Life Insurance While Pregnant
Discovering that you’re going to have a baby usually brings a bunch of emotions.
From surprise to happiness to that “oh my gosh” moment, your feelings are probably all over the place.
As a parent, what you’re experiencing is all too familiar to me as well.
Although my kids are beyond the diaper stage, once a parent always a parent.
And being a parent means making some really grown-up decisions about how to care for your family—including getting life insurance while pregnant.
Perhaps thinking about your mortality probably isn’t top-of-mind for you right now, since you just created a new life!
However, as a life insurance broker, I encourage parents to consider life insurance as a way to help protect the family.
So, put on your new #mamabear sweatshirt and let’s dive into the nitty-gritty of applying for life insurance while pregnant.
How Insurance Companies View Pregnancy
First, let’s debunk the idea that pregnancy is a “condition,” even to the insurance industry.
In the past, being with child has motivated some people to regard pregnancy as if it were something you catch like a cold or the flu.
It’s not, no matter whether your baby was planned or not.
You’re growing a baby inside of you and being a mother is hard work, amazing and scary all at the same time.
To put it simply, insurance companies view pregnancy case-by-case.
Each pregnancy is as unique as each mother.
However, there is one caveat.
Remember that insurance companies think in terms of risks, numbers, and probabilities.
In other words, insurance folks love statistics!
And they will approach it—you getting life insurance while pregnant—fully aware of all the statistics surrounding pregnancy.
Think about things such as body weight or health risks to name a few stats they’re considering.
Keep in mind that a life insurance medical exam exam does include blood tests but they don’t test for pregnancy.
Unless you’re already sporting a baby belly, the only way for the insurance company to know you’re pregnant is for you to tell them.
Of course they will check your medical records and those will show any prenatal care.
You may be tempted to keep baby under wraps, but this is 2019 and life insurance companies are much more lenient. They won’t penalize you for any weight gained during your pregnancy.
Pregnancy weight gain is generally not a problem, especially if you’ve had no prior history of long term obesity.
However, your life insurance claim may later be denied should something pregnancy-related be the cause of your demise.
Also, it’s important to know your health history (your family’s, too) so you can be aware of complications that may run in your blood.
This would impact your premium.
Complications That May Impact Your Premium
As you may know, though pregnancy itself isn’t a condition, there are some common pregnancy-related complications that insurance companies “red flag.”
Gestational diabetes, for example, is a type of diabetes only impacting pregnant women.
However, it can influence your premium because of the ongoing health implications.
More on that in a moment.
For now, here is a list of complications that may impact you applying for life insurance while pregnant:
- Preclampsia – High blood pressure is a common symptom so insurance companies may consider this an ongoing risk, even beyond pregnancy.
- Age 35 and Over – According to modern medicine, once you reach age 35 then the risk of pregnancy-related complications increases drastically. Though insurance companies do take your age into consideration, some put the age at 45.
- Multiples – Carrying any number of multiples—especially triplets or more—the pregnancy is typically considered high-risk.
- Cholesterol Levels – This is a health concern pregnant or non-pregnant so insurance companies take it pretty seriously. Sometimes, they may consider your pre-pregnancy levels if you’re struggling with elevated cholesterol during pregnancy.
- Postpartum Depression – This is a type of depression that impacts women after they’ve given birth. It can develop into other types of depression and mental illnesses as well. As a result, if you’ve dealt with postpartum depression from a previous pregnancy, this may cause concern.
- Gestational Diabetes – Although this type of diabetes is reserved for pregnant women, developing the condition increases your risk for developing other types of diabetes in the future. Your premium may even be impacted for up to five years after giving birth.
- Previous Complications – The complications may include any pregnancy-related medical conditions developed during pregnancy, giving birth, or even after delivery.
Most important, be straightforward and honest on your life insurance application.
A life insurance application is much more detailed than simply getting a life insurance quote.
You can fudge a quote, not an application.
Often, life insurance companies will grant you a year or two after pregnancy to stabilize any conditions that came up during pregnancy.
They will also reconsider your application after a year or to possible reduce your rates.
At that point, your premiums may be adjusted based on your current health.
