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Denied for Life Insurance? Here's Your Next Steps . . .

No one likes being denied . . . whether it's in your social life, for a line of credit, or when applying for a life insurance policy. While we can't help you strengthen your dating game, we can show you the next steps to take if you get denied for a life insurance policy.

First and foremost it's important to point out that we can't stress enough the importance of working with an agent from the beginning. Especially if you have a more complicated case. An experienced agent who understands how the underwriting process works, and how it also varies from company to company, can be the difference between getting you approved for the solution you're looking for at the best price, or having the option taken away from you entirely.

If you are denied for a policy, it is because the insurance company views you as an "impaired risk", which means that you have something in your background that makes you a higher risk of dying prematurely. This can be for a variety of reasons, such as a pre-existing health condition such as diabetes, or a previous cancer diagnosis, or a history of DUI's to name a few.

But just because you're denied for coverage by one carrier, it doesn't necessarily mean that you're dead in the water. What if you already started the process, with or without an agent and you were denied? Where do you go from here?

Here are your next steps . . .

1) Get more information: You have the right to know why you were denied for the policy that you applied for. So ask the carrier for the reason you were declined. Before an insurer denies or approves an application, they collect data about you from numerous sources to evaluate what type of risk you are. If you're a high enough risk they could "rate" you, (which means that they will offer you the coverage but they will charge you a higher premium for it because of the increased risk), or your application could be postponed, or they will decline you. If requested, the carrier will provide detailed information on why they denied you and you want to know this information so that you can plan your next steps accordingly.

2) Confirm the results: Errors happen, so you always want to double check the results. One example of this is the reason you take a specific medication. You might be taking a medication that is traditionally used to treat heart conditions. But your doctor prescribed it to you for something entirely different, and for something that isn't life-threatening. But maybe the insurance company saw that medication on your application with no other explanation and made the assumption that you have a heart problem and they declined you. They might also deny you because of recent, undiagnosed lab results. If they don't know what the results mean they could be hesitant to approve your application. So you want to clarify what the reason is that they're declining you and confirm that it's accurate or clarify anything that's wrong.

3) Work with an agent: An experienced agent is your biggest asset in this entire process, and they are your biggest advocate. There are literally hundreds of insurance companies out there, and they all have their own strengths and weaknesses and vary slightly in their underwriting processes and are all lenient with different conditions. For example, Company A might be lenient with people who have a heart condition, whereas Company B will automatically decline you for it. An experienced agent will understand the application process and have a step by step process in place to position you in the best possible way for the maximum chance of success in securing the coverage you're looking for. They understand how to navigate the process so that you don't have to pay the price by getting denied because it was approached entirely wrong.

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Don't assume you can't obtain coverage and leave yourself and your family at risk. Get started today by calling Tenaya Insurance Services at (925) 322-8073 . We are experts in creating customized insurance solutions and we specialize in hard-to-place cases.

#Lifeinsurance #Denied #Insurance #Financial

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