The initial stress of being told that someone has cancer can for many people be devastating. The experience can either be negative or many remain positive about this life event. Either way, a lot of thoughts and feelings are going on during this time.
In the past, the opportunity to be considered for life insurance was either not an option or expensive if even available, or offered after a considerable length of time since remission.
Today however, there are better chances of qualifying for life insurance for women and men with certain types of cancer. Even the possibility to issuing policies on a standard basis without additional premium surcharges may be offered and in some cases without a waiting period after treatment before applying for insurance.
A few life insurance companies in recent years have improved their underwriting capabilities on certain types of breast and prostrate cancer.
For example, one company will consider a standard issue policy (subject to favorable medical history, lab – x-ray and other test results) on first time breast cancer patients for localized small (1 cm. or less Stage 1) tumors and with strong prognosis.
Another company will do the same and offer insurance immediately after surgery but with a small extra charge for a few years, then standard premiums. They will also consider preferred premium rates for women with noninvasive (Stage 0) cancer. And Stage 1 tumors larger than 1 cm. maybe offered after a one year waiting period with a temporary surcharge. Other cancer situations may qualify for life insurance after a certain time has passed and then subject to favorable results.
Prostate cancer history with men has also seen improved underwriting with another insurance company that may offer standard rates if age 70 and up, has been treated with radiation for moderate aggressive cancer, and a PSA level of 0.5 or less after treatment. For ages 60 and up, possible standard rates may be offered after surgically removed. Any underwritng decisions may be affected if there is a history of other medical conditions.
A recent study indicates in the next few years that women will own 60% of the wealth in the U.S. Women however, fall short of life insurance coverage compared to men. The use for life insurance can:
1) Replace income lost due to a family wage earners death. Many times that’s a working married mother or a single (stay-at-home) mom raising children. Maybe having money for college education is important.
2) Replace caregiver costs of taking care, both physically and financially, for a parent.
3) For a small business owner, the money available for succession plans to fund
business buy-sell agreements with other owners or partners and,
4) Any final expenses for funeral costs, uninsured expenses, cover taxes that may be
due, estate administrative costs, etc.
So, with advances of more aggressive and favorable experiences in underwriting certain types of cancer’s, the opportunity by some companies to offer life insurance has opened the door where once closed, or were highly ratable, or at least postponed. If the insurance need is there, then explore the possibilities. It may be available where once it was not.
A current life insurance policy that was issued with an extra rating for cancer and is five years or older may be worth checking into to see if a medical underwriting review is possible.
Cal DesVoigne
LifeStyle Financial Resources, LLC
Wilmington NC www.LifeStyleFinancialResources@gmail.com
We do not provide legal or tax advice. Consult your own legal or tax providers for assistance
Any insurance company offers are subject to actual medical history and underwriting results
