Life insurance is an essential cover for one’s life. The benefits of taking a life insurance policy are so many, a lot of people want them. As a result, many factors are considered by insurance companies whenever they are evaluating applicants for life insurance.
Health problems are one of them. Certain health conditions can increase your rates on your insurance while others can reduce your chances of qualifying altogether.
Parents with Pre-existing Conditions vs. Life Insurance
Health problems can be a bothering issue for so many people when it comes to life insurance. When you are a parent, it means that you are most probably in the group of seniors. Based on your health condition, the insurance company will consider how much it matters to you when taking the policy.
“Some pre-existing conditions, such as heart disease or cancer, are important to any insurer. However, this does not mean that you will not qualify for a policy,” says Linda Chavez, a life insurance agent and CEO of SeniorsLifeInsuranceFinder.com. She also said that, in some cases, all you have to do is disclose the condition to the company, and it can be considered in a particular manner.
However, you should be ready for a lot of tests. In some cases, you may get approval but with limited benefits.
Options for Parents with Pre-existing Conditions
When a parent has a pre-existing condition, it is crucial to take a cover that will be beneficial. The following are the best options to go for.
Term Life Insurance
When you are a senior, and with a pre-existing condition, you have so many bills to take care as a result of health. At the same time, you may opt to go for a policy that will benefit you within a short time. Term life insurance lasts typically for a period of between 5 and 35 years.
With a pre-existing condition, you can easily weigh the options and see how much time you have left. As a result, you can take the cover since it will benefit your beneficiaries once you die within that period. The funds can be used to take care of outstanding medical bills and help you, children, to move on with life.
Guaranteed Acceptance Life Insurance
When you have a severe pre-existing condition, it means that there are high chances of a company rejecting you or setting difficult terms. However, taking a guaranteed acceptance life insurance with pre-existing conditions for a parent is a good option.
This is a whole life insurance policy that will cover the parent for the entire life as long as the premiums are being paid. The main advantage of using this type of insurance is that there no questions asked concerning your health during the application.
It means that in cases where you have a parent with a severe condition, you can take this policy to help you deal with all the bills after death.
No Medical Exam & Simplified Issue Life Insurance
When you get a simplified life issue with no medical exam, you will be able to deal with the problem of pre-existing conditions. It is a system where you can get either a term or whole life insurance, but the terms are on limited underwriting.
In this case, there will be no exam conducted. As a result of the privilege you get of not taking any medical exams, these types of policies have a lower payout when compared to others with full underwriting.
However, you should expect to be asked a few questions about yourself before being approved.
Some of the things that can disqualify you from such a cover included.
- Whenever you cannot walk and using a wheelchair.
- In case you are admitted to a treatment facility or a nursing home.
- When you suffer from cognitive impairments.
- In case you are going through dialysis.
- In case you suffer from a highly risky infection such as kidney disease, HIV or Cancer.
The Bottom Line
Having a parent with a pre-existing condition does not mean that you are no eligible for life insurance. All you have to do is carry out a proper research, compare various life insurance policies available, and even get advice before choosing one.