An applicant’s health history provides insurance companies with valid information regarding his or her acceptability to the company.
Consequently, the applicant is asked to provide details about his or her health record, past habits, previous environment(s) and insurance status on the application for insurance.
Information discovered in an applicant’s personal history can reveal some of the most important information regarding an applicant’s insurability.
For instance, information regarding any previous illnesses, significant injuries or operations could highlight the need for an insurance company to request further tests or examinations to fully understand the applicant’s health.
Particular emphasis is placed on recent illnesses and operations during the underwriting process. In fact, it is customary for the company to contact the attending physician or physicians for medical details that normally would not be known to the applicant.
If the applicant is currently recovering from treatment, scheduled for surgery or has not fully recovered from an illness, then the insurance company may not write them a policy right now, as their health may be questionable.
In addition, insurance companies want to know if the applicant has ever been addicted to drugs, alcohol or any other substances.
Regardless of current health status, any previous addictions could have seriously damaged parts of an applicant’s body, making them more susceptible to certain health conditions. As a result, an applicant may suffer a higher premium or may even be denied coverage.
Personal history could also highlight positive changes in an applicant’s life – such as increasing health check-ups, changing residency to a better location or leaving a hazardous job. All of these changes will positively affect an applicant’s chance of securing a life insurance policy.
Lastly, insurance companies want to know whether or not an applicant has ever been denied coverage or has been offered insurance on rated terms. If an applicant says yes, than there may be reason to believe a prior impairment might still be an issue.