Top Reasons People Get Denied Life Insurance (And How to Avoid It)

*Updated January 21st, 2025

Applying for life insurance can feel like a big step. You’re doing it to protect your family and make sure they’re financially secure if something ever happens to you. But what many people don’t expect is how often people are denied life insurance during the life insurance application process—and how frustrating a denial can feel when you’re just trying to get protected.

Sometimes it’s a health condition you didn’t think was serious. Other times, it’s a lifestyle habit that seems harmless. Life insurance companies and other insurance companies are trained to spot risks during the underwriting process, and even small details can impact whether an insurer will approve you, increase your premium, or deny coverage.

The process may seem complicated, but it doesn’t have to be. Once you understand what insurers are looking for, you can take smart steps to improve your application. This guide breaks down the common reasons behind life insurance denials and how to avoid the same mistakes—so you’re in a better position to get the life insurance coverage your family depends on.

Pre-Existing Health Conditions

Pre-existing conditions are one of the top reasons a life insurance application results in a coverage denial. Life insurers review your medical history to understand risk before issuing life insurance policies.

Common Health Conditions That May Affect Approval

A pre-existing condition refers to any diagnosis or issue that existed before you apply for life insurance. Common examples include:

• Heart Disease: Heart disease can be a red flag, but it isn’t always an automatic application denial. Some rhythm issues may be manageable. However, congestive heart failure, a heart transplant, or a heart attack in the last 5 years can make traditional life insurance coverage harder to obtain.

• Cancer: Cancer survivors often have better odds the farther out they are from treatment (often 7+ years). If you’re currently in treatment or newly in remission, an insurer may postpone or issue a denial of coverage until a certain time has passed.

• Diabetes: Type 2 is typically more responsive to lifestyle and medication changes. Type 1 requires lifelong insulin management. Type 1 or poorly controlled diabetes can lead to denial or result in higher premiums.

• High Blood Pressure and Cholesterol: Elevated numbers can signal higher cardiac risk, but they don’t automatically mean you’re denied. Control and consistency matter.

• Mental Health Conditions: Anxiety and depression are common. In many cases, you can still get life insurance depending on severity, stability, and treatment plan.

How Health Conditions Impact Insurance Decisions

During the underwriting process, insurance companies may evaluate:

• Severity of the condition

• Treatment plan and compliance

• Duration and stability

• Trend (improving vs. worsening)

• Overall health history

Tips for Applicants with Pre-Existing Conditions

If you have a pre-existing condition, don’t assume you can’t get a life insurance policy. Many applicants with conditions still end up getting coverage—sometimes with higher premiums, sometimes with different product options.

• Show you have your health conditions under control with regular checkups and adherence to medication.

• Provide detailed records so the insurer can accurately assess risk.

• Work with an insurance agent or independent insurance agent who can help you find life insurance options that match your profile.

• If traditional coverage doesn’t work, consider group life insurance, group life options, or policies designed for higher-risk applicants.

Poor Medical Exam Results

Many life insurance policies require a medical exam. Poor results don’t always mean a hard denial, but they can result in denial in some cases—or increase your premium.

Key Health Metrics Insurers Evaluate

Most insurance applications include a medical questionnaire and often a medical exam that may check:

• BMI (height/weight)

• Blood pressure

• Cholesterol

• Blood sugar

• Liver and kidney function

• Sometimes an EKG/ECG

How to Prepare for Your Medical Exam

To help improve your results (and your chances of a better premium):

• Schedule a morning appointment

• Fast 8–12 hours beforehand (if instructed)

• Avoid alcohol, caffeine, and nicotine for 24 hours

• Hydrate well

• Avoid heavy exercise 24 hours before

If you want to skip both the medical exam and the extra testing, there are policy options that don’t require a full exam (more on that later), but you’ll usually pay more.

High-Risk Lifestyle or Occupation

Some occupations and activities are considered high-risk and can increase your premium or trigger a denial with certain insurers.

Dangerous Occupations That Affect Insurability

Some life insurance companies may automatically decline certain jobs, but underwriting varies widely. One insurer may flag your job while another may overlook it, depending on role, safety measures, and claims data.

High-risk jobs often include:

• Logging

• Commercial fishing

• Pilots/flight engineers

• Roofers

• Construction

• Mining

• Waste management

• Truck driving

• Power-line installation

• Agriculture

High-Risk Hobbies and Activities

Certain hobbies can also affect approval and pricing—especially if they’re frequent. Examples include:

• Like skydiving or BASE jumping

• Cave diving

• Motorcycle racing

• Backcountry skiing

• Boxing/MMA competitions

How to Address Lifestyle Risks

If your job or hobby puts you in a higher-risk category:

• Shop around—different insurance companies treat risk differently.

• Work with an independent insurance agent to identify carriers that are more flexible.

• Be specific about frequency and safety protocols—details can matter during underwriting.

Substance Abuse History

Substance history is a common reason an insurer may deny coverage. Tobacco use usually doesn’t cause a full denial, but it often increases the premium significantly.

How Tobacco, Alcohol, and Drug Use Affect Insurance Applications

• Tobacco: Smoking or vaping can lead to smoker rates, even if use is “occasional.”

• Alcohol: Insurance companies may review medical records, driving history, and exam markers.

• Drugs: Current or recent illegal drug use often triggers a denied life insurance decision.

