jbm-logo

≡ Menu

Life Insurance, Psoriatic Arthritis, Frequently Asked Questions

In this article, we delve into the intricacies of life insurance approvals and explore the specific considerations and strategies individuals with psoriatic arthritis can employ to secure the coverage they need. By shedding light on this topic, we aim to empower those with psoriatic arthritis to navigate the life insurance landscape with confidence and gain the financial protection they deserve.

Understanding Psoriatic Arthritis

Psoriatic arthritis is a chronic inflammatory condition that primarily affects the joints, often occurring in individuals who already have psoriasis, a skin condition characterized by red, scaly patches. The symptoms of psoriatic arthritis can vary widely, with common manifestations including joint pain, stiffness, swelling, and tenderness. In some cases, psoriatic arthritis can also lead to nail changes, eye inflammation, and fatigue. The severity and progression of the disease can differ from person to person, ranging from mild joint discomfort to severe joint damage and functional impairment.

Causes of Psoriatic Arthritis

The exact causes of psoriatic arthritis remain unclear, but it is believed to result from a combination of genetic, immune system, and environmental factors. Having a family history of psoriasis or psoriatic arthritis increases the likelihood of developing the condition. Additionally, certain risk factors such as obesity, smoking, and a history of infections may contribute to its onset. The immune system plays a crucial role in psoriatic arthritis, as it mistakenly attacks healthy tissues and joints, leading to inflammation and the characteristic symptoms.

Psoriatic arthritis affects a significant portion of the population, although its prevalence can vary across different regions and ethnic groups. According to estimates, psoriatic arthritis affects approximately 15% to 30% of individuals living with psoriasis. It commonly emerges in adults between the ages of 30 and 50, but it can also affect children and older adults. The condition affects both men and women, although some studies suggest a slightly higher incidence in men. As awareness and understanding of psoriatic arthritis continue to grow, the accurate prevalence figures are likely to evolve.

Living with Psoriatic Arthritis

Living with psoriatic arthritis can significantly impact daily life and overall health. The chronic pain and stiffness in the joints can limit mobility, making it difficult to perform routine activities such as walking, climbing stairs, or even getting dressed. The unpredictable nature of flare-ups can disrupt work, social engagements, and leisure pursuits, causing emotional distress and affecting mental well-being. Moreover, the physical limitations imposed by psoriatic arthritis may lead to reduced physical fitness and increased risks of weight gain, cardiovascular diseases, and other comorbidities. Managing the symptoms through a combination of medical treatments, lifestyle modifications, and support from healthcare professionals becomes essential for maintaining the quality of life for individuals with psoriatic arthritis.

Impact on One’s Life Insurance Application

When it comes to applying for life insurance with psoriatic arthritis, individuals may face significant challenges. While some individuals with mild cases of psoriatic arthritis may be able to qualify for coverage at standard rates, those with moderate to severe forms of the condition may encounter difficulties in obtaining traditional life insurance coverage.

Insurance companies evaluate the risk associated with each applicant’s health condition, including psoriatic arthritis. They consider factors such as the severity of the condition, the frequency and intensity of symptoms, and the impact on daily functioning. Unfortunately, moderate to severe psoriatic arthritis may be viewed as a higher risk by insurers due to potential complications and long-term implications.

As a result, individuals with moderate to severe psoriatic arthritis may be denied traditional life insurance coverage. Insurance providers may perceive these individuals as more likely to make claims due to the potential impact of the condition on their overall health and mortality risk. This denial can be disheartening for those seeking financial protection for their loved ones.

In cases where coverage is offered, it is important to note that individuals with moderate to severe psoriatic arthritis are more likely to be offered substandard rates. This means that they may have to pay higher premiums compared to individuals without health conditions or those with less severe forms of psoriatic arthritis. These substandard rates reflect the increased risk perceived by insurance companies and can pose a financial challenge for individuals already dealing with the costs of managing their condition.

However, it’s crucial to remember that each insurance company has its own underwriting guidelines and may assess risk differently. While traditional coverage may be difficult to obtain, there are alternatives available for individuals with psoriatic arthritis, such as guaranteed issue or simplified issue policies. These policies typically have less stringent medical underwriting requirements or no medical exams, making them more accessible to individuals with pre-existing health conditions.

Options Available When Traditional Coverage is Not Possible:

When traditional life insurance coverage is unattainable, individuals with psoriatic arthritis still have alternative options to consider.

Guaranteed Issue Life Insurance:

Guaranteed Issue Life Insurance is a type of life insurance policy that guarantees coverage for individuals, regardless of their health condition or medical history. Unlike traditional life insurance policies that require medical underwriting and assessments of risk, guaranteed issue policies do not involve medical exams or health questionnaires. This means that individuals with pre-existing conditions or high-risk health profiles, such as psoriatic arthritis, can still obtain coverage without facing the risk of denial based on their health status.

With guaranteed issue life insurance, approval is typically guaranteed as long as the applicant meets the basic eligibility criteria, such as age requirements and residency. This type of policy is designed to provide a death benefit to the beneficiaries upon the insured’s passing. The death benefit amount is predetermined by the policy and remains fixed throughout the coverage term.

