mikemike said:
What is the name of your state? Washington
Hi, a friend has Hep-B (is a Carrier only w/o symptoms) and wants to get Life insurance but is concerned about being turned down. If this person does not list this on the application (assuming a "no medical exam policy"), can the insurer deny payment if the person dies several years later from a non-related condition? (Assuming all payments were made)
Would the rates be out of control or policy denied if the condition is disclosed? Also will that info be part of the Insurance companies Health Database accessable to all other companies??
Thanks
Mike
Generally, if he dies within 2 years, then the insurance company can deny the claim, and return the premiums to the beneficiary.
Just like any other insurance policy, the rates are based on the risk.
Information from
www.mib.com:
FICTION #1 – MIB reports what action other Insurance companies have taken so if Companies A and B have declined the prospect, it makes it easier for Company C to do so without having to dig any deeper.
FACT - MIB is a not-for-profit incorporated trade association operating since 1902. There are over 600 member companies who agree to share information in the form of medical and avocation "codes". There are approximately 230 codes, which MIB uses to signify different medical conditions. A very few of these indicate risks involving hazardous avocations or adverse driving records, etc. These codes DO NOT indicate what action another company took. . .only that further investigation may be warranted.
Also, MIB does not report actual details about the person's medical condition or problem. The codes are simply act as red flags, and alert companies to the fact that there was information obtained and reported by a member company on this particular impairment or avocation risk. For example, if an underwriter, while reviewing medical records discovered that this person had had a heart attack, there would be a specific code to indicate that, and the underwriter would check MIB for such a code and if there was none there, he or she would add this code to the file.
Here's an analogy agents can use to explain MIB to clients. When an inquiry is made by a member company, MIB only tells them that the time on their watch is DIFFERENT from what another member has reported it to be. It will still be up to the individual company to determine for themselves which time is more accurate.
