Risk appraisal helps any insurance company determine the appropriate amount to cover your risk profile or "your fair share." It prevents you from having to pay the same as someone with a less favorable risk profile. As part of determining your risk profile, we review information about you.

While, unfortunately, this information may lead to a higher premium or the inability to issue coverage at all, there is a hidden benefit—the discovery in some instances of a medical problem unknown to you or your physician.

The following are actual cases and reflect this hidden value. Because we seek to collect only the information that is pertinent to your application, not all of the following information is required for every application. Your age, the amount of insurance you are applying for or conditions that arise during the risk appraisal process determine which pieces of information we request.

A 53-year-old male applicant for life insurance was found to have an extremely elevated blood sugar as well as other abnormal blood tests and sugar in his urine, a possible indication of diabetes. The applicant was otherwise very healthy and in fact had no personal physician. After seeking medical attention, he was diagnosed with diabetes, began on insulin therapy, and perhaps avoided more serious complications from undiagnosed diabetes.

A 55-year-old female applicant had recently undergone a routine mammogram. The report from her personal physician was obtained during risk appraisal and indicated a slight abnormality with follow-up recommended. Without the follow-up, a favorable risk appraisal was not possible. A biopsy led to the diagnosis of breast cancer that was still small and had an excellent prognosis after appropriate treatment.

A 56-year-old male applicant for life insurance had seen his physician sporadically in the past for colds, the flu, and assorted other common complaints, but always put off the complete history and physical. A treadmill stress EKG was obtained for the life insurance application. The results suggested blockage of his coronary arteries and were enough to prompt him to follow up with his personal physician. Luckily, bypass was not needed and with medication and dietary modifications he will have a much better chance at improved survival.

As you can see, although previously unidentified medical conditions may result in an extra premium or the inability to issue coverage, their recognition frequently leads to needed lifestyle modifications, further medical evaluation, and treatment for potentially very serious diseases.