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Anxiety life insurance, critical illness cover and income protection

The facts about getting life insurance with Anxiety

We understand that applying for anxiety life insurance can seem overwhelming at first. People with anxiety are often able to obtain life insurance at standard rates and many life insurance companies offer favourable terms. If you do not have a generalised anxiety disorder and your mental health problems are more severe (e.g. Post-traumatic stress disorder), you may have difficulty obtaining a life insurance policy or be offered higher life insurance rates. During the application process for anxiety life insurance your insurers will need to assess your full medical history and current medical conditions.

What does Anxiety life insurance cost?

The cost of your anxiety life insurance will depend upon the severity of your mental health condition. Some questions underwriters may have regarding your health issues are:

  • When were you diagnosed?
  • Do you experience panic attacks regularly?
  • Have had any suicidal attempts or self-harmed?
  • Do you take any medication or receive counselling?
  • Have you ever been hospitalised or taken time off work due to anxiety?

Your premiums for Anxiety Life insurance will also depend on:

  • Sum assured (£’s)
  • Term of cover (years)
  • Type of policy (e.g. Family, Mortgage, Whole of Life etc.)

Anxiety life insurance rates/ratings

Life insurance rates for a person who suffers from anxiety and depression will often be considered standard cover if their mental health problems are well controlled and there have been no recent suicidal attempts. If your health issues are more severe your insurance plan may be quoted higher life insurance rates or your life insurance application may be declined.

Percentage (%) loading for Anxiety life insurance

If life insurance companies choose to apply percentage loading to your anxiety life insurance policy, you will see your life insurance rates increased by a set percentage. Life insurance companies apply loading using a risk-based scale after assessing your medical history. The amount of acceptable loading that life insurance companies can offer will vary and some companies can accommodate higher risk clients at higher life insurance rates (e.g. 250%, 400%).

EXAMPLE:

Basic premium
% loading
Final premium
£20.00 50% £30.00
£20.00 100% £40.00
£20.00 150% £50.00
£20.00 200% £60.00
£20.00 250% £70.00

Per mille loadings for Anxiety life insurance

In very severe cases, life insurance companies can offer life insurance rates with ‘per mille loading’. This type of loading is rarely applied and will add a set amount (e.g. £1, £2) per thousand £’s of cover to your life insurance policy. This can be applied to life insurance plans in both the short and long-term.

Exclusions for Anxiety life insurance, critical illness cover or income protection

When applying for anxiety life insurance, there is a chance life insurance companies may apply mental health condition ‘exclusions’ to your insurance plan. Most people with anxiety are unlikely to have ‘exclusions’ added to their life insurance policy, however, this may apply to sufferers from anxiety with more severe medical conditions. A mental health condition ‘exclusion’ prevents life insurance policy holders from claiming due to their mental health problems.  This could also impact eligibility for additional insurance plan benefits like Total and Permanent Disability, Waiver of Premium and Guaranteed Insurability.

How much cover do I need?

The amount of anxiety life insurance depends on your personal circumstances. Although we can’t tell you how much financial protection you will need, there are some guidelines we can provide to help your life insurance application go smoothly.

You should keep in mind when making any life insurance application your life insurance rates could increase during the application process. This will usually happen after underwriting and could affect how affordable your policy may be.

  • The amount left to pay on your mortgage.
  • Any outstanding debt (e.g. Loans, second charge, credit cards and other)
  • Dependants
  • Spouse or Partner
  • Annual Income (after Tax)
  • Any financial assets (e.g. car, house, business etc.)

If you feel unsure or require more information to decide how much anxiety life insurance you will require to secure your family and home, see our iam insured life insurance policy calculator.

Critical illness cover will provide a tax-free lump sum if you become unable to work. People with anxiety and other mental health problems are often able to obtain critical illness cover on standard terms. If you have experienced major health issues such as suicidal attempts, hospitalisation and time off work you may find ‘loading’ or ‘exclusions’ added to your critical illness insurance plan. If you are considering a critical illness life insurance policy, you should account for:

  • Your annual Income (after Tax)
  • Mortgage/rental payments (annual)
  • Cost of living (annual)
  • Any other potential costs (e.g. medical treatment or adaptations)

The application process for an income protection insurance plan will often be very similar to critical illness. With an income protection life insurance policy, you will receive regular payments should you become unable to work due to health issues. Like critical illness suffers from anxiety can expect standard cover if they have a generalised anxiety disorder or their mental health problems are well controlled. If your mental health condition is more severe you are likely to be offered high life insurance rates and mental health condition ‘exclusion’. When thinking about the amount of you will need your income protection insurance plan to cover, you should consider:

  • Monthly income (after tax)
  • Mortgage/rent payments
  • Debts (other)
  • Cost of living

Which insurance companies offer Anxiety life insurance?

As time goes on more and more people are being diagnosed with mental health problems like anxiety and depression. As such, life insurance applications for anxiety life insurance are becoming more common every day. A mental health condition like generalised anxiety disorder should not impact your ability to obtain a life insurance policy and many life insurance companies offer standard terms to people with mental health problems.  

Sufferers from anxiety who experience severe panic attacks or have made suicidal attempts will receive higher life insurance rates and could benefit from speaking with specialist life insurance companies like iam insured. iam insured will look closely at your medical history and health issues to make sure we provide you with the highest quality life insurance plans available. To speak with one of expert advisors, contact our office now on 01244 732 890.

Anxiety critical illness cover and income protection providers

Sufferers from anxiety should be able to make a successful critical illness or income protection life insurance application through many life insurance companies. After a review of your medical history underwriters may apply mental health condition ‘exclusions’ or increased life insurance rates if your mental health problems are considered severe.

If your life insurance application for critical illness or income protection has been declined in the past you may wish to consider specialist life insurance companies like Iam Insured. Iam Insured can offer access to expert advisors anc can help you find the best insurance plan for your mental health problems.

Our team of insurance experts will help you to get some of the best deals from the UK’s top companies to save you money.

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