Buying Life Insurance After Being Diagnosed With Cancer

The American Cancer Society estimates doctors willorganizing them.
diagnose over 1.4 million new cases of cancer in theBy directing your application to life insurers that will
U.S. in 2007, with more than 559,650 cancer-relatedview your application most favorably, these brokers
deaths. If you are among the majority of cancerwill help you find the most accurate price quotes and
patients and survive for at least five years followingthe lowest premiums for life insurance. Always check
your diagnosis, you may face another fight: buying lifethe financial strength of the insurer before you buy any
insurance.policy and be sure that the agent or broker you
Buying life insurance for cancer patients is challenging,choose is licensed in your state.
but not necessarily impossible. Your chances forLife insurance strategies for cancer survivors
securing a policy depend greatly on the type, stageIf you are a healthy cancer survivor, life insurance is
and grade of the cancer, and even on the treatmenteven more feasible. There are things you can do to
plan. There is a relationship between the rate you'llensure you're getting the best premium offers possible
receive and the curability of your cancer. Certain typesfor your situation.
of skin cancer, for example, are considered very low1. Gather all possible medical records before you apply,
risk by life insurance companies and a skin cancerfrom the first pathology report to medical records to
history may not even impact premiums.treatment records. That ensures medical underwriters
Applicants with common and treatable forms ofhave the most complete picture of you, your health,
breast and prostate cancer may be able to get aand your cancer history. Having all those records
"standard" rating under ideal circumstances. Butbefore you apply for cancer insurance will reduce
patients with a history of leukemia or colon cancerdelays in your application process, because your life
may fall into a "substandard" or "high substandard"insurer is going to request them and will wait for them.
rating at best, or receive declines. Anyone with cancerThe information you provide can garner you better
that has metastasized likely won't be able to obtain apremiums in the end: The less life insurer underwriters
policy.knows about you, the more likely they are to have to
Dr. Charles Levy, senior vice president and chiefassume you are the highest risk and offer you high
medical director of AIG American General Domesticpremiums accordingly. According to Levy, "If it's fuzzy,
Life Insurance Cos., says, "We're better and betterwe're more likely to err on the side of conservatism."
able to differentiate the risks of individual cancers." Life2. Make sure you have complied with your doctor's
insurers like AIG American General have sophisticatedtreatment plans. For example, says Levy, if your
tables to determine premiums, where they can factordoctor asked to see you back in one year and you
in cancer types and treatments. The end result ishaven't been back in four years, get to your doctor for
better premiums because applicants aren't lumpedyour check-up before you apply for life insurance.
together as an "average."Your life insurer is not going to offer you a policy
Most insurers will not offer a policy to someone who iswithout before seeing the results of that check-up.
still undergoing treatment for cancer. Depending onSimilarly, if you've had breast cancer and you're due
your type of cancer, the life insurer may also want tofor a mammogram in December and you apply for
add a surcharge, also called a temporary flat extra.cancer insurance in October, your life insurer will likely
For example, AIG American General sometimeswait for the results of your next mammogram.
charges temporary flat extras for two to five years,3. Get prices from several companies. Policy costs
depending on the applicant's cancer and treatment.can vary a great deal among companies.
The good news is that although these extra premiums4. See if you can get group life insurance through a
can be expensive, they will automatically disappearprofessional, fraternal, membership, or political
after a set period of time.organization to which you belong.
Cancer insurance risk specialists5. Consider a "graded" policy (one with limited benefits)
While a dedicated life insurance agent will searchif you cannot get full death benefits. In the first few
cancer insurance companies to find insurers that willyears of a graded policy, the company pays only the
sell you a life insurance policy, in some cases you maypremiums and part of the face value if the insured
be better off seeking out a broker who specializes inperson dies of a condition, such as cancer, that existed
finding life insurance for people who have a history ofbefore the policy took effect. If the insured person dies
cancer.after the specified grading-in period, the company will
These brokers will know the specific questionspay the full face amount of the policy.
underwriters will want answered when consideringIf your cancer has been successfully treated, and you
your application. Many brokers have developedare otherwise in good health, you can likely obtain a
relationships with several insurers, so they know whichcancer life insurance policy. If you can show that you
companies offer the best-priced life insurance policiesare healthy and your treatments have gone well,
for cancer survivors. Some brokers have experts whoseveral insurers may compete for your business.
specialize in gathering your medical records and