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Impaired Risk

One of the areas of disability underwriting is medical underwriting. This is where the process of underwriting the individual disability product can differ dramatically from Life and Long Term Care insurance. With life insurance, medical underwriting has to determine that the applicant is not exposed to or predisposed to something that could possibly end their life prematurely. Long Term Care underwriters need to determine if the applicant is going to need assistance with the ADL's any time soon. Disability underwriters need to make sure that the applicant is going to be well enough to work, full time, for the foreseeable future.

It is important to know, ailments or injuries, or a predisposition to either, that would not affect life or long term care underwriting, could decline someone for disability coverage. Yet there are products available that will provide coverage to those that have been declined elsewhere because they have been deemed an Impaired Risk. These products are not necessarily the most comprehensive plans but they will provide coverage to those who cannot obtain it from the traditional market. See the Medical Underwriting file in Broker Resources.


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