Insurance companies weigh many factors when deciding whether or not to approve an individual’s policy application. Age, weight and medical history can all play into that decision and may be one of the reasons why an individual’s application is rejected. If you think that you may fall into that category, consider high-risk life insurance.
What does high-risk mean?
High-risk means you have a situation that warrants a different type of policy. If an insurance company has determined your situation to be unfit for another type of life insurance, ask them about their high-risk options.
There are other factors besides health that can lead an individual to purchase this type of policy. If you regularly take part in dangerous activities, such as for your job or hobby, that may make you ineligible for another type of life insurance.
If you have a habit, such as smoking, that could impact your health and life expectancy, that will most likely be taken into consideration when applying for a life insurance plan.
How do insurance companies decide?
When it comes to deciding about an individual and assessing their risk, insurance companies are comprehensive and extremely detailed. Statistics are heavily relied upon to determine the risk an individual presents. Medical records may be requested, as well as anything else that could provide important information about your situation and projected trajectory.