When you apply for life insurance, you are not guaranteed to get a policy. The life insurance company will give you a thorough review first to make sure you are a suitable insurance risk. If you are considered too risky an applicant, the company can refuse to give you insurance. Your application could be denied based on your health, lifestyle and medical history.
When you apply for life insurance, the insurance company is allowed to search your medical history. The company will check to see if you have been treated for any serious and life-threatening illnesses in the past. If you had a disease such as cancer or AIDS, you could get rejected right away. The insurance company can also ask about your parents' medical history. If your parents died young, this raises the risk of your application and also can get you rejected.
Most life insurance policies require some sort of health exam. When you apply, the insurance company might send over a nurse to collect your blood and urine, have you meet with a doctor or even ask you to take a medical test such as an electrocardiogram. If you seem to have medical problems, your application can be denied. This could be because your cholesterol and blood pressure are too high, you weigh too much for your height or illegal drugs show up in your urine sample.
The insurance company also will ask you questions about your lifestyle. If you have dangerous hobbies such as skydiving or bungee jumping, your application can be denied. You also can be rejected if you plan on traveling to any exotic and potentially dangerous foreign countries. This includes a plan to join the military and fight overseas. Lastly, your driving record also can get you denied. If you have a history of traffic violations such as speeding or drunken driving, you might not be able to get life insurance.
As you complete your life insurance application, you are expected to tell the truth. If you lie about important information such as your age, family history or health, the insurance company can reject you if it finds out. To prevent fraud, the insurance company is given time to figure this out even after giving you a policy. If the insurance company finds out within the first three years of your policy that you lied on your application, it can cancel your policy.
David Rodeck has been writing professionally since 2011. He specializes in insurance, investment management and retirement planning for various websites. He graduated with a Bachelor of Science in economics from McGill University.