High Risk Life Insurance

What Is High-Risk Life Life Insurance?

Precisely as the name implies, High-Risk life insurance provides whole life insurance coverage for high-risk individuals. 

The term “high-risk” refers to anyone with a high mortality rate. Low-risk individuals are young and healthy and therefore are low-risk.  Typically, all individuals over the age of 70 or who have severe health complications are considered high-risk. 

Life Insurance Policies for High-Risk Individuals

It should come as no surprise that individuals with severe health conditions have limited options for finding coverage. The good news is, you still have options. 

Guaranteed Acceptance Life Insurance is a last resort coverage option for high-risk individuals and anyone who fails to qualify for traditional life insurance. There are no medical exams or any health questions whatsoever. As long as you’re between ages 50 and 85, you cannot be turned down due to health reasons.

Policy Details & Restrictions

Although there are no health questions, there are a few restrictions that you need to know. 

Limited Coverage Amounts –  Guaranteed Acceptance policies provide coverage up to $30,000.  Other types of policies offer higher coverage amounts, but they require medical underwriting.   Although policy limits are low, these policies can go a long way in reducing end-of-life expenses such as funeral costs, unpaid medical bills, and any left behind personal debts. 

Limited Death Benefit – Because there are no health requirements to enroll in guaranteed acceptance protection, there is a mandatory two-year waiting period before the full death benefit is eligible. If you die within the first two years of owning your policy, your beneficiary does not get the full policy amount. Instead, they would receive all premiums paid into the policy plus a small additional percentage (typically 10%).

The two-year waiting period is to prevent individuals on the brink of death from signing up for coverage. If that were allowed, the insurance companies would quickly go bankrupt, paying out claims. This rule ensures that you’ll pay at least 24 months of premium payments to the insurance company before they pay the money back out to your beneficiary.   

Benefits of High-Risk Life Insurance Policies

No Health Questions –  As mentioned above, there are no health questions or any health requirements whatsoever to qualify for high-risk life insurance coverage. 

Simplified Applications – One of the best benefits of high-risk life insurance is the ease to qualify and to enroll. Guaranteed acceptance policies only take about 15 minutes to complete. And your coverage can begin the very next day. 

Living Benefits – Most policies allow you to access a portion of your life insurance funds while living if you were to have a qualifying health event such as a stroke, heart attack, or diagnosed with a terminal illness.   This exchanges the death benefit for immediate cash which can help pay for medical care or daily living expenses. 

Free Accidental Coverage – If you were to die of a non-health related cause during the first two-year waiting period, your policy would pay out the full death benefit. 

What About Rates?

Premium rates for high-risk life insurance are, of course, higher than traditional coverage. Individuals with higher mortality rates pay higher insurance premiums than healthy people.  

So how much is high-risk life insurance?

The answer depends on many factors. Your age, sex, state of residence, zip code, policy size, and which insurance carrier your purchase from all factor into the final cost of your policy.   

The average premium cost for Guaranteed acceptance coverage ranges between $100-$250 per month. 

It’s important to know that insurance rates increase with you as you age. Therefore, every week you postpone purchasing a policy, your rates go up. 

Finding Your Best Policy

Our independent insurance agency specializes in high-risk life insurance. We’ve helped thousands of individual with severe and chronic health conditions secure the funds they need to protect their families. And we’d love to help you too!

We’ll help you shop and compare all the top-carriers nationwide so you can quickly find your best policy and price. 

Our services are free. And there’s never any obligation when working with an agent.  

Explore your options today. Fill out the form on your screen to instantly see quotes from life insurance companies offering higher risk life insurance.