August 22, 2017

Can I get life insurance with Chronic Obstructive Pulmonary Disease (COPD)?

Can I get life insurance with Chronic Obstructive Pulmonary Disease (COPD)?

Our client

Our client, a 68-year-old non-smoker, wanted to leave a lump sum to her children when she passes away. She was concerned that her existing policy will expire when she reaches the age of 80. We all seem to be living longer now so she was worried that she will outlive her policy and be left with no cover in place.

She also wanted to increase the level of her cover from £14,000 to £20,000.

We advised her that the best type of policy for her would be whole of life cover. Whole of Life insurance covers the policyholder from day one and will pay out when they die – there is no expiry date with this type of cover.

We discussed this option and provided her with a quotation, however, the monthly premium for a policy with a sum assured of £20,000, was £45.90 per month and fell outside her budget.

The next best option was a Term assurance policy which would provide cover until she reaches the age of 90. Unlike a Whole of Life policy, it isn’t guaranteed to pay out when she dies, so she could still outlive the term of the policy. However, it was more affordable than Whole of Life cover (about half the cost) and it offered 10 years more cover than her current policy.

Health Condition

Our client has very mild Chronic Obstructive Pulmonary Disease (COPD). COPD is the name for a group of lung conditions that cause breathing difficulties.

It includes:

  • emphysema – damage to the air sacs in the lungs
  • chronic bronchitis – long-term inflammation of the airways

COPD is a common condition that mainly affects middle-aged or older adults who smoke – many people don’t realise they have it.

The breathing problems tend to get gradually worse over time and can limit your normal activities, although treatment can help keep the condition under control. (NHS Choices)

Our client was diagnosed with mild COPD 4 years ago and does not require oxygen treatment or nebulisers. Her symptoms are restricted to winter usually and she does not experience shortness of breath easily.

Our Process and advice

At Future Proof, we have access to specialist insurance companies that don’t deal directly with the public. These companies offer more specialised policies, designed to provide cover where other major providers can’t.

Our research process involves us contacting many insurers to find out the best possible outcome for our clients. Which avoids any nasty shocks later on during the underwriting process.

Would the insurer add a ‘loading’ to their standard premium? (this is an additional sum charged on top of their standard monthly premium to reflect their additional risk). Or, exclude a condition?

Might they decline the application? We want to avoid wasting time by making applications that may be declined.

We have up to date knowledge of the ever-changing landscape of underwriting for all providers in the UK. Future Proof is committed to thorough research so that you don’t have to. What’s more, our advice comes at no obligation and with no hidden costs.  You don’t pay us directly but we do get paid by the insurer if you decide to start a policy with them.

Outcome – The Benefits of specialist advice

Most companies indicated to us that they would increase the premium with a loading.

The good news is we managed to help her secure cover with one company who agreed to offer her the cover on standard rates and without the need to obtain a GP report.

Please note that any premiums mentioned are indicative only and based on this specific case study/ example, which is shown for information purposes only. Your own circumstances will determine whether the amount payable is more or less than the figure quoted.

Next steps

Whilst you are welcome to get a quote online, we would recommend you speak to one of our advisers.

Any quote that your adviser provides you with will take into account your circumstances and medical history, as well as your budget!

An online quote is just that – a quote – it isn’t a definite offer of cover. What really matters is the premium you are offered, after your application has been assessed.

Call Freephone 0800 644 4468 – Monday to Thursday from 09.00 to 19.00 and on Friday between 09.00 and 17.00.

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Please feel free to read our Independent client reviews, or read about the team at Future Proof

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Will my claim be paid?

Why you can trust Future Proof.

The benefits of an index-linked insurance policy

Take a look at our handy guides ‘What Cover is Right for me?’

Do you suffer from a medical condition and concerned you can’t secure Life Insurance?  Please view our ‘Medical Guides’ for further information.

Whilst we will make every endeavour to help someone to arrange insurance, there is no guarantee of success.  All applications are subject to underwriting.

Links to third-party websites exist for information only, and we accept no responsibility or liability for the information contained on any such sites.
The existence of a link to another website does not imply or express
endorsement of its provider, products or services by us or St. James’s Place.

For more independent information on COPD please click on the following links:

NHS Choices

British Lung Foundation

Lead ID 121907268