Posts

What You Need to Know About Tobacco Use and Life Insurance

/0 Comments/in , , /by

If you’re a smoker, you already know all the health risks that have been linked to this expensive habit. You’ve probably tried all the recommended methods for quitting; maybe even a few times. We aren’t here to lecture you – you’re probably surrounded by loved ones that can handle that. Our job is to educate you on how smoking could effect your ability to obtain life insurance.

It’s a common misconception that tobacco smokers are unable to get life insurance. Or, at the very least, that smoking pushes the premium into the “unaffordable” category. The truth is, purchasing a term life insurance policy as a smoker is a fairly painless and affordable process. There are a few things you need to know to insure the best possible outcome.

Cigarettes Aren’t the Only Products Underwriters Are Looking For

Many consumers assume that cigarette smoking is the only thing that is considered in the underwriting process. The truth is, there are a number of other tobacco products that are frowned upon.

  • Chewing tobacco
  • E-cigs/Vape pens
  • Cigars
  • Nicotine replacement, such as gum or patches

If you use any of the above, prepare to pay a higher premium than you would as a non-smoker. When speaking with a life insurance agent, be honest with them about your tobacco intake. Each insurance carrier has a different set of rules regarding what is acceptable and how much additional premium they charge for your habit. In fact, many will even charge a non-smoker’s rate for individuals who partake in a “celebratory cigar” every now and then.

”I Quit Smoking Last Month. Doesn’t That Make Me a Non-Smoker?”

Unfortunately, no. Most carriers require you to be tobacco-free for at least twelve months before offering a non-smokers rate. Two to five years nicotine-free qualifies you for Preferred or Preferred Best rates, assuming all your other medical exam results are in order.

The great news is, just because you only qualify for the Smoker’s class right now, doesn’t mean you’re stuck there forever. Most companies will consider you for a better rate once you’ve hit that one year mark. So, if you have a current policy, talk to your agent about your specific insurer’s requirements for lowering your premium payments. It could be as simple as a blood or urine test.

Marijuana Usage Can Effect Your Premiums Too

When we think of smoking, we naturally think of tobacco. While there have been many changes in public opinion and legalities when it comes to cannibas, it is still illegal in many states. This, coupled with the fact that the federal government still classifies it as a Schedule I controlled substance, leaves a lot of gray area for the life insurance underwriting process.

If this is a concern for you, don’t get discouraged. Each insurer has their own set of guidelines regarding how they underwrite marijuana usage. Frequency of use, reason for use, and method of intaking are all factors that could affect your eligibility and rates. Best plan of action – be honest with your agent. They can assist you in identifying the right policy for you.

How Long Does Nicotine Stay in One’s System?

There are a number of ways to test for nicotine. Cotinine, the predominant metabolite of nicotine, can be detected in the system for longer than nicotine. Therefore, most medical exams bypass the nicotine test altogether, testing for cotinine instead. How long this metabolite is detectable varies, depending upon a number of factors. A menthol smoker’s body expels cotinine at a slower rate than non-menthol smokers.

Additionally, urine tests provide a more accurate reading, while blood and saliva tests are less sensitive. If you enjoy the occasional celebratory cigar, it’s a good idea to wait at least a week before going in for your life insurance medical exam.

Looking for coverage and have no idea where to start? We understand that each client’s situation is unique. To accommodate our customer’s diverse needs, we have partnered with the very best in the industry. One of our agents would love to help you find the best coverage, at the most affordable rate, to fit your needs.

Can I Get Life Insurance if I Have Diabetes?

/0 Comments/in , /by

If you’ve been diagnosed with diabetes, you’ve probably always assumed an affordable life insurance policy isn’t an option for you. With over 29 million people in the United States (9.3%) now dealing with such a diagnosis, life insurance carriers have recognized the need for affordable options. Many have developed policies specifically geared towards diabetics, many with no exam required.

Let’s take a look at how your diabetes could affect your ability to obtain a policy and what, specifically, affects your rates.

How Does Diabetes Impact Life Insurance Rates?

As with any life insurance policy, the healthier you are, the lower your insurance costs will be. There are a number of factors that go into determining life insurance with diabetes rates.