One key feature of guaranteed issue life insurance is the absence of medical underwriting. This means that the insurance company does not assess the applicant’s health condition, medical history, or lifestyle factors that could impact mortality risk. As a result, the premiums for guaranteed issue policies tend to be higher compared to traditional life insurance policies. Additionally, these policies often come with a waiting period before the full death benefit becomes payable. If the insured passes away during the waiting period, the policy may only provide a refund of premiums paid or a limited death benefit amount.

Guaranteed issue life insurance is typically seen as a viable option for individuals who have been denied coverage or cannot qualify for traditional life insurance due to health conditions like psoriatic arthritis. It offers a way to secure some level of financial protection for loved ones, even if other options are not available.

    • Pros: Guaranteed issue life insurance policies do not require medical exams or health questionnaires, making them accessible to individuals with pre-existing conditions like psoriatic arthritis. Approval is typically guaranteed, regardless of health status. These policies provide a death benefit to beneficiaries upon the insured’s passing.
    • Cons: Guaranteed issue policies tend to have lower coverage amounts and higher premiums compared to traditional life insurance. They often come with a waiting period before the full death benefit is payable, typically two to three years. If the insured passes away during the waiting period, the policy may only refund premiums or offer a limited death benefit.

Accidental Death Insurance:

Accidental Death Insurance, also known as Accidental Death and Dismemberment (AD&D) Insurance, is a type of insurance policy that provides coverage in the event of an accidental death or severe injury resulting in dismemberment. Unlike traditional life insurance policies that cover a broad range of causes of death, accidental death insurance specifically focuses on providing benefits in the case of accidental fatalities.

Accidental death insurance policies typically pay out a lump sum benefit to the designated beneficiaries if the insured person dies as a direct result of an accident. The coverage is usually limited to accidents caused by external, unforeseen events, such as car accidents, falls, drowning, or acts of violence. Deaths resulting from natural causes, illnesses, or suicide are typically excluded from coverage.

In addition to accidental death coverage, AD&D insurance may also provide benefits in cases of severe injuries resulting in the loss or dismemberment of certain body parts. These benefits are often structured as partial payments based on the severity of the injury or the extent of the loss suffered.

It’s important to note that accidental death insurance is separate from traditional life insurance and is meant to supplement it rather than replace it. It is designed to provide additional financial protection specifically in the event of accidental death or severe injury. The premiums for accidental death insurance are generally lower compared to traditional life insurance, as the coverage is limited to accidents only.

When considering accidental death insurance, it is crucial to carefully review the terms, conditions, and coverage limits of the policy. Each policy may have specific definitions of what constitutes an accident, exclusions, waiting periods, and benefit amounts. It is advisable to understand the policy details and assess how well the coverage aligns with your specific needs and circumstances.

    • Pros: Accidental death insurance policies provide coverage specifically in the event of accidental death. These policies often have a simplified underwriting process and are more lenient towards pre-existing conditions. They offer financial protection to beneficiaries if the insured dies as a result of an accident.
    • Cons: Accidental death insurance only pays out if the insured’s death is due to an accident, excluding natural causes or illnesses. This limitation may not provide comprehensive coverage or address the specific concerns associated with psoriatic arthritis.

Group Life Insurance:

Group Life Insurance is a type of life insurance coverage that is offered to a group of individuals who share a common association or affiliation, such as employees of a company, members of an organization, or participants in a specific program. It is often provided as a benefit by employers or as part of a group membership.

In group life insurance, the insurance policy is typically owned by the group or the sponsoring organization, and the coverage extends to the eligible members of that group. The policyholder is responsible for paying the premiums, which are often deducted from the members’ salaries or included as part of their membership fees.

Group life insurance policies typically offer a fixed amount of coverage, known as the death benefit, which is paid to the beneficiaries upon the death of an insured member. The death benefit is usually a multiple of the insured member’s salary or a predetermined flat amount, depending on the terms of the policy.

    • Pros: Group life insurance is often offered as part of employee benefits packages or through membership in associations or organizations. These policies may have less stringent underwriting requirements and can provide coverage to individuals with pre-existing conditions. Group policies are typically more affordable than individual policies, as the risk is spread across a larger pool of participants.
    • Cons: Group life insurance is often tied to employment or membership, meaning coverage may be lost if the individual leaves the group. The coverage amounts may be limited and may not meet the individual’s specific needs. Additionally, group policies may not offer the flexibility or customization options available with individual life insurance.

It’s important to note that these alternative options may have limitations and may not provide the same level of coverage or benefits as traditional life insurance policies. It’s advisable to carefully review the terms, conditions, and coverage limits of any policy before making a decision. Consulting with an insurance professional who specializes in high-risk cases can help individuals with psoriatic arthritis evaluate the available options and choose the most suitable coverage for their needs.

Final thoughts…

While obtaining traditional life insurance may present challenges, individuals with psoriatic arthritis should not be discouraged. By being proactive, informed, and diligent in their pursuit of coverage, individuals with psoriatic arthritis can find suitable solutions to protect their loved ones financially. Remember, the ultimate goal is to secure the necessary coverage that provides peace of mind and ensures the financial well-being of those who depend on it.