This Is Where You Will Get To Know The Life Insurance Application Process

The life insurance application process-

When applying for life insurance you will be asked to fill in a comprehensive application form and provide information including your name, address and employment details. Other information you will need to provide is:

  • Your date of birth
  • Your weight
  • Your height
  • Details about your lifestyle
  • Particulars about your annual income and net worth

Be honest and be specific:

Things we most often lie about are health issues and weight. When it comes to life insurance applications however, you need to be completely honest to prevent your application from being declined. If, after your application has been approved, it comes to light that you weren't truthful about a health condition or any other important information, you may be faced with exorbitant premium increases, cancellation of your insurance policy, or worse, death benefits being denied when a beneficiary submits a claim.

Answers to health questions are not necessarily accepted blindly-

Not all insurance companies will accept your answers without either following up with your physician or making you undergo a medical examination. In the event of such an exam, this is what you can expect:

  • You will be asked about medical conditions, medication and surgeries
  • You will be asked about your lifestyle (smoking, drinking, exercising, etc.)
  • Your blood pressure will be taken
  • Your heart rate will be checked
  • Your weight and height particulars will be recorded
  • Blood and urine samples will be taken
  • You will be asked about the medical history of your immediate family
  • Additional tests such as chest x-rays may need to be done

Lifestyle changes: what's in it for you and what's in it for them?

Your age, medical history and your immediate family's medical history are factors you have no influence over. You can however change your lifestyle by quitting smoking, losing weight and drinking less, which not only improve the quality of your health, but it can make a significant difference in your premiums. Living a healthier, longer life will also make you less of a risk to the insurer, while simultaneously increasing their chances at a prolonged income for them, up until the time they have to pay out on your policy.

Before you decide - shop around

Just like you would with any other product or service, when it comes to life insurance policies, researching around is important. Not only should the premiums be affordable, but making sure that the company is stable and financially strong. Start by contacting insurance companies that have a solid reputation in the life insurance industry. They should ideally still be around in 20 years' time to handle your beneficiary's needs when 'the time' comes. In short - only take out life insurance at reputable life insurance providers.

Some lucrative options:

ULIPs-

A Unit Linked Insurance Plan (ULIP) is a product offered by insurance companies that unlike a pure insurance policy gives investors the benefits of both insurance and investment under a single integrated plan.

Child plan-

Child life insurance is a form of permanent life insurance that insures the life of a minor. It is usually purchased to protect a family and the child against the sudden and unexpected death of the breadwinner. Hence, this forms a crucial part of your decision to secure your child’s future.

Tags# Life Insurance, Life Insurance Policy, Life Insurance Plans, Life Insurance in India