Tuesday, April 9, 2013

Tips for People Buying Life Insurance With Pre-Existing Conditions

Life insurance companies do not simply dole out policies to anyone who applies for it, as much as we may wish them to! As with any business, there must be healthy profits and so it is with life insurance companies who make money by assessing the risk of death. The higher your risk of death, the greater the premiums you will need to pay. Premiums are invested by the life insurance company into healthy investment portfolios that earn interest for the company. Actuaries, the company smarts, design systems that help to control risk, minimize loss and basically ensure that the company continues to make profit and sustain a healthy business.

What is a Pre-Existing Health Condition?

A pre-existing health condition is a personal illness or health condition that is known to you. Here are a few examples:

  • untreated high blood pressure

  • untreated high cholesterol

  • heart conditions

  • depression

  • asthma

  • type 2 diabetes

  • sleep apnea

  • cancer

  • hay fever and other allergies

  • accidental injury

  • other health conditions that may affect your mortality risk

A life insurance company requires you to list these or any other pre-existing health conditions you have when applying for life insurance. Life insurance companies usually verify the information on your application by conducting a medical examination of their own. Since these medical tests will play a role in determining your premium rates, you should prepare well for them to get the best results.

Preparing for a Medical Examination

Start your preparations as early as possible. Here are a few tips: Lose a few pounds if you are overweight, eat a healthy diet, get enough rest, don't consume any alcoholic or caffeinated beverages 12 hours before your exam. Try to relax during the whole procedure.

The medical exam usually consists of a blood test, urine specimen, blood pressure reading, height and weight measurement and possibly an EKG. You will be asked questions about your health, lifestyle and family health history. The results of the medical examination are submitted to the Medical Insurance Board (MIB), and the information is available for other insurance companies to access.

By now you've probably understood that if you have a pre-existing health condition, life insurance may turn out to be an expensive proposition for you. But wait, there's more news coming! insurance is also a very competitive business. Underwriting processes differ with each company. In order to have a competitive edge, an insurance company may look more favorably on certain pre-existing health conditions than others. Such companies may be able to offer you better premium rates.

How can you get a better premium if you have a pre-existing health condition?

There are life insurance companies that specialize in certain pre-existing health conditions. Such companies look more closely at your pre-existing health conditions, assess how severe it is, and also look into other factors such as weight, age, family history and lifestyle to determine the most competitive premium rate you can qualify for. For instance, people who have been treating their blood pressure, lead an active and healthy lifestyle may be rewarded with a better premium rate.

Where to search for the best premiums?

Online life insurance quote providers have access to hundreds of top-rated insurance companies. All you need to do is fill out an online questionnaire. Be honest with the pre-existing health conditions you have. Submit your questionnaire and wait a few minutes as their databases locate the companies that specialize in the particular pre-existing health condition you have. You'll receive the best insurance quotes based on the personal information you have provided. Compare prices, company ratings and the terms and conditioners each offers before you make a decision.

However, if you have a severe medical condition and your application for insurance is denied, you can apply for what is known as no-medical insurance. You don't need to go through a medical exam for this type of life insurance.


Pre-existing health conditions should no longer hinder you from getting the best insurance rates, especially if you are trying hard to get in shape and stay in good health. There are insurance who will reward you for your efforts. You simply need to shop around; get multiple insurance quotes for comparison. And remember, the best way to avoid having to pay extra premium rates for pre-existing health conditions is to purchase life insurance at a young age. The younger you are the better chances you have for locking in low premium rates!

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