How Does Depression Affect Your Life Insurance Policy?

life-insurance-policy-faqIn our ever-changing world and economy, depression is becoming a common thing. Millions of Americans suffer from chronic depression. There are many causes of depression: some people are genetically predisposed to depression while others suffer from it because of personal and financial reasons. It is normal to ask ourselves what is the correlation between life insurance and depression. The thought that our family will be financially secured gives us some relief and makes us happier.

Why does depression affect the policy’s rates?

An insurance agency will charge more a person who has a history of depression. This is because statistics show that depressed persons are likelier to die. They are also more predisposed to drugs like alcohol, cigarettes, and narcotics. Suicide is also possible, and since some states require agencies to cover death by suicide, a company is at risk of losing a lot of money by insuring someone who is suffering from depression.

How does a history of depression influences the chances of getting life insurance?

reasons-for-life-insuranceDepression is considered a pre-existing condition. However, it is not impossible to get life coverage if you have a history of depression. In some cases, you can even get preferred rates if your health is in a great condition. The gravity of your depression as well as the longevity are very important. Other things count too, like what medication you are taking and if you have a record of suicide attempts.

A history of suicide attempts, heavy medication, and no improvement will exclude you from getting coverage.

However, if your depression is kept under control by medication and if it does not put your life in danger, you can get life insurance at good rates. It always helps to continue taking the prescribed medicine and visit your doctor regularly. If you do this, the insurance agency will feel more secured. Keep in mind that only chronic depression can affect your insurance rates. If you have felt depressed once in your lifetime, you do not have to worry about higher premiums. Almost everybody has experienced a depressive episode at least once. Be honest and give all the necessary information about your condition! Honesty is the best policy! Regular checkups and properly taking your medication will help you get cheaper rates. Take all the necessary steps to improve your condition and do not forget to search for a good policy! If an agency denied you coverage, try another one!

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