Steps to Take After Being Denied a Life Insurance Policy

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Steps to Take After Being Denied a Life Insurance Policy

What to do if your life insurance application was denied.

Many people are surprised when their life insurance applications get denied.  However, this happens more often than you might think.  Usually, denials occur when the insurance company decides that the applicant is too risky to cover.  Just because your initial life insurance application was denied does not mean you cannot secure coverage.  Here are some of the important steps to take after getting denied coverage.

  • Find Out Why You Were Denied

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 the Insurance Company’s Findings

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.

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 Club Agency Insurance Brokerage in Garden City, New York.  We are ready to get you the coverage that you need today.