Maybe you are wondering how a chronic medical condition like PTSD (Post-Traumatic Stress Disorder) can affect your ability to get life insurance. Well! That’s true. Life insurance for PTSD is hard to find but still possible.
PTSD is one of those health conditions that may fall into the category of high-risk life insurance. Most insurance companies are concerned about it as it’s a red flag because it’s a mental health disorder that leads to depression and then a high risk of suicide.
Eager to know more about life insurance plans for PTSD? This blog post is for you. We are going to talk about almost every aspect and fact about life insurance for PTSD. Let’s discover facts together!
Can you get life insurance for PTSD?
Yes! You can certainly get life insurance for PTSD. It’s a medical condition and treated just like any other medical condition but being risky it will be a challenge to get a reasonable life insurance plan.
Mostly PTSD is associated with military veterans or active service members who may have experienced combat. According to a report, about 20 million Americans are struggling with a PTSD diagnosis. No matter what, this disorder impacts both military persons and civilians just the same.
What is PTSD?
PTSD is the abbreviation of Post Traumatic Stress Disorder. It is a mental health condition that may develop when a person experienced or witnessed a traumatic event. Some events that can trigger it may include natural disasters, military combat, physical or sexual assault, or other violent attacks.
Several types of PTSD have been identified today that will also be taken into consideration by some insurers. These types are:
1- Acute PTSD
This type of PTSD refers to the instant response to some traumatic event. Its symptoms appear within the first three months of the incident and may include intense feelings of sadness, fear, and anxiety.
2- Chronic PTSD
A longer-term disorder that may develop when symptoms of acute PTSD persist for more than three months. People suffering from chronic PTSD have persistent and recurring symptoms that interfere with their daily lives.
3- Delayed Onset PTSD
It’s another type of PTSD that refers to the development of symptoms that may appear after six months or more from a traumatic event. It’s a less common type of PTSD but still, it occurs and mostly hits those individuals who have mental health issues or other risky factors.
Note that an individual having PTSD can experience symptoms from more than one type of this disorder.
What are the types of Life Insurance for PTSD patients?
Fortunately, people with PTSD have all the same options for life insurance just like a normal person. These options may include:
- A permanent life insurance plan
- Term life insurance plan
- Guaranteed issue life insurance plan
However, the main question is which insurance provider will work best with your particular PTSD diagnosis and history. Before choosing one, make sure the company will present less of a hassle in providing coverage while also offering some exceptional benefits and insured needs.
How does PTSD affect your life insurance plan’s premiums?
Typically, a person having mild and well-controlled PTSD without any hospitalizations or suicidal attempts can qualify for a standard rate class. Remember that the more serious your PTSD is, the down you will fall in the rate class table. However, the impact on the premium is all determined by your selected life insurance company. But generally, the higher your risk, the higher your plan’s premiums will be.
In addition, if you are suffering from severe PTSD, don’t worry about being declined, a guaranteed issue life insurance plan will best fit you. Its application process is quick and easy as there is no medical exam to go through. That’s the reason policy will be issued very fast, even within the same day.
Meanwhile, death benefits for a guaranteed issue plan may vary from $5,000 to $30,000 based on insurance companies. According to most life insurance policies, the plan will have to be in force for 24 or 36 months before a full face amount will be paid to the beneficiaries.
Best Life Insurance for PTSD
If you want the best life insurance plan, have no hospitalization, no suicidal attempt history, and have mild PTSD, most probably you will qualify for a standard rate class. Generally speaking, your life insurance options depend on the severity of your PTSD.
However, if you get declined for a traditional life insurance plan, don’t fret, you will have the option of a guaranteed acceptance plan. It comes with a two to three-year waiting period, but it’s better to have something than nothing.
Life Insurance for Veterans with PTSD
For veterans and even active service members having PTSD, Veteran Affairs provides some additional life insurance options. It provides them and their families with more than 1.3 Trillion dollars in life insurance plans each year. Here are some of the best life insurance options for them to avail.
