When you’re shopping for life insurance protection, it’s important that you get the right amount of coverage for your loved ones. Not having enough insurance protection is one of the worst mistakes that you could make for your loved ones. When you calculated your life insurance needs, you may have realized that you need a large insurance plan. If you need a $5 million insurance policy, you might be concerned about getting a plan this large, but don’t let that stop you from getting the insurance protection that your family deserves.
When you apply for a larger policy, the insurance company is going to be stricter on their underwriting process and be much more detailed in reviewing your application. They want to ensure that they have correctly calculated how much risk you are to insure and that you’re qualified to have a $5 million policy.
One of the areas that the insurance company is going to be concerned with the most is your health. They are going to look to see if you are in decent health with no major health complication. The worse that your health is, the more risk that you are to accept for that coverage, which is going to make the insurance company wary of giving you protection.
During the application process, the insurance company is going to require that you take a medical exam. There are no exam options for policies under $1 million, but once you reach a plan of this size, that’s no longer an option. The results of the medical exam are going to play a significant role in how much you pay for your plan and your chances of being accepted for the policy.
The medical exam is going to require that a paramedic or nurse come to your home to check all of your basic vital signs and get some health information from you. The company is going to want to see your weight, your heart rate, cholesterol levels, and they will also take a blood sample and a urine sample. Because of the size of the policy, they are going to also take an EKG test from a cardiologist before they accept your application. With some insurance company, they may require that you go to a doctor’s office instead and get a full physical exam.
If you have any pre-existing conditions, like diabetes, don’t assume that you’ll automatically be declined for life insurance coverage. Some insurance companies are going to be more lenient of applicants with health problems, and they will give you a better chance of getting accepted.
Another major factor is deciding if you’ll be accepted for a $5 million insurance plan is your age. You can’t do anything about it, but how old you are is going to play a significant role in your chances of getting coverage and how much you’ll pay for that plan.
The older that you are, the more likely that you’re going to suffer from a health complication and the less time that the insurance company is going to receive your premiums. The older that you are, the more risk that you pose to the insurance company, which is going to translate into higher rates or even being declined depending on your age.
A lot of the questions that the insurance company is going to ask you are going to revolve around your lifestyle habits. They are going to ask you questions about everything from your hobbies to your exercise. It’s important that you answer honestly and share any relevant information that you have. Not being honest could lead to serious legal complications in the future, like your family not getting the payout from the policy.
The agent will ask if you smoke or use any form of tobacco. Smokers have a much higher chance of being diagnosed with health complications like heart disease or lung cancer. As a smoker, you’re going to get different rates and pose different challenges to the insurance company for your policy.
The company will also be concerned with your weekend hobbies. If you enjoy going out for motorcycle rides or skydiving in your free time, then you’ll naturally be considered a high-risk applicant. None of these factors are going to automatically get you declined for your plan, but they are significant red flags that are going to cause you to pay higher monthly premiums.
Getting Lower Premiums and Increasing Your Chances of Getting Approved
While it can be nerve-racking thinking about getting declined for protection, there are a few ways that you can improve your chances of getting the plan that you want. Not only can you make yourself a better case to the insurance company, but you can also secure better premiums for your coverage. Making a few simple lifestyle changes can make you thousands of dollars on your insurance coverage.
The first thing that you should do is cut out any tobacco that you currently use. As I mentioned, smokers are going to be facing much higher premiums. In fact, smokers are going to pay around twice as much for life insurance protection versus what a non-smoker would pay for the same sized policy. Because these $5 million policies are a lot large than other policies, there is a chance that using tobacco could get you rejected. Kicking your smoking habit is one of the best things that you can do for the life insurance application. You’ll need to be smoke-free for 12 months if you want to get non-smoker rates.
Another way to improve your case of getting lower premiums is to improve your overall health. The results of the health tests are going to be one of the biggest factors that the insurance company will use during the application process, which means if you want to get lower premiums, you’ll need to get better results. The two best ways that you can do that is by starting an exercise program and sticking to a healthy diet. Both of these will help you lose weight, lower your blood pressure, and reduce your risk of being diagnosed with health problems. Lacing up your running shoes is a great way to save money on your insurance policy.
The best way to ensure that you’re getting the best policy is to compare dozens of policies before you decide which company is going to work best for you. Each company is different, which means that you’ll get drastically different plans depending on which company that you get the quote from. Finding the perfect company could be the difference between getting declined for coverage or getting an affordable life insurance plan.
Another way to save money is by slowing down on your way to work every morning. When you apply, the insurance company is going to pull your driving records. If you have any speeding tickets or accidents on your records, then the insurance company is going to offset the risk by charging you higher monthly rates. If you want to save money, leave a little earlier and lay off the gas pedal.
There are thousands of different companies on the market, which means you could spend weeks looking to find the best plan. Instead of wasting hours and hours, like one of our independent insurance brokers do all of the hard work for you. Unlike a traditional agent, our agents work with dozens and dozens of highly rated companies across the nation, which means that we can bring all of the best plans directly to you. It’s our mission to ensure that you’re getting the best rates for your policy.
Getting The Insurance Coverage That You Need
We know that nobody wants to think about his or her death, but it’s important that you get the best policy available. Not planning for the inevitable is one of the worst mistakes that you can make. If you were to pass away without insurance coverage, your family would be responsible for all of your debts and other final expenses.
Losing a loved one is never going to be easy, but not having life insurance protection is going to make the situation that much worse. You never know what’s going to happen tomorrow, which means that you shouldn’t wait any longer to get the best insurance policy for you.
If you have any questions about life insurance or you want to start the life insurance search process, please contact one of our agents today. We would be happy to answer those questions and connect you with the best policy available. Our independent insurance agents have years of experience working with all types of applicants.