As life insurance carriers continue to navigate through the COVID-19 environment, underwriting teams are evaluating guidelines constantly. Carriers and General Agencies are working together to exchange innovative ideas that offer new levels of digital underwriting solutions, continued affordable products, and ultimately give a peace of mind and protection to countless Americans.
Even with all the underwriting advancement done over the last few months, we are hearing from advisors who say their clients continue to have common life insurance underwriting misconceptions that are keeping them from applying for life insurance.
let’s demystify most common life insurance underwriting Myths most advisors are seeing:
~ MYTH: I’m taking blood pressure and or cholesterol medications. This will keep me from getting the best rate.
TRUTH: Someone with well-controlled blood pressure and/or cholesterol — regardless of whether medication is taken — may qualify for up to best class rates.
~ MYTH: I’ve had diabetes for about 20 years now. I will be declined for life insurance.
TRUTH: Most diabetics are insurable and can obtain very reasonable rates. Your client’s age, age at onset, along with the degree of diabetic control, medical compliance, and presence of complications will help determine insurability.
~ MYTH: Because I had cancer, I’m uninsurable.
TRUTH: Not all cancers are uninsurable. In fact, some clients with cancer history are approved for Standard or better rates! Your client’s age, age at onset, type of cancer, stage, and prognosis are all considered. Just because your client has had cancer does not automatically mean that he/she will not qualify for life insurance.
~ MYTH: I had a heart attack; I will not qualify for life insurance.
TRUTH: There’s typically a postpone period (6 months) then, depending on age, overall health, and the cause of the heart attack, there’s a very good possibility that your client is insurable.
~ MYTH: Most pilots are uninsurable.
TRUTH: Standard rates for student pilots and up to Select Preferred rates for experienced pilots with IFR (assuming they qualify otherwise) are available.
Having someone on your side who knows how to navigate underwriting is key so that your client’s opportunity to get life insurance isn’t lost forever.
For more underwriting information, please contact a member of our team:
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