  • If this is a recent diagnosis, the time to purchase a life policy is now. As time goes on, fluctuating blood sugar levels, as well as blood sugar medications, stand to harm your body.
  • Is your diabetes under control? Are you responding well to treatment? What healthy lifestyle changes have you made?
  • What type of medications are you currently taking?

While a type I diabetic taking insulin is considered more at risk than a type II diabetic taking oral medications or a diabetic controlling their blood sugar through diet, there are options for everyone. The key is to follow your healthcare provider’s treatment plan and remain diligent in controlling your blood sugar.

What Other Factors Might Influence My Rates?

If you’ve been diagnosed with other health conditions, in addition to diabetes, it could influence your ability to find an affordable life insurance policy.

Influencing health conditions include:

  • A history of smoking
  • Uncontrolled blood pressure
  • Uncontrolled cholesterol
  • History of heart disease
  • Kidney disease
  • Neuropathy, particularly in your extremities
  • Vascular disease
  • Obesity

What Aspects of My Diagnosis Will Affect My Eligibility and Rates the Most?

If your diabetes is not under control, underwriting will likely deny your application. Underwriting will also consider the following factors:

Your A1c level: Anything below 7.5 is considered good. Some underwriters, however, will accept an A1c level of up to 8.5.

Your fasting blood sugar level: While applicants with blood sugar levels of up to 180 are often considered, 140 and below is viewed as the ideal range. Some insurance companies consider fructosamine levels during the application process. Ideal levels are 1.5-2.5.

Current medications: What medications are you currently taking and how effective are they at controlling your levels? How well are you monitored by your physician?

Age of diagnosis: What age were you diagnosed? The older in life you were diagnosed, the more likely you are to qualify at an affordable rate.

What Can I Do to Get the Best Life Insurance Rates?

Your best bet is to identify insurance carriers that specialize in high risk policies or one that offers “clinical underwriting.” The “clinical underwriting” process looks at the full picture, evaluating your overall health, rather than focusing on specific health risk factors.

There are a number of insurance carriers that offer affordable policies. When you are ready to begin the process, consider working with a reputable insurance agent in your community. They’ve built professional relationships with each carrier. Their experience will offer invaluable insight into which carrier is the best fit for you and your unique situation. Disclose all details of your health history; surprises could lead to higher rates or, in some cases, policy denial. Most importantly, work daily to live a healthy lifestyle and control your blood sugar. Not only will this assist in finding the most affordable rates, it will ensure your life insurance policy isn’t needed in the near future.

Is It Possible to Obtain Life Insurance After a Cancer Diagnosis

/0 Comments/in , , /by


Years ago, receiving a cancer diagnosis signaled the beginning of the end. Recent medical advancements, however, have lead to more positive outcomes, turning many victims into survivors. With almost 14 million people in the United States still facing this diagnosis, though, many of us are aware of the unpredictable nature of such a disease. A cancer diagnosis reminds us all that life is unpredictable, forcing us to face the possibility of death at any moment. The welfare of our families becomes top priority, and shopping for a life insurance policy suddenly feels urgent.

But, can one even obtain a life insurance policy after a cancer diagnosis? Many assume the answer is “no.” While navigating the application process may be a little challenging and time-consuming, there are reasonable options available. If you’re considering shopping for life insurance, don’t let your cancer stop you from getting the protection you need.

What is Underwriting Looking For?

Most insurance companies have access to the National Cancer Institute’s “Surveillance, Epidemiology, and End Results” (SEER) database. This database offers information on cancer patients based on tumor locations, diagnosis stages, initial treatment plans, follow-up procedures, demographics, and morphology. This, coupled with information gathered from you personally, will help the underwriter in assessing the risks.

Potential insurers will request the following information:

  • Diagnosis date
  • Type of cancer
  • Treatment plan
  • Length of time in remission
  • Stage and grade of cancer
  • Tumor mass
  • Lymph node involvement
  • Start and end date of treatment
  • Current and past medications

While most insurers require applicants to be cancer-free for at least five years, this is not a hard and fast rule. In some cases, if the prognosis is good, patients have become eligible for a policy before completing their treatment plan.