Working with a knowledgeable life insurance broker will help you plan everything, providing you with the best rates possible.
When to Purchase Life Insurance While Pregnant
It’s important to purchase life insurance any time you become financially responsible for another person.
According to the American Pregnancy Association, “If you are pregnant or have a newborn, make shopping for life insurance a priority!”
Don’t wait to apply!
To ensure the very best rates, getting life insurance before you become pregnant is your best option.
However, we all know how life plays out sometimes.
The next best timing is during your first trimester.
When applying for life insurance while pregnant the sooner you apply the better.
As a life insurance broker, I advise getting life insurance sooner because pregnancy can take a huge toll on your health.
Ultimately, no matter if you’re in tip-top shape before conceiving or if you think the Couch to 5K app is a video game, growing a baby is a difficult job.
No one can know for certain what “surprises” pregnancy has in store for her body.
You may have the opportunity to renegotiate your premium if you’re not satisfied with the rate you received during pregnancy.
You don’t need to wait 30 years!
Determine What Coverage You Need
Knowing how to properly install a car seat is challenging enough, let alone figuring out how much life insurance coverage you need.
The numbers can get jumbled up quickly, complicating the entire process.
Let’s be real, added stress for any mom-to-be can translate into health problems.
And those are problems you can undoubtedly do without!
Firstly, it’s important to know how much coverage you need. To determine this, take stock in all the ways you contribute to your family. Also, consider who is financially dependent upon you. A life insurance broker can help you crunch the numbers if you’re unsure of the amount you need.
Secondly, look at how long you’ll be needing your life insurance policy. Keep in mind that most people don’t generally need life insurance for their entire lives.
In fact, according to Dave Ramsey, “As you reduce debt and increase savings, you slowly begin to reduce your need for life insurance as well.”
Several different types of life insurance exist—Term Life Insurance , Whole Life , Universal Life, etc.
Term life insurance is the most affordable and a favorite of parents.
This type usually offers 10, 20, and 30-year coverage. Whole life insurance is significantly more expensive but involves an investment component.
Comparing the two is often an unwanted chore.
Thankfully, an expert life insurance broker can sort this out for you as well.
You need to Choose a Beneficiary
Applying for life insurance while pregnant also means choosing a designated person to whom that money will be distributed should you pass away—a beneficiary, in other words.
While this may be a no-brainer to some, to others it’s a very complicated choice.
Here are some tips to help you decide.
For couples, the obvious choice is often a partner.
But, single parents don’t always have that luxury.
If you’re in this situation, examine the people in your life that you do trust.
You can even choose a primary and a secondary (alternative) if you’d like.
Consider choosing an actual person as your beneficiary rather than your will, for example.
Money that is assigned to a will can circle around in probate for years, helping no one.
Because death benefits are typically paid out in a matter of days or weeks, the person you name as your beneficiary will have access to that money quickly.
Think about how badly that person will be needing the money to take care of what you left behind.
Only you know the details of this, of course.
Also, many parents lean toward assigning their child as beneficiary.
Most of the time, an insurance payout is used to take care of the remaining family anyway so this makes sense.
However, it’s vital to also assign a custodian or person who will manage your money until your child is of age.
If you overlook assigning a custodian, that money may wind up being controlled by the state.
Check your state for their specific “intestacy” laws to see where your money will end up if you don’t have a will or beneficiary.
It’s guaranteed not to be the person you wish…
Take the Next Step
Buying life insurance while pregnant can be a daunting task.
Yet, getting the policy that you deserve is a big step in helping to secure your family’s financial future.
For parents, this decision is all the more important.
For that reason, I’ve created an up-to-date Complete Life Insurance Guide for Parents.
Here at CB Acker Associates, we want to help you take care of your family. If you’re ready to find a policy that fits your needs and your budget, we can help!
With access to all the top rated life insurance companies, we work extra hard to get you the best life insurance rates possible. You can even compare rates and benefits from over 40 providers with no obligation to buy. Just click on the “Instant Quote” button in the top menu. Plus, it’s fast—under 60 seconds kind of fast.
Please, give us a call today at 650-969-5844 or email [email protected].