Can You Get Life Insurance If You Have Cancer?

Getting life insurance after a cancer diagnosis can be a challenge, but it’s often still possible. Your options will depend on the coverage you need, your diagnosis, and your overall health. Life insurance can give you peace of mind that your loved ones or dependents will have some financial support if you die.

How cancer can impact life insurance

People with cancer can still qualify for life insurance, but options, including costs, may be impacted. Life insurance companies look at the person’s overall health to decide if they qualify, how much coverage they can get, and how much they will pay.

Some requirements can be different depending on the company, but some common things they might ask include:

• The type and stage of cancer
• Treatment history and when treatment ended
• If you’re in remission and for how long you have been in remission
• Your overall health and any other medical conditions
• Lifestyle habits such as using tobacco or drinking alcohol
• Family history including general health history and history of cancer

Depending on the answers to these questions, you may be more likely to find plans with higher premiums. You may also find plans with less coverage, and there may be a waiting period before benefits are paid. Some companies will consider you for traditional life insurance policies if you’ve been cancer-free for a set number of years.

Types of life insurance options

There are different types of life insurance to consider. The two main types are term life insurance and permanent life insurance.

Term life insurance

Term life insurance covers you for a certain amount of time. Often you can choose a coverage term of 5, 10, 20, or 30 years.

• Monthly premiums often cost less than permanent life insurance policies.
• Some may offer an option to renew at the end of the term. Or they may allow you to change to a permanent policy.
• Premiums can increase if you renew. In some cases, they will cost more if you have new health changes.

Permanent life insurance

Permanent life insurance provides coverage for your lifetime as long as premiums are paid.

• These are also called whole life insurance or cash value insurance.
• Some may build cash value over time that you can borrow against under certain conditions.
• Usually, premiums are higher than term life insurance policies. But they are fixed and won’t increase as you age or if your health status changes.

Different types of permanent life insurance offer a couple of options:

• Whole life insurance: You pay premiums on a set schedule.
• Universal life insurance: You can choose a flexible payment schedule if you meet certain requirements.

It’s important to review and compare your options, then choose the plan that fits your needs and budget.

Guaranteed life insurance

Some permanent life insurance policies may have an option called guaranteed life. These policies offer an option that doesn’t ask about health information and does not require you to have a physical exam. You are “guaranteed” to be accepted for coverage.

However, these policies usually have higher premiums and might not pay out as much as other policies. There’s also usually a waiting period of 1 to 2 years before full benefits are paid.

Group life insurance

Some employers offer group life insurance plans as part of their benefits. Group plans may be term life insurance or permanent life insurance. Often, these plans are easy to enroll in, may not require a physical exam, and may cost little to nothing for you. However, the coverage might be limited. And the coverage is often based on your salary.

This type of coverage is tied to your job. If you lose or leave your job, you usually cannot keep this coverage. You might be able to change it to a personal policy, but the cost will be higher.

Life insurance riders

Some life insurance companies offer optional add-ons called riders. You can add these to your primary life insurance policy for extra coverage. People with cancer might consider riders that include:

• Accelerated death benefit (ADB) and terminal illness riders: Allows you to use some or all of your death benefits while you’re still alive under certain conditions.
• Critical or chronic illness riders: Gives you access to death benefits if you’re diagnosed with certain serious illnesses.
• Child and spouse riders: Pays out a set amount if a covered family member dies during the rider policy’s term.
• Family income riders: Provides monthly payments to your family for a set time period after your death.

Life insurance riders can be added to both term and permanent life insurance policies. It’s important to review the details because they may increase the costs of your policy.

Shopping for life insurance

One of the best things you can do when looking for life insurance is to compare quotes from more than one company. Then you are more likely to find one that fits your needs and budget.

Keep these tips in mind when looking for life insurance:

• Compare costs and coverage. Look at many types of insurance to make sure you have coverage that you need within your budget.
• Be honest. Provide correct information about your health on your application. If information is missing or incorrect, it could be denied.
• Carefully choose a beneficiary. Most life insurance companies won’t pay a minor. Instead, think about leaving the money to an adult you trust.
• Review your current policy. If you already have life insurance, make sure the policy still meets your needs.
• Keep what you have. It might be easier to keep the policy you already have than to look for a new policy, especially if you have health changes.