Underwriting for Specific Cancers

There are several forms of cancer that insurers will closely consider when reviewing an application:

Melanoma – Melanoma is a more aggressive and dangerous form of skin cancer, resulting in the majority of skin cancer deaths. The insurer’s concern is this form of cancer’s tendency to metastasize and spread throughout the lymphatic system and organs. As with basal cell carcinoma and squamous cell carcinoma, patients with no complications during removal, and who have been cancer-free for one to two years, are often eligible for an insurance policy. Patients whose cancer required chemotherapy and/or radiation as part of their treatment plan could have to wait as long as ten years before obtaining a policy.

Breast cancer – Underwriting will ask breast cancer survivors a series of questions to determine eligibility. The longer the applicant has been in remission, the better their chances of getting approved.

Prostate cancer – Prostate cancer survivors are often approved for a life insurance policy shortly after treatment, assuming they are willing to pay at a higher rate. Underwriting will examine the applicant’s Prostate Specific Antigen (PSA) levels and Gleason score. The Gleason score determines the likelihood of the cancer spreading. This, coupled with the number of years cancer-free and the type of treatment a patient has undergone, will all be factors in determining both eligibility and rates.

What Every Cancer Patient Should Know to Ensure Eligibility and Lower Life Insurance Rates

  1. Keep all medical records together and organized. Be sure to include initial diagnosis and pathology report, as well as the prescribed treatment plan.
  2. Leave the treatment plan to the professionals. WebMD is filled with some valuable information. It does not, however, make you a doctor. Follow your doctor’s treatment plan.
  3. If possible, wait until you are in complete remission and your health has stabilized.
  4. Don’t apply for the first insurer that offers you a rate quote. Find a trusted life insurance agent that can help you shop around. Each insurer has their own set of underwriting guidelines; your insurance professional can help sift through your options and help you find the very best policy for your situation. They can also help you negotiate with potential insurers and educate you regarding additional options.
  5. Consider a graded policy, which offers increased death benefits, as you age.

Have you applied for a life insurance policy post-diagnosis? If so, what challenges have you faced? What was the end result? We would love to hear your story in the comments below.

Does Family History Really Affect Life Insurance Premiums?

/0 Comments/in , /by


Once you have applied for life insurance, an underwriter will review your application to determine eligibility and identify your rate class. There are several factors the underwriter will consider during this process. They will include: age, current health status, extracurricular activities, and family history.

Yes, that’s correct, your family history does play a factor. You could be in the greatest of health, but still be affected by a family history of poor health. If your family’s health history is less than stellar, this probably raises a lot of questions for you. The purpose of today’s blog is to answer those questions. So, let’s get started.

Why Do They Care About My Family’s Health?

Modern advances in medicine have revealed that many disorders occur more frequently in some families than others. If an immediate family member (father, mother, and/or siblings) have been diagnosed with a serious medical condition, the underwriter will delve a little deeper into their history post-diagnosis. Depending upon the severity, as well as a number of other factors, you could be facing higher policy premiums. In extreme cases, an applicant could be denied coverage.

What Are They Looking For?

While there are a number of health conditions your underwriter will consider, two in particular raise the most concern. Dubbed “The Big Two,” a family history of heart disease or cancer will send up red flags to your life insurance underwriter. Both have been linked to early mortality and are the leading causes of death in the United States. If several family members have been diagnosed with either condition before the age of 60, you will likely be placed in a higher rate class, resulting in a higher premium.

In addition to “The Big Two,” a family history of the following diseases/medical conditions could result in higher premiums:

  • epilepsy
  • cystic fibrosis
  • eye disorders
  • deafness
  • motor neuron disease
  • kidney disease
  • blood disorders
  • liver disease
  • Alzheimer’s disease
  • musculoskeletal
  • bowel disorders
  • Tay-Sachs disease
  • neurological/psychiatric
  • PKU
  • drug dependency
  • respiratory
  • alcoholism

While it is possible that your family’s health history could result in a denial of coverage, do not let that discourage you. The Vista Insurance Group specializes in helping high-risk clients obtain the coverage they need.

What If I’m Adopted?

If you are adopted, finding out your family history could prove difficult, if not impossible. You will not be penalized for this. Note this information on your application and the underwriter will work solely off of your medical history.

Can’t I Just Leave That Information off My Application?

Falsifying or omitting information on your application is considered insurance fraud. If discovered, you could face probation, community service, fines, or even jail time. And, since life insurers have access to MIB (Medical Information Bureau) reports, it’s highly likely that they will uncover the truth.

