{"id":680,"date":"2013-10-26T11:48:50","date_gmt":"2013-10-26T15:48:50","guid":{"rendered":"https:\/\/blq.wpengine.com\/blog\/?p=680"},"modified":"2021-02-24T15:11:19","modified_gmt":"2021-02-24T20:11:19","slug":"can-your-job-make-you-uninsurable-for-life-insurance","status":"publish","type":"post","link":"https:\/\/www.bestlifequote.com\/blog\/can-your-job-make-you-uninsurable-for-life-insurance\/","title":{"rendered":"High Risk Occupations and Life Insurance"},"content":{"rendered":"

People don’t usually think about high risk occupations being a concern with insurance. It’s obvious that pre-existing health conditions, such as smoking or being overweight, cause providers to worry about their liability risk when discussing coverage options.<\/p>\n

In those cases, insurance providers have every reason to be concerned since these types of policyholders would have a higher fatality rate. Consequently, this could lead to more insurance claims coming their way.<\/p>\n

But a high risk occupation or hobby<\/a> can also leave you lacking when it comes to life insurance.<\/p>\n

Or, you may end up paying costly monthly payments \u2013 in some cases up to four times higher or more \u2013 than those applicants life insurance companies consider \u201csafe.\u201d<\/p>\n

What Is Considered A High-Risk Occupation?<\/h2>\n

\"HighWhen providers encounter applicants who are more likely to file an insurance claim, these individuals are then categorized as “high-risk.”<\/p>\n

For instance, an applicant would be considered high-risk if they engage in a dangerous hobby that increases their odds of perishing.<\/p>\n

However, realize that this high-risk categorization impacts various forms of coverage (home or renters, auto, health, and life) in different capacities.<\/p>\n

Any of the following scenarios could earn you the label of \u201chigh-risk\u201d:<\/p>\n

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  1. An increase in premium for the policy’s term or for a specific time frame.<\/li>\n
  2. An outright decline of coverage.<\/li>\n
  3. A decline on a specific add-on provision while still being underwritten. For example, if you have a dangerous job, you may still qualify for life insurance (and avoid the high-risk label). However, you may not be deemed a good fit for the waiver of premium (a clause waiving your obligation\u00a0to pay monthly payments if you suffer from an illness or become disabled) due to your job.<\/li>\n<\/ol>\n

    Are You At Risk?<\/h2>\n

    Obvious factors, like smoking, drinking excessively, being overweight, taking certain medications (like anti-depressants) and a severe health history can easily land you in this high-risk category.<\/p>\n

    However, it\u2019s quite possible that your job could also earn you the rating of high risk. That\u2019s because some hazardous occupations involve a higher risk of perishing on the job than others.<\/p>\n

    The jobs that insurance companies consider to be high-risk are many the U.S. Bureau of Statistics says<\/a> carry the highest rates of job-related accidents and deaths.<\/p>\n

    These occupations include the following:<\/p>\n

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    1. Police Officers:<\/strong>\u00a0Municipal police officers are not labeled high-risk unless they work in a special\u00a0unit, like\u00a0the\u00a0bomb squad or SWAT team. State troopers and county sheriffs may be rated high-risk, but it depends on their state\u2019s regulations.<\/li>\n
    2. Firefighters:<\/strong> Municipal fire firefighters are not labeled high-risk, but firefighters in a mine and on an oil rig will be rated high-risk.<\/li>\n
    3. Underground Miners. <\/strong>Most people think of mining as a job of the past, but there are still millions of underground miners today. According to some studies, 50 to 60 miners die every year on the job.<\/li>\n
    4. Pilots.<\/strong> Private and commercial pilots are both considered high-risk jobs by many insurance companies.<\/li>\n
    5. Agriculture and Forestry.<\/strong> Logging is often labeled a high-risk occupation. And in some regions, farmers and ranchers are deemed high-risk by insurance providers.<\/li>\n
    6. Construction Workers.<\/strong> Work that involves structural steel or being part of a highway construction crew earns the label high-risk. Otherwise, traditional construction (building homes, etc.) work is not generally considered high-risk.<\/li>\n
    7. Offshore Oil Rig Workers.<\/strong> Onshore rig or refinery workers are in the clear.<\/li>\n
    8. Offshore Commercial Fishermen<\/strong>. Just about anyone in a small boat (most private or family-owned fishermen) gets rated high-risk pretty quickly. But, there are cases where even if you\u2019re on a big boat (crab fishermen), you could still be labeled high-risk. If you stick to fishing in-shore, you\u2019re good.<\/li>\n<\/ol>\n

      What Are Your Options?<\/h2>\n

      First, see if your insurance carrier can offer you a formalized exclusion to maintain low rates. So, if death does occur while the high-risk occupation is recorded as the exclusion, named beneficiaries won’t be able to take advantage of the payout.<\/p>\n

      For example, let’s say a pilot applies for an aviation exclusion. However, air-related claims would only be covered if the pilot schedules a commercial flight for personal reasons, not business.<\/p>\n

      Hobbies Can Hurt, Too<\/h2>\n

      Insurance providers do not only look at your dangerous occupation when considering high risk. High-risk hobbies may end up paying more expensive premiums, too.<\/p>\n

      These\u2013 and similar adrenaline-producing hobbies – could dramatically raise your insurance rates:<\/p>\n