Thinking About Lying on Your Life Insurance Application?
While going through your life insurance application process, you will be asked many questions. There are two things I have told my son to never ask a woman:
1. How old they are
2. How much do they weigh
Personally, I would like to answer those questions that I am 10 years younger and 10 pounds lighter than what my birth certificate and scale are telling me.
Accurate information provided on your life insurance application is instrumental in providing you a realistic rate class and quote. When the examiner comes to your home or office to complete the exam, they will have a scale to weigh you and ask to see your driver’s license to verify your identity. Your date of birth is on the license and both of these questions will be recorded on the examiner’s report.
Speaking of your driver’s license, there are also questions on the application regarding your driving history. You may not want to tell us you have had speeding tickets, accidents, or other driving offenses; however the insurance carrier will be requesting your motor vehicle report. You may ask “why would the insurance company want to know about my driving history for a life insurance policy”? Say for example, you received multiple tickets for speeding or going through a red light. Another vehicle (who had the green light) could hit you broad sided or you could be speeding and be involved in an accident with both scenarios resulting in your death. Those driving infractions are considered a risk for the insurance company which could potentially increase your rating and/or premium.
Providing detailed information on your life insurance application will make the underwriting process much easier. The medical portion of the application is the most extensive part. Too much information is actually a good thing when it comes to your medical history. On your application you probably documented your Primary Care Physician’s contact information, when you were last seen, results from the last visit, and medications taken. However; did you document other physicians you may have seen (i.e. cardiologist, pulmonologist, oncologist, or psychiatrist). If the insurance carrier requests the records from your primary care physician and those records indicate you are seeing other physicians’, the underwriter may want to obtain those additional records. Not having all of your physician information up front will result in requesting additional records at a later time, which will ultimately delay the underwriting process.
The life insurance application is the most important tool in the process of obtaining insurance. While it may seem the insurance carrier is asking for too much personal information, just remember insurance is personal. Making sure your loved ones are cared for if something should happen to you is the most personal reason there is.
About the author: Teri Costen has been in the life insurance business for over 20 years. She is a mother of three who enjoys working out, taking aerobic kickboxing classes, and making stained glass. Teri believes that finding the right life insurance policy helps protect your family and loved ones. You can contact Teri at 1-800-651-1953 or TCosten@Pivot.com.