While most insurance companies will not take the time to prosecute in these cases, the lies will have consequences. It can slow down the underwriting process or, in some cases, cause them to decline the application altogether.

Should you make it all the way through the underwriting process and the policy is issued, you and your family are still at risk. Before paying out, insurance companies investigate death benefit claims. If your lies or omissions are discovered, the insurer has every right to deny or reduce payout to your beneficiaries.

Does Every Insurance Carrier Follow the Same Set of Rules?

No, each insurance carrier follows their own set of underwriting guidelines. Some may place more emphasis on an applicant’s parents’ medical history, while others place equal importance on both parents and siblings. One may deny coverage when both parents have a history of kidney disease, while another may only qualify you for a Standard rating.

If members of your family have been diagnosed with a serious medical condition, the best thing to do is be honest and up-front. The Vista Insurance team is here to assist you in finding the very best coverage at the most affordable rate. We have built relationships with a number of reputable carriers and are here to ensure you obtain the coverage you need for your unique situation.

Will I Qualify for Life Insurance After Bankruptcy?

/0 Comments/in , , , /by


By now, you are probably aware that your credit score follows you, affecting insurance rates and your ability to lease an apartment. Oftentimes, it’s even part of the job qualification process. It is safe to assume, then, that a bankruptcy would negate your chances to obtain life insurance, right? The short answer – wrong. While your life insurance underwriter will consider your bankruptcy when reviewing your application, it does not automatically disqualify you.

Before we delve into the specifics of bankruptcy and life insurance, let’s talk about WHY this is even a concern for your underwriter.

Heightened Risks Associated With Bankruptcy

The bankruptcy process is long and arduous. It is a stressful time. One that forces us to reevaluate both past and current decisions and calls for a restructuring of virtually every aspect of our lives. From an underwriting standpoint, this is a valid concern, as stress and anxiety directly affect one’s overall health. As a result, some consumers battle depression and thoughts of suicide, both equally concerning to a life insurance underwriter. As a consumer, it’s important to remember that most life policies contain a suicide clause, barring death benefit payout should the insured commit suicide in the initial years of the policy.

When applying for a new policy, the insurer faces a great deal of upfront costs. From the medical exam to underwriting and agent commissions, it takes several years of premiums to recoup those fees. Therefore, the insured’s financial stability is a consideration. If they believe you to be financially unstable, the insurance company will not want to take on that risk, recognizing there’s a chance they may never break even on your policy.

What Steps Should I Take When Applying for Life Insurance After Bankruptcy?

When some of the major carriers chose to shy away from insuring individuals with a bankruptcy on record, a number of insurers seized this opportunity, tapping into a new pool of risks. Assuming you meet the rest of the underwriting guidelines, you should, hopefully, have several options available to you.

There are a few things you should keep in mind before starting the process:

– As a general rule of thumb, wait at least one year after your bankruptcy has been cleared, discharged, or settled. This is particularly true when filing Chapter 7.
– Work with an independent agent. Their duty is to guide you through the process, which starts with identifying the policies that best fit your unique situation and needs.
– Be upfront with your agent from the start. Provide them with information regarding your bankruptcy including: clearance date and any medical issues that might have contributed to your decision to file.
– Have a clear understanding of what your current budget is and how much coverage you and your family need.

Keep in mind that a bankruptcy can follow you for seven to ten years. So do not assume that, because it has been three years, it is irrelevant to potential insurers.

How Will Bankruptcy Affect My Current Life Policy?

If you already have a policy in force, you’re probably wondering how filing could affect that policy. The answer depends upon what type of policy you have in force.

If your in-force policy is a term policy, filing for bankruptcy should not affect the policy at all. As long as you are able to make your premium payments on time, the policy will remain in force.

If you own a permanent policy, things may get a little trickier. If your policy has been in force long enough to build cash value, there is a possibility that those assets could be assessed. We recommend that you seek the advice of a licensed attorney practicing in the state in which you reside, as bankruptcy rules vary from state to state.

If bankruptcy (or any other issues) is a part of your past, seek the assistance of a licensed independent life insurance agent. At Vista Life, we work with a number of life insurance carriers, ensuring the best possible outcome for your particular situation. If you have any further questions, do not hesitate to contact us at 866-450-2424 or via email.

