There’s nothing worse than hitting a roadblock when you’re trying to do the right thing to protect your family, right? Like applying for life insurance only to find out your application has been denied. If this happens, what’s your next move?
Don’t worry: There are options out there, and as your insurance agent, we’re here to walk you through what you should do if your life insurance application is denied. The most important thing to remember is you still have options even if this isn’t your first rejection.
Insurance companies look at your medical and nonmedical risks when they’re running through your application. Their reasons could be anything from a serious medical condition (like heart disease) or poor results from your life insurance medical exam to nonmedical reasons like bankruptcy, a criminal record, a positive drug test, or even a dangerous hobby.
Review Your Case
If the reason you were denied is based on incorrect or insufficient medical information, you have the right to appeal. You’ll have the best chance of winning your appeal by submitting timely and complete information. This means having your doctor include as much up-to-date information in your medical file as possible and submitting the most recent and credible information about your personal history.
You can appeal nonmedical reasons too, like an out-of-date financial record, a lapsed driving offense, or incorrect details about your job and hobbies that put you in the high-risk category.
Allow for a Waiting Period
Sometimes when you’re denied life insurance, you need to proactively play the waiting game to give yourself some time to correct any health issues that caused the denial. Take this opportunity to try losing weight or lowering your blood pressure or cholesterol if you need to. If you keep up healthy habits (like eating healthy, quitting smoking, and exercising regularly), it could make all the difference the next time you apply. Don’t give up! Try to change the things you can control.
And time could help with the nonmedical reasons for denial too—like letting enough time pass for those multiple speeding tickets to lapse. A short break might be all you need to get approved the next time you apply.
Apply Again, But for a Different Policy
If your situation is serious and other routes (like your employer-offered life insurance we mentioned earlier) aren’t available, there are a few no medical exam life insurance plans that you can consider. But they will still ask you all the same medical questions.
If you’re uninsurable, these plans offer you something—and that’s better than not having any coverage at all. Bottom line: No medical exam policies like these will cost more than regular term life insurance, and the payout won’t be as good. But they‘re worth considering if your options are limited.
The reason you get life insurance is to protect your income and provide for your family if anything were to happen to you. And when you struggle to get approved, it causes unwanted worry and stress. But there are ways to get back on the road to coverage—and people you can call on to help. We will make sure you’re getting the coverage you need within your budget.