Disability Insurance is a great investment for you and your family’s future. But, what many people don’t know is that it requires for you to go through a process to determine whether you will be given a Disability Insurance policy in the first place. This process is called underwriting and it is completed by the insurance company you have applied with.
The first thing you need to know is that you will have to fill out a long application which will ask you personal, health related, and financial questions.
They make this process very thorough because it is important for the insurance company to have as much information needed to determine how much of a risk you are to become disabled and if they even want to issue you a Disability Insurance policy.
- Insurance companies want to know that you are forthcoming with your personal information because chances are they may already have some of your personal information. Therefore, your application will function as more of a verification of your honesty with your confidential information.
- An insurance company can and will deny you a policy if it finds that you provided false information about yourself.
- It can also cancel an issued policy if the insurance company finds out that the information you provided was not correct when you initially applied.
- Bottom line; always be truthful with your Disability Insurance application.
- It can be very helpful to work with a Disability Insurance advisor because they can give you a heads up about what will be on the application and help you through the process as a whole.
- You will be asked: your name, age, address, social security number, gender. This information is needed to see you who is applying and to verify your identity.
- This type of basic information is also used to calculate your premium and determine risk of disability (For whatever reason, females tend to file more disability insurance claims than their male counterparts so most insurance companies tend to think of women as more of a risk.)
ARE YOU EMPLOYED?
- An insurance company will want to know about you is:
- Are you employed?
- What kind of job do you perform?
- How much you are being paid?
- Your job title and your job responsibilities?
- For example, construction workers, mechanics, and electrical power line installers carry more of a risk to become injured and disabled on the job. Jobs like office workers, librarians, and bankers tend to carry a significant amount of lower risk for injury and disability.
- The will ask you to provide documentation of your income as well as tax documents.
MEDICAL HISTORY & THE MEDICAL EXAM
- You will be asked about what type of health conditions you have right now and which ones you’ve had in the past.
- In addition, they will want to know the name of the doctor(s) who provided you with treatment(s) and when exactly did these occur.
- They will want to know about your family’s medical history as well in order to determine if you are at risk for developing certain disease such as diabetes, heart disease, cancer, and others.
- Depending on the company and your personal case, you may be asked to have a medical exam, have a blood test, and urinalysis. This will allow them to further verify you current health and determine your eligibility.
- You should know that they also gather and confirm information about you through various databases and organizations, with your permission.
- Insurance companies definitely want to know if you smoke, if you have a criminal record, like to drive race cars, or fly planes on the weekend, etc. Anything you do on your personal time that may pose a risk of becoming injured or disabled, they want to know.
All in all, investing in Disability Insurance is one of the smartest things you can do in today’s world. Although the application process can be lengthy, it is well worth it once you have coverage. Our advisors can help you apply and answer all of you questions. Please call us at (800) 788-8921 or fill out our Contact Form to be contacted by one of our advisors.