Life Insurance for Those Living With HIV

/0 Comments/in , , , /by

Those individuals living with HIV have, more than likely, found the life insurance market difficult and limited in scope in the past. Fortunately, this reality is beginning to change. More recently, insurance agencies have begun offering greater coverage options for HIV positive customers. With more powerful and effective treatment opportunities becoming available and the overall life expectancy of HIV patients extending, many companies are creating plans to effectively cover these at-risk individuals.

With more than one million Americans currently living with this disease, it is impossible to ignore this segment of the population any longer. The affected individuals are no longer being categorized as having a life expectancy too short to be offered coverage. And, as with most medical and social advancements, insurance companies are evolving to offer the insurance coverage these individuals need and deserve.

When AIDS and HIV first became a National, as well as International epidemic, most insurance companies saw affected individuals as too risky to cover. Indeed, the initial mortality rates were often so high and life expectancy so short, that insurance companies couldn’t properly calculate the risks and reasonable pricing needed to provide coverage. If coverage was available, it was often priced too far out of an individual’s budget. But, with advancements in the effectiveness of the pharmaceuticals available and the overall quality of life of HIV positive individuals improving rather dramatically, insurance companies are re-tooling their business plans to give even more coverage.

Still, you may be wondering what coverages are really available. Is my case unique? What can I expect to pay for a premium? Where do I even begin? Call us today so we can begin to lay out the available plans. At Vista Life, we look to provide the best coverage for each customer.

Our team will sit down with you and discuss options for coverage and costs and can design the right policy for you personally.

What to Do If You Can’t Afford to Pay Your Life Insurance: Part 2

/0 Comments/in , , /by

Last week, we shared some options regarding what to do if you have found yourself in a difficult financial situation and are unable to pay your upcoming life insurance premium. Today, we wanted to offer a few more alternatives, as well as review some commonly asked questions.

Before making your final decision, take a moment to speak with your insurance agent. Each insurer has their own set of rules and guidelines – some of our suggested options might not apply to you and, you never know, your agent may have some more tricks up their sleeve that aren’t covered here.

Apply for Consideration of a Change in Health Classification

Remember when you applied for your life insurance policy, you took a medical exam and answered a series of questions? There are a number of conditions that could have impacted your rate classification and, in turn, your annual premium.

Were you a smoker at the time? Did you have cancer, that is now in remission? Depending upon the pre-existing condition, you may be eligible for a change in rate class. If your application is approved, you could receive a more affordable rate on your current policy.

Life Settlement

As defined by the Life Insurance Settlement Association, “A life settlement is the sale of a life insurance policy to a third party for a value in excess of the policy’s cash surrender value, but less than its face value, or death benefit.”

The third party agrees to pay all future policy premiums and receives any available death benefits when the insured passes away. Unfortunately, this option is typically only available to insureds over the age of 65 or for customers whose policy has accumulated enough cash value to sell their policy. Since each insurer (and policy) has their own set of rules, contact your agent to learn more about this option.

Frequently Asked Questions: How Can I Make My Life Insurance More Affordable?

Question: I really want to invest in a life insurance policy, but don’t think I can afford it. What should I do?

Answer: We have a few suggestions that might help make your policy more affordable:

  • Purchase a policy as soon as possible – The younger you are, the cheaper your life insurance policy will be. Plus, you never know what kind of health conditions could pop up unexpectedly. So, if you’re young and you do not currently have a life policy, start shopping now. Our website offers multiple options for figuring a rate quote or, if you prefer to speak with a person directly, an agent would be happy to discuss your options with you. Just give us a call at 1-866-450-2424.
  • Buy a term life insurance policy – Insurers understand that consumers need options to fit every budget. Term life insurance rates are the most affordable option, with term periods lasting anywhere from one to thirty years. Just keep in mind that, when the policy term expires, your rates will be significantly higher than your original investment.
  • Inquire about payment plans – As a rule, your insurance premium will be cheaper if you pay the full annual premium upfront. There are, however, options to pay semi-annually, quarterly, and monthly. These payment plans often have processing fees tacked on to the total, so make sure you have all the information before making your final decision.
  • If you are a smoker, quit ASAP – We aren’t here to judge you; everyone has a guilty pleasure (or two). As a smoker, however, your rates are guaranteed to be higher than as a non-smoker. When you are ready to quit, write your quit-date on a calendar you can refer back to. Depending upon the insurer and policy, you can reapply for a lower rate in one to three years.

