Consequences of Lying About Your Lifestyle During a Life Insurance Exam
The consequences of lying about your lifestyle during a life insurance exam might seem obvious to a lot of people, however there are plenty of consumers that still consider this as a viable option. However, if they were aware of the ramifications of their actions before they did them, they would rethink that whole approach. This is because even though you may be able to obtain life coverage in the military using that false information, the company is under no obligation to leave that plan in place. In fact, they give themselves an exit strategy for consumers like this because obviously their liability risk is higher. If you are not going to be honest with the life insurance company from the very beginning, then you're not only cheating them, but also yourself. Wouldn't it be much better to have a life insurance plan that would actually take care of your needs?
Smoking and Drinking Risks
For questions such as smoking and drinking, make sure that you honestly let them know how often you participate in those activities. Not only is this important to help them determine your current state of health, but also the likelihood that you will experience increased difficulties in the future. While the symptoms and effects of smoking and drinking may not show up right away, they will do so in a few years. Oftentimes, by the time the symptoms actually start showing up, the problem has spread to many more areas of your body as well. Because the insurance companies know this, they ask you specific questions like this to evaluate how much of a risk you are going to be. It also tells them how much they will be spending approximately on final bills if it comes to that.
If everything has gone through and then they receive information from professional sources that indicate you have lied during the exam, such as urine test results or other information, they can withdraw their offer. They are not required to offer you service as a life insurance company and this may go as a note on your official record. What does that mean? That means that anyone who pulls up your data to offer you a life insurance quote will see that you were denied coverage because you gave the company false information. Do you think that's going to make you any more attractive to a different provider? Of course not, and in fact you made find it difficult to receive service anywhere.
Denial of Life Insurance Benefits
Another situation to consider is your family being left behind with medical expenses and bills that need to be paid. If it's proven that you died from causes that were not included on your life insurance policy, they don't have to pay benefits legally. A common example of this would be if someone died of liver disease. If that disease was traced back to years of alcohol abuse, with a policyholder who claimed they never drank, the life insurance company is not going to pay the family anything. This creates a hardship on them because now they have to come up with the money to pay those final expenses, when they were under the impression you had all of this taken care of. It is much better and less stressful for everyone involved to simply tell the truth and then ask for help with those conditions if you're having trouble quitting on your own. The consequences of lying about your lifestyle during a life insurance exam far outweigh any results you may see from withholding information.
