Are white lies ok on a life insurance application?
Undecided Question
Are white lies ok on a life insurance application?
I can get a better rate on new term life insurance because I do not need a medical exam from AAA but I take a prescription for high blood pressure which has been controlled for many years but my current policy has a red flag in there for it from 20 years ago. Do I have to tell AAA about the prescription for high blood pressure and the fact that I already have a policy now because if I do I fear I won't get the advertised rate which will kill the savings. Opinions appreciated.
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15 Responses
2.1.2010
They will find out and when they do they will cancel the policy.
2.1.2010
You can lie if you want and pay them your premiums every month and when you die, and they discover you lied (which they do) your family gets nothing and you lost all that premium money. Source(s): AAA Claim Adjuster
2.1.2010
Would you rather get the advertised rate but then when you have a claim, have it disallowed because you get caught for having lied? That doesn't sound like a very good way to go.Tell the truth.
2.1.2010
Well if you lie on your application and then they find out they'll deny the claim and you'll have paid all those premiums and get nothing in the end.
2.1.2010
If you make a false representation on a life insurance application you have:1. Committed a crime2. Enabled the insurance company to declare the contract null and void from the outset. All they would have to do is return the premiums received.
2.1.2010
As already stated, lying on the application can void your policy. Source(s): I work for a Fortune 100 Life Insurance Company, New Business
2.1.2010
No – it will void the policy.
2.1.2010
Sure, as long as you realize if you die, the insurance won't pay out, because the white lies void the policy.They're going to find out about it. They'll check with MIB. And then they'll cancel you for your lie, and that lie will follow you for every other application you file, because it will go on record at MIB.And, for the record, it's not a 'white' lie. It's a material misrepresentation. A white lie, is telling someone they don't look fat.
2.1.2010
Agree with Catz on the difference between material misrepresentation and white lie. Blood pressure makes a difference in your life expectancy. Answering no to ever smoke marijuana in college is a white lie.
2.1.2010
That's not a white lie if you have high blood pressure. A white lie that is ok not to tell them about is your ingrown toenail that you had removed last month. In other words lying about something that can kill you (like a heart attack) is dumb because you're really not covered.
2.1.2010
chances are this non medical term life is more expensive than if you went through a medical necessary carrier and got the 2nd best or even 3rd. non med means more $$$$$
2.1.2010
The truth will make you free
2.1.2010
A lie is still a lie.Omitting the information (intentional or not) is grounds for the policy to not pay off when you die.
2.1.2010
Yes, you must answer the questions truthfully. Many policies will also request your history from the doctor.
2.1.2010
In this case NO !!!!! Full disclosure in the cases of life insurance is always best.Insurance companies have teams of people who investigate when it's time to pay a death claim … don't take a chance …the only time I would ever tell someone to lie, is when it comes to have you or anyone you know ever down drugs … if it was high school or college and no rehab … there is no need to tell the insurance company that.same with counseling … if you gained the freshman 15, and felt sad, so you went and saw the counselor a few times … there is no need to tell the insurance cmpany that … (they will just rate you up for mental illiness)