Unlike other types of life insurance, almost anyone can qualify for final expense life insurance. Since the death benefit is generally lower than other types of life insurance, the requirements are not as strict for final expense and in almost all cases a health exam is not required. This may lead you to wonder, what exactly is required to apply for a final expense insurance plan?
Normally, you only need to answer a few questions. Here are some examples:
Are you currently bedridden, hospitalized, in a care facility, or receiving hospice care?
Do you have disease of the heart, including heart attack or heart surgery?
Do you have congestive heart failure?
Do you have disease of the circulatory system, including stroke?
Do you have cancer?
Have you had alcohol or drug abuse?
Do you have Alzheimer’s disease or dementia?
Have you tested positive for HIV or AIDS?
Are you taking medication or been treated by a physician for any of the conditions above in the last 2 years?
If you are taking medications, you may be required to list them along with the dosage and reason for taking them.
If you answer yes to any of the above questions, it doesn’t mean you won’t qualify. It simply means that you may have to pay a higher premium for Guaranteed Issue insurance. You also may have a 2 year waiting period, where if you die in the first two years of the policy, the death benefit will not pay. In this case, your beneficiary would still get a refund of all the premiums paid into the policy (plus often an additional 10%), just not the death benefit.