What Secrets Life Insurance Companies Can Learn from You

​There are some things that you’d rather keep to yourself and not share to other people. But, for insurance companies, they want to know certain personal information about you-- even those you want to keep as secret.

With the use of electronic data, insurers obtain available information about you much faster than you imagine. This can have an impact on the rates of your life insurance. Here are some data that can be gathered:

History of Prescription Drugs and Lab Tests

There are some firms that have the capability to acquire claims of prescription information from pharmacies and sell them to interested insurers. The report includes the pharmacy, doctor’s name, fill date, name of drug, and dosage. The record can be delivered within seconds.

However, these prescription histories only have records that dated back in 10 years, as this was the time that this data has been available online.

In line with that, your lab tests results may also be obtained and be available for the life insurance companies.

Driving Record

Just like your prescription and lab test reports, your motor vehicle report is also available for insurers. If you have reckless driving or DUI records, you are considered a risk by insurance firms. You will have some difficulty qualifying for life insurance. The speeding tickets you have accumulated may also be the cause that you do not get the best insurance rates.

Public Records

One of the details that insurers do to screen applicants is to gather public records. It is beneficial for the insurer because a search for public records could possibly reveal a bankruptcy. A bankruptcy is enough reason for an applicant to be ineligible for life insurance.

It Is Legal

You may not remember, but the application form that you sign for life insurance gives the insurer your consent to acquire information about you. It is in accordance to the privacy laws like the Fair Credit Reporting Act and HIPAA (Health Insurance Portability and Accountability Act)

If the reports do not include discrepancies, it can help speed up the process of approval. However, if the applicant neglects to disclose certain important information, this prompts the insurance company to dig in for more data.

The Bottom Line

Insurance carriers want you to qualify for life insurance as much as you want. They take advantage of electronic data to streamline the approval process, as they want more applicants to be eligible and purchase the coverage.

At Roper Insurance, our mission is to ensure that we protect are clients and offer them policies that they can afford. Learn more about our products and services by calling our agency at (828) 697-6709. You can also request for a free quote by clicking here.