Term life insurance application question, unhappy with quote

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Delayed Gratification
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Term life insurance application question, unhappy with quote

Post by Delayed Gratification » Fri Jul 12, 2013 12:11 pm

I've recently applied for term life insurance ($750K, 20 year level term) through USAA and didn't qualify for "preferred plus" unfortunately. I have one small health problem, normal cholesterol and BP and have gone through the physical, blood work and urine testing all of which were fine. I was given "preferred" status instead of plus. That increased their quote from $47/mo to $91/mo. In searching term4sale, it seems like there are better deals to be had.

USAA used a service called EMSI for the physical, lab work and document collection. Does anyone know if this is a industry wide company? I'd like to know that if I decide to re-apply if I will have to go through the whole process again with each insurer or if there is some sort of central database they pull from.

Input from anyone in or familiar with the insurance industry is appreciated!

dhodson
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Re: Term life insurance application question, unhappy with q

Post by dhodson » Fri Jul 12, 2013 12:54 pm

You'll need to redo it

UsAa is great only for best rate class otherwise not so great.

This time have an independent agent shop your case at all the cheaper term companies.

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Delayed Gratification
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Re: Term life insurance application question, unhappy with q

Post by Delayed Gratification » Fri Jul 12, 2013 1:15 pm

Do you recommend just contacting the agents that are listed with term4sale? My understanding is that they pay a fee to be listed and generally are independent agents. There were three listed on the website.

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G-Money
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Re: Term life insurance application question, unhappy with q

Post by G-Money » Fri Jul 12, 2013 1:23 pm

Delayed Gratification wrote:Do you recommend just contacting the agents that are listed with term4sale?
That's what I did. Worked out well for me.

Be sure to tell the agent how you found him/her. Encouraging agents to continue using/subscribing with term4sale helps ensure useful resources like that remain available.
Don't assume I know what I'm talking about.

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mephistophles
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Re: Term life insurance application question, unhappy with q

Post by mephistophles » Fri Jul 12, 2013 2:07 pm

What is your one small health problem?

lwfitzge
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Re: Term life insurance application question, unhappy with q

Post by lwfitzge » Fri Jul 12, 2013 2:13 pm

I went with Selectquote, broker recommended best term cost/rating company which in my case was Banner Life

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dm200
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Re: Term life insurance application question, unhappy with q

Post by dm200 » Fri Jul 12, 2013 3:08 pm

Delayed Gratification wrote:I've recently applied for term life insurance ($750K, 20 year level term) through USAA and didn't qualify for "preferred plus" unfortunately. I have one small health problem, normal cholesterol and BP and have gone through the physical, blood work and urine testing all of which were fine. I was given "preferred" status instead of plus. That increased their quote from $47/mo to $91/mo. In searching term4sale, it seems like there are better deals to be had.

USAA used a service called EMSI for the physical, lab work and document collection. Does anyone know if this is a industry wide company? I'd like to know that if I decide to re-apply if I will have to go through the whole process again with each insurer or if there is some sort of central database they pull from.

Input from anyone in or familiar with the insurance industry is appreciated!
A number of years ago, I had the experience of being denied group-type term life insurance because of some lab tests (liver) in my medical history. The test results were of such little concern to my doctor that this was never even brought up. [Can't remember the test/condition details]

I went round and round with the insurance company - with them explaining the big difference between "clinical" and "actuarial" interpretation of test results. Eventually, I "appealed", along with results of consultation with Gastroenterologist, who wrote letter to the insurance company. As a result, I was issued the policy.

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Delayed Gratification
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Re: Term life insurance application question, unhappy with q

Post by Delayed Gratification » Fri Jul 12, 2013 8:14 pm

meph: I don't mind revealing my health problem in the least since I don't really perceived it to be a real health problem. I have had two panic attacks in my life: once while I had a job with a lot of public speaking, once three weeks after my second child was born and I was half-dead from exhaustion. I don't have anxiety, don't see a counselor and don't take a prescription medication. USAA explained that I was not given preferred plus for this reason, because other than the two panic attacks I'm in great health. I get a physical every 1-2 years, have a normal cholesterol level, no hypertension, never used nicotine. I've had a normal EKG and consultation with a cardiologist that was normal.

I looked again at the quotes on term4sale and I can get the same amt of term with competing companies for anywhere from $25-45 less per month. I think I'm going to cancel my application with USAA.

It sounds like I'll just use one of the three agents listed on term4sale and be prepared to go through another physical and set of labs. I'll be sure to mention I got their info from term4sale.

