The Process of Purchasing Health Insurance
Complete an Application
Depending on the health insurance company you choose, the following application options are available:
- ONLINE APPLICATION -- This is usually the fastest way to purchase health insurance, though many consumers get frustrated by the electronic forms and abandon the process. Online application is available from all the insurers we represent.
- DOWNLOAD AND PRINT APPLICATION FORMS -- Complete the application by hand, then mail or fax (though not all insurers accept fax) the completed form.
- WE E-MAIL OR FAX THE APPLICATION, OR WE SEND IT VIA THE POST OFFICE -- You complete the application form and send it back to us.
- PHONE-IN APPLICATION is available from Humana One and some other health insurers.
Submit a Payment
Most of the health insurance companies we represent require a premium deposit to be submitted with an application.
- A check or money order is usually required, through some insurers allow credit card premium deposits or an electronic charge to a checking account.
- Some insurers require a non-refundable application fee.
- If your application is approved, your deposit will be applied against your premium requirement for the initial coverage period.
- If your application is denied, your premium deposit will be refunded net (if applicable) any non-refundable application fee.
An Initial Review is Performed
The insurer verifies the information on your application and requests any additional information they view as necessary for further evaluation.
- Some insurers may phone you to obtain additional information.
- Some insurers may require you to complete a questionnaire specific to a health condition indicated on the application.
- Some insurers may order a copy of your medical records. It depends on your health history and age,. Current medical records are often required for applicants age 55 or more.
- If medical records are required, some insurers will contact your physician's office and pay a reasonable sum for the task of copying and mailing your records.
- For applicants age 55 or more who have not seen a physician in the last year, a checkup or paramedic exam may be required. Some insurers will assist in arranging a paramedic exam.
The Application is Underwritten
When required information is received, the insurer reviews the facts and makes a decision. Possible outcomes include:
- The application may be approved with standard coverage at preferred rates -- and everybody is happy.
- The insurer may counter-offer with a higher rate requirement.
- The insurer may require exclusions not included in the standard insurance agreement.
- The insurer may require non-standard exclusions AND require a higher rate.
- The insurer may decline the request for insurance, refunding the premium deposit, net (if applicable) any non-refundable application fee.
How Long does the Process Take?
There's no guarantee as to how long it will take an insurance company to process your application for permanent health insurance.
If you're in your twenties and in excellent health, the process may take as little as a day. If a more detailed review is in order or if additional information is required, the insurance company will need more time. It's not unusual for an insurance company to take a month to process a health insurance application, but it depends on the insurance company and the applicant's health status.
To get a realistic idea of how long it would take to process your health insurance application, consult a health insurance professional.
