For a particular amount of coverage, a guaranteed acceptance policy will almost always be the most expensive option since
the insurer accepts all applicants.
Not exact matches
This is because the
insurer wants to determine whether it is taking on an appropriate amount of risk, and that it will not have to pay out a large amount of claim soon after it
accepts an
applicant for coverage.
The
Applicant also argued that since there is no limitation period for applying for catastrophic designation or for disputing an
insurer's denial of a catastrophic application, to
accept Economical's position would be to
accept that
insurers can create a time limit / limitation period for when an insured must apply for catastrophic impairment determination, which goes against recent decisions such as Guarantee v. Do and Machaj v. RBC.
An
insurer will try to increase premium or exclude a risk in order to
accept an
applicant (remember profit); however, some risks are beyond the risk acceptance levels of the
insurer and are declined.
Some
insurers will
accept applicants up to age 89.
Other
insurers may pay out fewer claims because they have better underwriting of the
applicants they
accept to insure.
While the state encourages people to find auto insurance on their own, Wyoming
insurers have the freedom to
accept and deny coverage
applicants, and this has left some Wyoming motorists without adequate coverage to stay on the road (generally speaking,
insurers tend to charge higher premiums or simply avoid covering drivers who pose higher risk of losses — aka insurance claims.)
Most
insurers that offer final expense insurance will
accept applicants up to 85 - years - old and not require a medical exam or a laundry list of health questions.
If an
insurer is
accepting applicants despite having a health ailment, past medical history, and adverse family history, he would certainly offer the policy on special terms with significant loading.
These policies cost more than traditional insurance because the
insurer is
accepting an unknown risk when it comes to the
applicant's health history.