If your life insurance application is postponed, don’t worry! There are a few things you can do to make the process go more smoothly. In this blog post, we will discuss some of the most common reasons why applications get postponed, and what you can do to speed up the process. We will also provide some tips for preparing yourself for a life insurance interview.
What Can You Do In This Situation?
There will be those that may be approved for coverage at a rate “other than” what they were originally quoted. At the end of the day, these folks will still have to option to choose. They can choose whether or not they want to “Get Insured”.
But what happens in cases where someone may have their application “postponed”?
“What is someone supposed to do in this situation?”
This is why we wanted to take a moment and discuss exactly what it means to have an application “postponed” and discuss some of the options that may be available should you find yourself or a loved one in such a situation.
What Does That Mean To Have An Application Postponed?
Having a life insurance application be “postponed” by a life insurance company simply means that as of this exact moment in time, you represent a “potential risk” that is too HIGH for an insurance company to consider you currently eligible for coverage.
The good news is…
That even though you currently represent too great of a risk right now, the insurance company can foresee a time shortly when you MIGHT be able to qualify for coverage. This is why they don’t necessarily want to DENY your application immediately.
It’s also why…
Most “postponement” notifications will include some type of explanation about why you have had your life insurance application “postpone” and what you can do to be able to qualify for coverage at a later date.
Ironically, at that later date, you may even be able to qualify for a Preferred or Preferred Plus rate depending on the reason for your original Postponement.
For this reason…
We now want to shift gears slightly and discuss some of the most common reasons why someone may have their life insurance application postponed the first time around.
The Top Reasons
There are a lot of reasons why an individual’s life insurance application can be postponed. For example, someone may find that their life insurance application is being postponed because:
There was something in their medical exam that an insurance company wants to have further investigated, such as
- Elevated liver enzymes,
- Proteinuria,
- Excess alcohol levels,
- Elevated cholesterol or blood pressure levels,
- Elevated blood sugar levels
Other “medical” reasons may include:
- Having a scheduled surgical procedure planned soon or having just recovered from a medical procedure (six months or less),
- Currently in your third trimester (pregnancy) or just recently given birth to a child,
- Recently suffered from a heart attack or stroke,
- Recently been diagnosed with a manageable pre-existing condition but haven’t had enough time to demonstrate that this condition is being well managed.
- Conditions may include:
- High blood pressure,
- High cholesterol,
- Diabetes,
- Depression
Additionally, some applicants may find their life insurance application POSTPONED due to some type of “non-medical” condition or factor, such as
- Driving record,
- Credit history,
- Criminal background,
- Future travel plans,
- Current hobbies.
So, as you can see, there is a wide range of reasons why an individual may find their life insurance application postponed by a particular insurance company. This brings us to our next topic, which is…
I have been postponed for life insurance, now what?”
The first thing that you’re going to want to determine is whether or not your life insurance application has been “postponed” because you choose to apply with the “wrong” life insurance company or if it has been postponed for a reason that most (if not all) life insurance companies would be nervous about.
Examples that may cause someone to be denied life insurance coverage by “certain” life insurance companies but not all life insurance companies may include:
- Certain travel restrictions in place,
- Recent bankruptcy,
- Previous criminal history.
In Closing
With this information in hand, one can then determine whether or not it may be possible to “re-apply” for coverage with another insurance company so that they don’t have to wait to be approved by the insurance company currently “postponing” their application or jump through any additional “hoops” (such as additional medical tests) to have their application approved.