Recovery and Sobriety Considerations

Many life insurers look at:

• Time sober/abstinent (a longer waiting period can help)

• Treatment completion

• Relapse history

• Related complications

Tips If You Have a Substance History

• Be honest—providing inaccurate details can lead to denial later.

• Document progress and stable recovery.

• If sobriety is recent, waiting 12+ months may improve outcomes.

Incomplete or False Information

One of the biggest reasons applications and claims get denied is missing or incorrect information. Life insurance applications require honesty, and inaccuracies can trigger application denial or cause major problems later.

The Consequences of Application Dishonesty

If an insurer finds misrepresentation, they may cancel coverage or refuse to pay the death benefit. Most policies have a contestability window—often the first two years—where the carrier can investigate and potentially void the policy for material misstatements.

Common Information Verification Methods

Insurance companies may verify:

• MIB history

• Prescription records

• Medical provider records

• Motor vehicle reports

• Income/net worth (for large coverage amounts)

Best Practices

• Double-check information on your application before signing.

• Disclose medications and diagnoses—even if they seem minor.

• Be accurate about risky activities and frequency.

• If your insurance agent filled out forms, review carefully to avoid mistakes that could cause a reason for denial later.

Poor Financial History or Criminal Record

Non-medical factors can also cause life insurance denials.

Financial Factors That Affect Approval

An insurer may be concerned if it appears you can’t afford the coverage:

• Bankruptcy

• High debt-to-income

• Unstable income

• Coverage amount doesn’t align with income/net worth (coverage limits must make sense)

Criminal History Considerations

A criminal record or severe driving violations can increase risk. Carriers may consider:

• Type of offense

• Time since conviction

• Pattern of behavior

• Probation/parole status

Strategies for Moving Forward

• Start with smaller coverage and build later.

• Wait for more time to pass (especially with driving issues).

• Show stable employment and consistent finances.

Age and Coverage Amount

Age affects approval and pricing—no surprise there. As you get older, the premium increases, and options can narrow.

How Age Impacts Decisions

On average, pricing tends to rise each year as risk increases. Some carriers may limit term life insurance beyond certain ages, while permanent options may still be available.

Balancing Coverage Needs

When estimating coverage:

• Income replacement

• Debt obligations

• Future expenses (kids, college, etc.)

• Policy duration (shorter terms may be easier at older ages)

How to Improve Your Chances of Approval

If your goal is to get a quote and get approved with strong pricing, focus on the items that impact underwriting most.

Health and Lifestyle Improvements

• Quit smoking

• Improve BMI and blood pressure

• Manage chronic illness consistently

• Reduce alcohol consumption

• Maintain clean driving record

Work With an Independent Agent

If you were declined by one company, it doesn’t mean you’re out of options. Different life insurance companies weigh risk differently. An independent insurance agent can help match you with an insurer more likely to approve your profile—especially if you’ve already experienced a denied life insurance decision.

Pre-Application Medical Checkup

If you suspect you might be declined, consider reviewing your numbers first and checking for errors in your medical record. If you’re rejected, ask for the specific reason for denial.

What to Do If You’ve Been Denied Life Insurance

Getting a denied life insurance decision is discouraging, but it’s often fixable.

Understand the Denial

Ask the carrier for details and confirm whether the issue was medical, financial, or administrative. Many times the problem is incomplete documentation or a misread record.

Appeal If Appropriate

If your claim was denied or your application was denied due to incorrect information, you may be able to appeal with updated documentation (especially medical records and physician notes).

Try Another Insurer

One carrier’s decision doesn’t define the whole market. Different insurance companies may view the same facts differently.

Life Insurance Options for High-Risk Applicants

If traditional underwriting doesn’t work, other policy types may help you get life insurance and protect your family.

Simplified Issue Life Insurance

Simplified issue often skips the medical exam and relies more on questionnaires.

• Faster decisions

• Lower face amounts than fully underwritten plans

• Often higher premium than traditional options

Guaranteed Issue Life Insurance

Guaranteed issue life insurance is typically available within specific age ranges and doesn’t require a medical exam or health questions.

• Usually includes a waiting period before full benefits apply

• Smaller death benefits

• Higher premiums per dollar of coverage

Group Life Insurance Through Employers

A workplace insurance plan can be a great fallback, especially if you’ve had a denied life insurance coverage outcome elsewhere.

• Often no medical underwriting

• Easy enrollment

• Sometimes allows supplemental buy-up coverage

Accidental Death Insurance

Covers accidental death only—not illness—and can provide limited protection if other options aren’t available.

Frequently Asked Questions

Can you appeal a life insurance denial?

Yes. If you’re denied due to incorrect or incomplete information, you can often appeal with updated records.

Will one denial affect future applications?

It can, because underwriting databases track prior applications. But different insurers and policy types still give you options.

How long should you wait before reapplying?

In many cases, six months to a year is a reasonable waiting period, especially if you’re improving health metrics or financial stability.

Can you get life insurance after a serious diagnosis?

Often yes, depending on the diagnosis, stability, and time since treatment. If traditional coverage is difficult, simplified issue, group life insurance, or guaranteed issue life insurance can be alternatives.

Conclusion

Getting denied life insurance can feel frustrating, but it doesn’t mean you’re out of options. Once you understand the common reasons behind life insurance denials, you can take practical steps to strengthen your application—whether that means improving health metrics, choosing a different policy type, or applying with another insurer.

Still have questions about which types of life insurance fit your situation—or want to get a quote? Talk to an insurance agent to review your options and find coverage that actually works for you.