People who have been diagnosed with a serious illness are not necessarily barred from acquiring Life Insurance in Austin TX. There are many factors involved, so the individual will need to do some research.
Considerations
A serious condition does not always mean a terminal illness. An individual who has been diagnosed with terminal cancer may have trouble buying life insurance, but someone with multiple sclerosis or diabetes should be able to find coverage. Someone who has recovered from cancer should be able to eventually acquire life insurance, but the companies may require waiting anywhere from one to 10 years after remission or after the person has been declared cancer-free.
When underwriters review an application for life insurance, they mainly look for signs that the person may pass away sooner than what would be otherwise expected. Premiums are likely to be higher for someone with a potentially life-threatening condition, just as they are higher for cigarette smokers. Underwriters also look for diagnoses of high blood pressure and high cholesterol. They take note of any prescription drugs the applicant uses routinely.
Affordability
Even so, the rates may still be affordable if the person isn’t trying to provide a big windfall to the beneficiary. The reason most people obtain life insurance is to pay for funeral expenses and perhaps provide a small amount of money to the beneficiary for living expenses for a certain time frame. Underwriting considerations vary widely among insurance companies offering Life Insurance in Austin TX, so checking differences in rates can be advantageous.
Types of Life Insurance
Companies like State Farm also offer a variety of policies for life insurance, so it’s helpful to consult an agent such as Patrick Court to learn more about these different financial instruments.
For example, term life insurance, as the name implies, is purchased to last for a specific term like 10 or 20 years. The premium might be paid monthly and the policy does not build up a cash value. If the customer quits paying the premiums, the policy lapses completely. Permanent or whole life insurance gradually accumulates in cash value and that amount is not lost if the customer stops paying premiums.
