Understanding Insurance Basics

Life and Health Insurance

Evidence of insurability

As part of the underwriting process, life and health insurance companies may require that you complete a medical questionnaire or exam, also called Evidence of Insurability, before approving you for a policy.

Basic medical questionnaire

Some types of insurance, such as group policies, may require only that you sign a general statement about your health or respond to a short medical questionnaire before approving you for coverage.

• Coverage will usually begin immediately.
  
  
• Illness is assessed at the time of the claim.
  
  The insurer may review your medical information and confirm whether you qualify for coverage only when you make a claim.
  
  
• The insurer may cover pre-existing conditions if you have been free of the illness for a period of time as defined in the Certificate of Insurance or the terms and conditions.
  
  

Detailed medical questionnaire

In addition to completing a detailed medical questionnaire about your past health history and lifestyle, some types of insurance, such as individual policies, may also require that you provide medical records and undergo medical testing, such as saliva or blood tests.

• Coverage will not begin until the insurer has reviewed your medical information and confirmed that you qualify for coverage.
  
  
• Illness is assessed at the time of the application and the medical information provided will determine whether you qualify for coverage.
  
  
• The insurer will review your medical information and decide whether to cover or permanently exclude any pre-existing conditions.
  
  Some insurers may agree to cover pre-existing conditions at a higher premium.

For most types of life insurance, the insurance company cannot increase your premiums based on a change of health after your policy is issued.

Be sure to read your policy carefully and be aware of any exclusions relating to pre-existing conditions.