Can I get affordable life insurance with depression and anxiety disorders?
Affordable life insurance with depression and anxiety disorders is possible if you work with a special risk life insurance broker.
This article will give you information on what information insurance company underwriter’s are looking for when trying to evaluate the risk for life insurance with depression and anxiety disorders.
It will also provide you with a general idea of any extra rating or premium charge for life insurance with depression and anxiety disorders.
How do company’s classify life insurance with depression and anxiety disorders?
Mood and anxiety disorders are common. People cope with mood and anxiety disorder’s in different ways. From an insurance company’s viewpoint the mortality risk is due primarily to suicide, cardiovascular disease, and substance abuse. Risk is typically highest early in the course of the disorder or within 2 years of hospitalization.
Individuals looking for life insurance with depression and anxiety disorders are usually classified into the following categories:
- Depressive disorders(unipolar) and Bipolar disorders(manic depressive)-
The criteria for major depression requires a history of depressed mood for at least 2 weeks plus four or more of the following: weight change, sleep disturbance, psycho motor agitation or retardation, fatigue, feelings of worthlessness or guilt, difficulty concentrating, or suicidal intention.
The criteria to meet for Bipolar depression is typically a history of at least one episode of mania(abnormal or elevated or irritable mood) in addition to the major depression criteria.
- Anxiety Disorders Include-
Panic disorders, agoraphobia, social phobia, social anxiety disorder, simple phobia, generalized anxiety disorder, obsessive-compulsive disorder and post traumatic stress disorder(PTSD)
Symptoms of anxiety disorders include worry and nervousness, racing heart, breathlessness, dizziness, sweats, headache, insomnia, and other vague complaints.
Depressive disorders often overlap with anxiety disorders. Recurrences are common in both mood and anxiety disorders.
Treatments for Depression and anxiety disorders can include: drug therapy (with and without counseling). Anti-depressant drugs are commonly used to treat both mood disorders and anxiety.
For more severe cases, electroconvulsive therapy or anti-psychotic agents may be required. If anxiety is present, treatment may include benzodiazepines and buspirone.
When underwriting life insurance with depression and anxiety disorders, caution is usually taken for those using more advanced treatment options. This could lead to a very high premium rating or an outright declination for coverage.
Typical Underwriting risk classes for life insurance with depression and anxiety disorders.
Once the underwriting insurance company has gathered the medical information for the insured, they will determine the severity of the risk: Below are the undewriting risk classes that most insurance companies use:
- Mild– No suicidal ideation for 1 year. Able to perform normal activities with minimal symptoms. On 0-2 medications(no antipsychotic agent). Rare attacks. N0 hospitalizations/suicide attempts/disability for greater than 9 years.
Under this scenario an individual would typically not be rated any additional risk.
- Moderate– No suicidal ideation for 6 months. Able to perform normal activities with minimal-moderate symptoms on 0-3 medications(no antipsychotic agent). Single episode of disability of short duration. No hospitalizations/suicide attempts for greater than 9 years.
Under this scenario an individual would typically expect to pay an additional premium of 50%.
- Severe– Significant symptoms, requires antipsychotic medication. Hospitalizations, long episodes of disability, single suicide attempt.
Under this scenario an insured would typically be declined with the first year of recovery, have an additional charge of 100%- 150% within 2nd to 3rd year of recovery, have an additional charge of 50%- 100% within 4th to 5th year of recovery, have an additional charge of 50%- 75% within 6th to 9th year of recovery.
Information needed to quote for life insurance with depression and anxiety disorders
When searching for the most affordable rates on life insurance with depression and anxiety disorders it is important to be up front with your agent.
Your agent will be your biggest advocate in finding you the lowest rate for life insurance. It is important that you work with an expert who specializes is securing coverage for individuals looking for life insurance with depression and anxiety disorders.
Quite frankly, there are only a few insurance companies in the industry that specialize in offering affordable life insurance with depression and anxiety disorders. Below are some of the questions these companies will need answered in order to offer you the most affordable rates:
- Male or Female
- Date of Birth
- Exact diagnosis of mood or anxiety disorder
- Date of episodes
- Current or past medications
- Any history of substance abuse (drugs or alcohol)?
- Ever been hospitilized, required Electroconvulsive therapy, been in the ER, or been disabled for psychiatric symptoms?
- Any tobacco use history?
- Any other major health problems such as diabetes, cancer, heart disease, etc.
In addition to the above questions, your agent will need to know the amount of insurance protection you need, the plan of coverage (I.E. term life or whole life)
Once the information above is secured, the agent will talk to several insurance companies and discuss your situation. It is important to remember to not apply to several different insurance companies. This will only hurt your chances of finding the most affordable coverage. Insurance carriers will check the medical information bureau (MIB).
An experienced agent, who specializes in finding the most affordable life insurance with depression and anxiety disorders, will then present you with offers from the different companies. Once you agree on the best plan, then and only then should you make a formal application to the insurance company.
If you are searching for the best and most affordable life insurance with depression and anxiety disorders, then please contact us at 1-888-393-9003 or contact Mike Raines at mike@specialriskterm.com