Servicemembers’ Group Life Insurance (SGLI)
It is the best life insurance plan for an active-duty military member. SGLI is a low-cost term life insurance plan providing a maximum death benefit of $400,00. The plan doesn’t require an application or medical underwriting process and the premium amount will automatically be deducted from your basic pay. SGLI only covers active duty members so once you retire from the military you have to find another life insurance plan.
Veterans’ Group Life Insurance (VGLI)
You may have the option of converting your SGLI insurance plan to a Veterans’ Group Life Insurance Plan. while converting you don’t have to answer any health questions. This rule remains the same as long as you apply for VGLI life insurance within 240 days of separation. Moreover, veterans have time of one year and 2 months to apply for this plan and keep their coverage as long as they want and continue to pay the premium.
Hence concluded that people with PTSD have various options when it comes to life insurance plans. Although it isn’t easy to talk about your personal PTSD experience, don’t let this disorder discourage you from getting the right insurance plan for a better future.
How to Get Life Insurance with PTSD?
Acquiring life insurance with PTSD involves specific considerations to navigate through the process successfully. While it might seem challenging, securing coverage is feasible with the right approach.
1- Understand Your Condition
Begin by comprehending your PTSD type and severity. This insight helps when discussing options with insurance providers.
2- Research and Compare
Explore various insurance companies specializing in covering PTSD patients. Compare their policies, considering coverage, premiums, waiting periods, and benefits offered.
3- Consult an Expert
Seek guidance from a knowledgeable financial advisor experienced in handling cases related to PTSD. Their expertise can streamline the selection process, ensuring you obtain the most suitable policy.
4- Provide Accurate Information
When applying, furnish truthful and detailed information regarding your PTSD history and treatment. Honesty is crucial in securing appropriate coverage.
5- Consider Specialized Plans
Investigate specialized plans or those designed explicitly for veterans and active service members. These often offer tailored coverage catering to PTSD-related needs.
6- Evaluate Waiting Periods
Understand waiting periods associated with different policies. Some plans may have shorter waiting times or immediate coverage, while others might entail longer waiting periods.
Remember, while it might seem complex, obtaining life insurance with PTSD is feasible with proper research, honesty, and guidance from professionals specializing in this area. Prioritize finding the best-suited plan to secure your future effectively.
The Final Word
In the end, it’s not only quite possible but simple to get life insurance for PTSD patients. No worries if you have post-traumatic stress disorder, you are covered for this condition. So get quotes from different insurance companies and secure the best possible plan according to your current situation. You can also discuss your situation with an experienced financial advisor who guides you properly for your needs and helps you to get a better policy.
Frequently Asked Questions (FAQs)
1- Can I qualify for life insurance if I have a history of hospitalizations due to PTSD?
Hospitalizations due to PTSD can affect your eligibility for standard life insurance plans. In such cases, you might consider guaranteed issue life insurance options that don’t require medical exams or assessments of your health history.
2- Will my premiums increase if I have a PTSD diagnosis?
The severity of your PTSD can influence the premium rates. Mildly controlled PTSD might qualify for standard rates, while more severe cases might face higher premiums or specialized plans. Seeking quotes from multiple insurers is advisable to find the most suitable option.
3- Are there waiting periods associated with life insurance plans for PTSD?
Guaranteed issue plans often have waiting periods before the full death benefit becomes payable. However, the waiting periods can vary significantly among insurance providers. Some plans might offer immediate coverage for certain conditions or after a shorter waiting period.
4- Can veterans with PTSD get life insurance outside of Veterans Affairs (VA) plans?
Yes, veterans with PTSD have options beyond VA plans. They can explore various insurance companies that offer specialized coverage for veterans, taking into account their military service and PTSD history.
5- Is there coverage for PTSD-related incidents in standard life insurance policies?
Most standard life insurance policies cover deaths resulting from PTSD-related incidents, given that the condition was disclosed truthfully during the application process. It’s essential to provide accurate information to ensure proper coverage.
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