A Complete Guide for Applying for Life Insurance with a Pre-Existing Medical Condition

As per the Insurance Regulatory and Development Authority of India (IRDA), a pre-existing health condition is any medical condition, including injury, that has been diagnosed at least 48 months or 4 years before receiving the insurance policy.

In general terms, it is a health condition that has been present for some time before you apply for coverage. This also includes issues for which treatment is ongoing or has been either received within the above-mentioned time frame. While every life insurance company covers different health conditions under the term, diseases like diabetes, asthma, cancer, cardiovascular, etc., are usually considered pre-existing conditions.

Yes, it is possible to obtain a life insurance policy when you are suffering from a pre-existing medical condition. Insurers will consider your medical history, health status, records of treatment and the type of disease before deciding to cover you. 

Potential applicants might be required to provide information about their current medical conditions, any prior treatment, medications, surgeries, and other medical information when applying for the position. The insurance provider might also require you to take medical exams to determine your health status. Avoiding the provision of accurate information is significant as failure to provide relevant medical information can impact the policy issuance or settlement of future claims. 

The life insurance eligibility based on medical history may vary from company to company and policy to policy. The insurer could approve the application at a standard premium, impose extra premiums, with conditions or refuse the application altogether, depending upon the assessment. So, it's vital that applicants make sure to research the terms of different policies and be aware of underwriting requirements prior to selecting a policy. 

Whether or not a person will be able to get life insurance with pre-existing conditions also relies on their age, sort of medical condition, how long the condition has existed, treatment status, and general health. If you are searching for a pre-existing disease insurance policy India, then you need to know what the terms are and fill in the complete medical information when you fill out the application form.

The process through which an insurer assesses your eligibility for insurance is known as underwriting. Typically, it is a way of evaluating risk factors to determine your insurability.

When you apply for life insurance, you have to fill out an application form. While doing so, you are required to give information regarding your age, health history, profession, income, family, lifestyle factors such as smoking and alcohol intake, and more. Certain insurers will also ask you to undergo a medical examination.

The application process is when you inform your insurer about your pre-existing health condition. After this, through the underwriting procedure, the insurance company will work on the information provided to ascertain if you can get insured.

Several considerations need attention if you suffer a health condition while applying for life insurance. From informing the insurer about the health issue to the premiums charged, let’s look at the various aspects.

• Disclosure of the Pre-Existing Health Condition
  To get insured without any hassles, you may think of not informing the insurer about the disease you currently have, especially if it is not a terminal illness such as non-curable cancer or AIDS. However, withholding this crucial information can backfire. It may result in rejection and even termination of the policy if the insurer finds out later.
  
  Make sure to answer all questions regarding your lifestyle and medical conditions carefully. Your insurer may ask for additional information once you tell them about your health condition. It can be undergoing a specific medical exam or getting reports from your doctor. Provide them with the required information to ensure you get optimum coverage to secure your family financially.
  

• Cost of premium
  Once the insurer gathers all the information about you, they proceed to calculate the risk. The prevalence of a pre-existing condition automatically increases the risk factor. Thus, this results in more premiums to make up for greater uncertainties. The cost of the policy will depend on the severity of the condition.

• Riders with the policy
  Life insurance in India comes with options for additional protection from events such as hospitalisation, dismemberment, critical illnesses, etc. These are called riders. While you might have to pay more for these riders, they can be beneficial in securing yourself and your loved ones financially in the long run. For instance, you won’t have to part with your savings if you have to be hospitalised.

• Little to No Waiting Period
  Unlike health insurance, life insurance policies have little to no waiting period to get the cover. When buying life insurance with pre-existing medical conditions, it may take a few days to activate your policy. However, once it is on, you get complete coverage.