Calm Man
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Re: Term life insurance application question, unhappy with q

Post by Calm Man » Fri Jul 12, 2013 8:52 pm

OP, the physical and labs obviously won't show anything about the panic attacks. It will be the same. The only thing would be the history. You can't risk telling a mistruth as it is now in the database. I am afraid you will likely see the same responses from other insurers because panic attacks raise the risk in their underwriter's opinions probably even though in your case they sound totally benign.

madbrain
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Re: Term life insurance application question, unhappy with q

Post by madbrain » Fri Jul 12, 2013 9:50 pm

Be happy you got any quote at all, I cannot get any quote, even though my medical condition does not have an increase risk of mortality.

http://www.sciencedaily.com/releases/20 ... 150951.htm

ndayev6
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Re: Term life insurance application question, unhappy with q

Post by ndayev6 » Fri Jul 12, 2013 10:03 pm

I would disagree with above posts. Your history of panic attacks may not be viewed the same by all companies and you may find some companies willing to overlook these prior events. When applying for term life through term4sale I was offered preferred by one company and preferred plus by another company for a history of mild anxiety. My understanding is that you must buy term insurance through an agent and they all get the same kickback from the company. I used term4sale and contacted two of the agents listed on the site. There are some medical companies that are contracted out by more than one insurance company which can allow you to apply to both with one exam/blood work. In my experience both Progressive and Cincinnati used the same workup for their policies. This is where an agent from the website can be quite helpful. They may be able to identify companies that are more lenient with past medical history.

Good luck!

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Delayed Gratification
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Re: Term life insurance application question, unhappy with q

Post by Delayed Gratification » Fri Jul 12, 2013 10:35 pm

Calm Man: I'm not sure what you mean by the "same responses from different insurers", since it seems from term4sale that there is quite a variety in price for similar term plans and highly rated insurers. I'm aware that once one insurer knows they all know, but I also know that I have to disclose my entire health history. They would have discovered it in my medical record anyway.

I guess I'll use an independent agent with the hope that even if I can't get covered at preferred plus I can at least find a term policy for less money per month. I bought disability insurance 5 years ago through an independent agent, but had to be subjected to the sales pitch for other insurance products including whole life. I'm not looking forward to dealing with an agent, but maybe it will be a better experience.

BruDude
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Re: Term life insurance application question, unhappy with q

Post by BruDude » Fri Jul 12, 2013 10:41 pm

You can probably still qualify for P+ rates with at least a couple of companies. Since the labs were not the problem, they can be reused if you apply with a different company. When you submit the app you will need to send a copy of the labs and fill out the "Part 2" section on the application which is the medical history. An independent agent should be able to find out which companies will consider you for a P+ risk class.
Last edited by BruDude on Sat Jul 13, 2013 12:40 am, edited 1 time in total.

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mephistophles
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Re: Term life insurance application question, unhappy with q

Post by mephistophles » Fri Jul 12, 2013 11:59 pm

Delayed Gratification wrote:meph: I don't mind revealing my health problem in the least since I don't really perceived it to be a real health problem. I have had two panic attacks in my life: once while I had a job with a lot of public speaking, once three weeks after my second child was born and I was half-dead from exhaustion. I don't have anxiety, don't see a counselor and don't take a prescription medication. USAA explained that I was not given preferred plus for this reason, because other than the two panic attacks I'm in great health. I get a physical every 1-2 years, have a normal cholesterol level, no hypertension, never used nicotine. I've had a normal EKG and consultation with a cardiologist that was normal.

I looked again at the quotes on term4sale and I can get the same amt of term with competing companies for anywhere from $25-45 less per month. I think I'm going to cancel my application with USAA.

It sounds like I'll just use one of the three agents listed on term4sale and be prepared to go through another physical and set of labs. I'll be sure to mention I got their info from term4sale.
Thanks,
I agree with Brudude. Find a good Independent Life insurance agent (not property and casualty agent) who brokers with top companies. You may qualify for top rates, or better than USAA. Get a copy of your medical records from your doctor including details of your visit for your panic attacks. A lot will depend on your symptoms, history and treatment. Some panic attacks are more physical, including racing heart beat, elevated blood pressure or other symptoms. Some attacks are more psychological, resulting in fear and anxiety but little or no physical symptoms. Some doctors prescribe SSRI's and/or benzodiazepams or other meds to treat the attacks or recommend psychotherapy. The biggest concern of the insurance companies is the uncertainty factor, especially in recent medical or psychological problems. The good news is that most insurers are far more lenient than they were 10 to 20 years ago. These things often go away on their own, especially if one reduces levels of stress.
Good luck,
ole meph

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