you have decided on the right
insurance plan, what's the process of
applying for the actual coverage.
Let's now take a look at the term life
insurance enrollment process.
first step is to complete your term life
insurance application. This is the
formal contract between you and the
carrier to establish coverage.
Each carrier has a slightly different
spin on the application but the key
items are the same. We provide
online downloadable application for the
major carriers at our Term Life
Insurance Application center.
Let's look at the major sections of the
term life application.
General term life application
first part of your application is the
general information. This is
pretty self-explanatory but you want to
make sure to be precise when dealing
with such a contract.
The life insurance beneficiary section of the the term
life app is critical. This where
you officially state who will receive
the life benefit if the coverage is
triggered. It's very important to
be exact (i.e. don't say spouse but
specify person's name and SS#), and to
keep the designation current once the
policy is established. You can
find more important information in our
term life insurance beneficiary section
about the do's and don'ts regarding beneficiaires.
dreaded Health History section
part makes up a great part of the term
life application. Life insurance
application health history sections can
even be more involved than health
insurance applications. This is
term life insurance carriers are
concerned with a different set of
underwriting risks than health insurance
carriers. What makes a person sick
may be very different than what causes
death. In insurance parlance, it's
call morbidity (sickness) versus
life insurance apps can even delve into
family history as many mortality
underwritten issues have a family or
genetic basis. Heart disease is an
example of this. It's important
that you honestly and thoroughly
complete the section for two reasons.
First, if information is incorrect or
incomplete, it can affect the viability
of the coverage. Secondly, health
history (along with the
paramedical exam described later in the article) will
affect the final offered rates.
The carrier have various health classes or
tiers according to your health and
health history at the time of applying
for coverage. Habits that impact
health such as excessive drinking or
smoking can also affect your final
the term life insurance application is
complete, you are officially in the
underwriting process. The next big
step is the paramedical exam.
There is typically no cost associated
with this exam. The carrier
contracts with companies that schedule
an appointment with you to complete a
blood test and physical exam at your
location. Such issues as high
cholesterol, blood panel irregularities,
height/weight can be detected and
factored in the carrier's final rate
offer and/or the ability to qualify.
It's not uncommon for a person to
discover a previously unknown health
issue as a result of such tests.
application and the paramedical test
make up the primary parts of the term
life insurance enrollment process.
The time it takes to process and receive
back a decision depends on the carrier
and your given health situation.
Either way, we as
licensed term life
insurance agents are here to help assist
you with this process.