Life Insurance With Asthma

Did you know that approximately 30 million people in India³ suffer from asthma? And, it is estimated that around 1.96 lakh deaths were caused by asthma⁴ in India as of 2020. These numbers show that a chronic disease as such has the potential to be life-threatening if not treated properly.

Being chronic in nature, asthma may require constant medical care, and the likelihood of facing serious complications is quite high. If you are asthmatic and should something unfortunate happen to you, how will you make sure your family's financial future can continue without you?

The answer is life insurance. Though their emotional loss cannot be compensated, the proceeds can ensure their financial security in your absence. But, a medical condition like asthma can heighten your life insurance premiums!

Let’s have a detailed look at why this happens and the measures you can take to lower your premiums.

Asthma is a chronic condition that affects the airways in the lungs. The airways are tubes that carry air in and out of your lungs. When you have asthma, your airways can become inflamed and narrowed. This makes it difficult for air to flow out of your airways when you exhale. The inflammation causes the respiratory tract to contract, which restricts the passage of air and eventually results in coughing, difficulty breathing, and tightness in the chest.

Some people consider asthma a minor inconvenience. Others suffer from serious asthma attacks that can interfere with their daily activities and threaten their life. Although asthma cannot be cured, its symptoms can be controlled.

When you submit your life insurance proposal, your application undergoes an underwriting process which decides whether you are eligible to receive the insurance coverage or not based on the details you provide. This includes information about your health and medical history, etc.

This is done because the insurer wants to determine how risky you are to cover. Your overall health is determined by a number of factors, such as your -

• Age
• Gender
• Family history
• Medical history
• Smoking habits
• Lifestyle

You will be eligible to get a life insurance plan, but will have to pay a higher premium than those who don’t have asthma.

Note: You must be honest and accurate with all the information you provide. This will streamline the application and claims processes. If you hide any details, the insurance company will eventually discover them. This could lead to your application being rejected or your claim being denied.

Life insurance companies prefer to offer coverage to someone who has lived with asthma longer over someone who has suffered from it for a short period of time. This is because the former knows how to cope with his asthma complications effectively.

If the insurer thinks you pose a risk that is greater than the standard risk, they will increase premiums. Generally, insurance companies will ask a list of questions including -
• What caused your illness?
• How old were you when you were diagnosed?
• Does anyone in your family suffer from it?
• Which medications are you taking?

Having asthma puts you at a greater risk of having a severe asthma attack, resulting in complications, thus posing a major risk to insurers.

Case 1: Mr Rahul, 30, applied for term life insurance. When he was 17, he was diagnosed with asthma, which was mild and stable. His medical assessment revealed no additional lung conditions either. He visits the doctor regularly and does not drink or smoke.

Case 2: Mr Punit, 35 years old, has also applied for term life insurance. At 23, he was diagnosed with asthma. Over the years, his condition has gotten pretty severe that requires him to take steroids daily in order to manage it. Furthermore, he does not smoke or have any additional lung conditions.

Who among the two has a higher chance of getting life insurance?
Since Mr Rahul has a stable medical record and better control over his disease, he has a better chance of securing a life insurance policy with a lower premium than Mr Punit.

People who adhere to a proper medical routine, such as diet and exercise, or keep their medical condition under control with medication, tend to be charged lower premiums. Simply put, if you are in better shape, you'll pay less for premiums.

Furthermore, all life insurance companies have their own rules and restrictions. It’s always best to consult a medical professional and an insurance agent who is familiar with pre-existing conditions and the clauses associated with a product before you get yourself insured, so you can avail the best deal.

Life insurance can be obtained even with pre-existing conditions such as asthma. Yes, you'll have to pay an extra premium, but if it protects your loved ones, it's worth the price. Even though asthma cannot be cured, you can keep it under control by sticking to a proper medical and diet regime, which can also help you reduce your premium. In any case, talk to a financial agent who can suggest the right insurance policy based on your condition.