Question: What are some of the situations that could cause my life insurance rates to be higher?

Answer: As previously mentioned, smokers automatically earn a lower table rating, which results in higher policy premiums. There are a number of other pre-existing conditions, however, that could affect your table rating. To learn more about what to expect during the paramedical exam and what they are testing for, visit our blog here. If you feel you will classify as a higher risk, discuss your health issues with an insurance professional. They can assist you in finding the best policy for the very best premium.

Question: I’m still not sure I can afford the premium. Is there anything else I can do?

Answer: A term life insurance policy is very affordable. Consider sitting down and evaluating your budgetary spending. According to the National Resource Defense Council, each household spends approximately $529/year on unwanted snacks. Is there anything you can eliminate or cut down on in your monthly spending? Our blog, 7 Everyday Things That Cost More than Term Life Insurance, should be a great place to start getting ideas.

Before making any permanent decisions, remind yourself why you purchased your life insurance policy in the first place. While you may feel lost and desperate right now, this situation is temporary. Work with your agent and/or insurer to identify all options available to you before making your final decision. Best of luck to you!

Expectant Mothers – What You Need To Know About Life Insurance

/0 Comments/in , /by

Expecting a child is one of the most exciting times in one’s life. You’re filled with hope for the future, daydreaming about what lies ahead for your family. With that little bundle of joy, however, comes an immense amount of responsibility. This little life will look to you for love and guidance; and every decision you make from this moment forward will be made with your child in mind. It’s only natural that pregnancy is the time many families start to consider their options regarding life insurance.

Life insurance provides your family financial security should you pass away unexpectedly. While this is something no one wants to think about, we owe it to our families to do what we can to secure their future, particularly when a child is on the way.

If you’re already pregnant, you’ve probably written off life insurance for now, assuming you’ll be denied coverage or, at the very least, be charged sky-high premiums. This isn’t always the case. Most insurers will insure a pregnant woman up to their third trimester. In fact, many insurance companies will issue a policy throughout the entire pregnancy, assuming the applicant fits the underwriting guidelines and there are no serious complications with the pregnancy.

When Pregnancy Complications Arise

If you’re pregnant, or considering bringing a child into the world, you’ve probably read about all the complications that could occur. Controlled gestational diabetes is a health-related condition that occurs only during pregnancy. Should you be diagnosed with this, don’t be discouraged. Many insurers will not only accept your application, they’ll issue your policy at Standard or Preferred premium rates (if underwriting hasn’t uncovered any other health concerns).

Conditions that often disqualify applicants include:

  • High blood pressure or preeclampsia
  • Difficulties with a previous pregnancy
  • Previous c-section birth

If you fit into one or more of these categories, discuss your options with your life insurance agent – it might be best for you to wait and apply after your child is born.

Advice for Obtaining the Most Favorable Rates

  • If you and your partner are discussing starting a family, consider applying for life insurance first. This will position you for the most favorable policy and rate.
  • Weight and cholesterol are both considered during the underwriting process. These levels often fluctuate during pregnancy and while breastfeeding. If you’re already expecting, discuss your options with an insurance agent – the sooner the better. But don’t make any rash decisions; take the time to choose the policy that best fits your families growing needs. A few days isn’t going to make a huge difference, but choosing the wrong policy could.
  • If applying pre-pregnancy is no longer an option, apply before you hit your third trimester.
  • Some underwriters factor in postpartum depression issues when reviewing an application. If you’re experiencing postpartum symptoms, discuss this with your agent. They can help you shop around for the best policy at the best rate.

Congratulations, you’re about to embark on the most fulfilling experience of your life. This should be a time of joy and hope. We understand that life insurance can be intimidating, even under normal circumstances. The peace of mind of knowing your family is cared for financially should the unexpected occur will far outweigh any stresses you might endure during the consideration and application stages. The Vista Life team is here to make the process as painless as possible. So you can get back to what matters most – enjoying your new family.