed Standard Issue policy, it is important to understand the pre-existing condition clause.

When you purchase a GSI policy, there are no medical questions asked. Typically you may purchase up to $5000 as a resident or $7500/month as a graduating resident. You may also increase the policy up to $15k/month without any further medical questions.

So what happens if you already have a pre-existing medical condition when you apply? Will that be covered?

According to the policy language, “a preexisting condition is any condition that was treated, or they had symptoms that they should have sought treatment for. No coverage is payable if they become disabled from that preexisting condition in the first 12 months that the policy is in force.  If they become disabled from that condition in the 13th month they are covered.  They are covered if they become disabled from any other condition that was not preexisting from the start of the contract.”

To clarify, if you have a pre-existing policy at the time of application, you do not need to diclose it. If you have a claim in the first 12 months that the policy is in force, that condition will not be covered. If you have a claim after month 13 from that condition, it would be covered. Otherwise, there are no exclusions on the policy.

If you are eligible for a GSI policy, it is important to apply for that policy first. Once you have that policy, you may apply for coverage elsewhere. If you first apply elsewhere and your policy is modified, rated or declined, you are NOT eligible for a GSI policy.

For more information about GSI policies or to request a quote, contact Set for Life Insurance today!