Getting life insurance if you have a mental illness may be more difficult, but it is absolutely worth it
Are you applying for life insurance for the first time? If you are, then you probably have a lot of questions. While many resources about life insurance focus on how your physical health and high risk activities affect your monthly premium, there isn’t nearly as much information about how mental health affects life insurance. That’s why we’re here to answer all of the most pressing questions about getting life insurance if you have a chronic mental health condition.
In this article, we’re going to be discussing different mental health conditions that could affect your premium, how you can get life insurance without a medical exam, and the different treatment factors that affect the overall cost of coverage. Let’s find out how you can get coverage no matter where you are in your mental health journey.
How Does Mental Health Affect My Life Insurance Application?
Mental illness will affect your cost of coverage, just like a physical illness
Life insurance is important for anyone with dependents.
When you apply for a life insurance policy, the insurance company will want as much information about your health as possible. For most insurance companies, this will include a medical questionnaire and a physical exam. While many expect to notify the insurance company of any physical issues, it can be surprising that the insurance company wants to know about your mental health. The reason that insurance companies will request information on your mental health as well as physical health is because both impact your life expectancy. A bit morbid—we know—but when it comes to getting the best coverage possible, you need to know what to expect.
If you are uncomfortable with disclosing information about your mental health to the insurance company, there are ways to qualify with no medical exam. Getting life insurance without a medical exam is a very common way to get coverage. For many people who want to secure coverage as quickly as possible or do not feel comfortable sharing their mental health history with the insurance company, no medical exam life insurance could be the right move. Especially if you are in your 20s or 30s, no medical exam life insurance will still be relatively affordable.
Which Conditions Do Life Insurance Companies Look For?
Let’s find out which mental health conditions will impact your premium or your ability to get approved
Getting help with mental health issues is always the right decision.
Mental illness is something that affects so many people in the United States. In recent years, the shame and stigma surrounding mental health issues has lessened and more people are seeking help for mental health disorders. Now that more people are aware of how mental health affects our lives, more people are seeking beneficial treatment.
If you are currently seeking treatment for a mental health disorder, or have been diagnosed in the past, you may be wondering which disorders will affect your ability to get life insurance. If you have any of the following disorders, you may have a higher monthly premium or your application may be denied:
- Borderline personality disorder
- Bipolar disorder
- Major depression
If you are currently experiencing any of these disorders or have in the past, you may have to pay a higher premium or you may have difficulty getting coverage. However, your cost and ability to get coverage doesn’t just depend on whether or not you have a mental illness, it also depends on how you manage your symptoms and your current care plan. Let’s take a look at a few of the factors that will affect your life insurance policy.
What Factors Cause a Price Difference In Your Monthly Premium?
Your treatment methods and health history help give the insurance company more context
Your mental health history is taken into consideration on your life insurance application.
As part of your application, you will be required to both fill out a form describing your mental illness and give the insurance company your health records. Using both of these sources, the insurance company will assess your risk and either offer you a policy or deny your application. Like we just mentioned, checking a box that you have a mental illness is not enough information for the insurance company to make an accurate assessment. In order to get a full picture of your mental health, the insurance company will look at the following factors:
- Your medication history
- The medications you currently take
- Hospitalization due to mental illness
- Other factors that contribute to poor mental health (addiction, etc.)
- History of suicide attempts
These factors in addition to your mental health condition will affect your life insurance application.
In general, the insurance company will be looking for proof that you are taking steps to manage your mental health. If you are going through a rough period and have a history of recent hospitalizations, that indicates to the insurance that your mental health is not well controlled. If the insurance company deems you to be too high of a risk due to uncontrolled symptoms, you may be denied coverage.
Will Seeking Out Mental Health Services Affect My Premium?
Getting help when you are struggling is one of the best things you can do to manage your mental health
How you take care of yourself impacts your ability to get insurance coverage.
Due to the world’s rapidly changing stance on mental health, more people are getting the help they need than ever before. That’s amazing! Taking care of yourself is one of the most important steps to feeling better. However, many people aren’t sure whether or not seeking help will impact the cost of their monthly premium.
Seeing a therapist or a psychiatrist is beneficial when you are searching for a life insurance policy. The fact that you are seeking out the right kind of care shows the insurance provider that you are addressing the symptoms of your mental health condition. So, if you are feeling hesitant to get a therapist or a psychiatrist in hopes you will get a lower premium, know that it is always better to seek help. Finding mental health care for yourself lets the insurance company know you are taking care of yourself and helps you feel better sooner. Moral of the story—don’t put off getting the help you need!
Which Policy Options Are Available If I Get Denied?
If your life insurance application is denied due to your mental health, there are still ways you can get coverage
There are always different ways to get coverage if your application is denied.
If you have submitted your application to the insurance company only to have your application denied due to your mental health, there are still a few steps that you can take. While these policy types may be more expensive since they don’t require as much information, it is still better to get some coverage than to go without. Let’s take a look at some of the ways you can get life insurance if you’ve been denied due to mental health issues.
- Life Insurance With No Medical Exam – Getting life insurance without a medical exam is one of the easiest ways to get coverage. If you have mental and physical issues that could affect your health, you may want to opt for no medical exam insurance so you don’t get rejected based on a combination of the two. You may be asked mental health questions on the standard questionnaire, but you’ll have a better chance of getting approved than if you had undergone a medical exam.
- Guaranteed Life Insurance – Guaranteed life insurance works similarly to life insurance with no medical exam. However, for guaranteed life insurance there is no need to fill out a medical questionnaire. Since the insurance company is taking a risk insuring someone without any medical information, your monthly premium will be expensive.
There is also the option to wait a few months, get your mental health under control, and reapply. If the insurance company sees evidence of improvement, they may be more likely to approve you for a policy. Ultimately, it is always in your best interest to seek help and closely monitor your mental health—both for the sake of getting insurance and so you can feel your best. We hope you feel more confident applying for a life insurance policy after reading through our tips. Getting life insurance with a mental health condition may be more difficult, but it is an important step to take to ensure your loved ones are protected in the future.