Here’s what you need to know about how mental health conditions can affect your life insurance application and your premiums.

Depression and anxiety do affect life insurance.

Life insurance providers want to know your full health picture, including mental health diagnoses like depression and anxiety. Insurers vary in how they weigh mental health risks, but as with other health issues, they will evaluate your diagnosis, your symptoms, and how you manage those symptoms. Specifically, the insurer will want to know when you were diagnosed, whether you’re currently undergoing treatment, whether you’ve ever been hospitalized for your condition, and any medications you’re taking. Fewer medications usually translates to more favorable premiums, but a medication plan without frequent changes also works in your favor.

Your exact diagnosis matters.

There are many types of mental health conditions, and each is underwritten independently. Insurance companies are particularly interested in depression and anxiety disorders that affect your daily life and require medication. For example, if you occasionally take medication for situational anxiety, you’ll probably be rated more favorably that someone who requires daily medication for a generalized anxiety disorder.

The insurance company matters.

Not all insurers view mental health issues the same way. For example, some companies treat postpartum depression the same as clinical depression, even though the condition generally lasts for a short period of time. If the insurer sees postpartum depression in your mental health history, you could be assessed as though you have ongoing depression. To be safe, some experts recommend that women secure life insurance before pregnancy.

Your treatment matters.

Some insurers can still offer you their best premiums if your condition is well-managed. If you consistently take medication and see a mental health professional, it will improve your chances of a better insurance classification. However, if your diagnosis is recent, or you have an inconsistent treatment history, you’ll probably receive a less favorable health classification, and therefore pay higher premiums.

You must disclose your full medical history.

As with any other type of health issue, a mental health condition should be disclosed when you apply for life insurance. It’s not only fraudulent, but it’s also very difficult to conceal your mental health history since the insurer is likely to learn about it from standard medical records requests. This will delay the underwriting process, and ultimately your coverage decision. And the consequences could be much more serious—if you don’t disclose your mental health history and the insurance company learns that you applied under false pretenses, it could later deny life insurance benefits to your loved ones.

If you’re declined, don’t give up.

If your application is declined based on your mental health history, you may be able to find coverage with another insurance company. Our expert Advisors can help you research alternatives. If you were declined due to a recent diagnosis or inconsistent treatment, you may be able to secure coverage once you develop a history of steady and positive treatment outcomes.

A mental health condition should not prevent you from applying for life insurance. Learn more about life insurance through our program, or contact an Advisor to discuss your specific situation.