Steps to Take After Your Life Insurance Application Has Been Denied

What you can do if you’ve been denied life insurance coverage.man looking stressed as he looks at life insurance online

If you’ve applied for life insurance and been denied, then this may come as a shock.  One common reason for getting denied is because the life insurance provider has determined that you are too high-risk to insure.  However, just because you’ve been denied coverage doesn’t mean that life insurance is an impossibility for you.  Here are some of the steps that you can take after your initial application has been denied.

  • Collect Information

As insurance companies consider life insurance applications, they conduct research to determine the applicant’s risk.  If they determine that you are high-risk, then they will deny your policy.  Luckily, you can request information about your denial from the company.  At this point, the insurer will provide detailed information on why they refused coverage.  For instance, they will say if the denial was due to your medical history, current exam results, driving record, or another factor.  Once you understand why your application was denied, you can take steps to address your risk.

  • Confirm Results

Underwriters are human, which means that it’s possible for them to make mistakes.  This is why it’s important that you double-check their findings.  For instance, if bad medical exam results were stated as the cause of your denial, then verify your current state of health with your primary care physician.  If they determine that you are in good health, then turning in this official report could mean your application will be reevaluated.

Sometimes, life insurance applications are denied due to occupational dangers, recreational hazards, criminal records, or financial instability.  If you have these records, but they aren’t updated or detailed enough, then an underwriter may deny you coverage because they cannot accurately assess your risk.  So, by providing additional information, you can have your application reevaluated and potentially accepted.

  • Work with an Independent Agent

Sometimes, the first company you apply with isn’t the best option for you.  After your application is denied, you should partner with an independent agent so they can help you find some better options.  Your agent can sort through all your carrier options and find a company that’s underwriting guidelines will accept you, despite your risks.  For instance, if you have diabetes, then your agent can look for companies that will cover individuals with diabetes so long as their condition is well-managed.

If your overall risk is just too high for coverage under standard life insurance policies, then your agent will help you explore other options such as “graded” or guaranteed life insurance options.

These are some of the steps that you should take if your life insurance application was denied.  Do you need help securing the right life insurance policy?  If so, then contact the experts at Miller Carlisle Insurance Services.  We are ready to get you the coverage that you need today.