It’s hard enough to take care of your family while you’re here, but you also must consider how to take care of them once you leave here. Of course, thinking about how your family will carry on financially without you isn’t the most pleasant thing to think about, but it’s one of the most important.
The ability to get life insurance is something most of us take for granted. However, if you have a felony conviction, you know you can’t take for granted many things over which most people never lose sleep, including life insurance. So, can you get life insurance if you have a felony in your criminal history? We’ll answer that and more in this brief article. Hopefully, the following questions and answers will give you a better idea of what the business of insurance is like for people with felony convictions.
Can convicted felons get life insurance?
If you’ve committed a felony, one thing you’ll learn quickly is that finding a life insurance company that will offer you coverage is like finding a needle in a haystack. Indeed, most insurance companies will advise you not to waste your time with them if you have a felony on your criminal record. Dishonesty will do you no good, as life insurance companies do a background check as part of the underwriting process.
Even though finding life insurance for convicted felons is extremely difficult, it’s not impossible if you have the right contacts and resources. Your best shot at getting a life insurance policy if you have a felony on your criminal record is to go through an independent life insurance agent who works with different life insurance providers. You could also opt in to group life insurance if you’re employed and your company offers it, but your policy will only last as long as your employment with that company. If you already have life insurance and become a felon while you have coverage, continue paying for your life insurance policy unless and until the insurance company notifies you that they’re canceling your insurance policy.
What is the underwriting process for felons?
During underwriting, you’ll have to answer questions about your criminal history. Depending on the nature of the conviction, an insurance provider might issue you a traditional life insurance policy. Different insurance companies have their own guidelines for different types of crimes and will base your eligibility on the infractions on your criminal record, the amount of jail time you served, whether or not you’re still on parole or probation, and other critical factors.
If your felony conviction involves a DUI or drug use, some traditional insurers will offer you a policy, depending on the length of your incarceration if you did jail time and how long it’s been since your conviction and incarceration. If you have a serious crime on your criminal records, such as kidnapping, rape, or murder, you will probably have to settle for a guaranteed issue life insurance policy.
The business of insurance is all about probability, which is why insurance carriers have an underwriting process. Indeed, high-risk applicants can expect to pay higher life insurance premiums, and having a criminal background makes one a higher risk.
We all think about the position we’ll leave our beneficiaries in when our lives inevitably end. Life insurance enables people to take care of their families long after they’re gone. It’s a fundamental need, but having a felony offense on your criminal record makes getting insurance coverage difficult.
Even though insurance underwriters consider convicted felons as high-risk applicants, the good news is that there’s still hope. You can find insurance companies that issue insurance policies to felons, but it requires patience from the life insurance applicant and hard work from the insurance agent. You may have to pay higher premiums and go through a more stringent underwriting process, but ultimately, you can get the coverage you need for your final expenses.
