When you purchase an individual disability and/or life insurance policy, you are required to undergo a medical underwriting process. This entails questions on an application and/or a phone interview as well as a paramedical exam by an examiner where they test your blood and urine.
Even if you are very healthy, there are still some other factors that may affect your insurance underwriting. Here are a few:
1) Hazardous Occupation. If you work in a hazardous occupation or are in the Armed Forces, this can affect your rates. Disability insurance will either classify you in a more expensive occupational class and life insurance may increase your rates.
2) Hazardous Activities. This can include piloting of an aircraft, skydiving or anything else the company deems dangerous. For life insurance, this can increase your premiums. For disability insurance, this can create an exclusion clause.
3) Travel. If you are travelling to a foreign country that is on the dangerous list, this can increase your rates or cause you to wait until your safe return to apply for insurance.
4) Family History. If you have a parent who died young of natural causes or had certain diseases such as cancer or heart disease, this can affect your rates even if you are very healthy.
5) DUI/Driving Record. If you have a negative driving record or a DUI, this can cause you to be declined for insurance or pay higher rates.
6) Alcohol/Substance Abuse. If you have a history of alcohol or substance abuse, this can cause the company to decline coverage or substantially raise your rates.
For more information about the life and disability insurance underwriting process or to request a quote, contact Set for Life Insurance today!