Smoker gets approved as a non smoker !?

[PhxSunsFan]

Had a client that told me twice she was a non smoker.. so quoted this way.. after reading some of the health questions, to her,,, she hesitated a bit and then, after some gentle digging on my behalf, she mentioned that she is now quitting to smoke.. I got her approved as a level smoker.. if she got approved as a non smoker.. what would have happened?? thinking not too much??

 

[Baseball7]

Definitely thinking too much just write the app move on.

 

[billyb]

If she would have died in the contestable period and if the company found out she had smoked they would have adjusted the death benefit down to what a tobacco rate would have bought at the time of purchase.

 

[PhxSunsFan]

sounds like every client should be written as a non smoker.. lol a little

 

[DonP]

Incorrect . They would have denied the claim . That was 20-30 yrs ago they used to adjust claims . The last 10-15 yrs they rescind the policy in the contestable period . Many cases I’ve read were they deny the claim . I had a 103b mib case with Trans 5 yrs ago .. At 20 months they rescinded the policy as they said they had info he smoked.

 

[billyb]

Just ask the question. If they lie it's on them. You just recorded their answer as stated.

 

[billyb]

DonP I didn't know this. I have only had 1 policy that didn't pay in my 43 years and it wasn't due to tobacco.

 

[rousemark]

If she would have died in the contestable period and if the company found out she had smoked they would have adjusted the death benefit down to what a tobacco rate would have bought at the time of purchase.

That is the way it used to be done but now it is possible they can contests the claim and void the policy..

 

[DonP]

That’s why the pos interview is really beneficial for the agent . Their answers are recorded so a spouse can never come back and say the agent lied . We deal with a lot of high risk clients in fe so your going to have contestable claims . In the last 6 months I've had 8 or so claims from the 2015-2017 time frame . I’ve also noticed over the yrs when a policy stays on the books 5 plus years it’s usually staying active till the end . That’s why replacing older policy’s is tough . I know many fe agents will replace anything but I don’t like touching older policy’s overall .

 

[WinoBlues]

Had a client that told me twice she was a non smoker.. so quoted this way.. after reading some of the health questions, to her,,, she hesitated a bit and then, after some gentle digging on my behalf, she mentioned that she is now quitting to smoke.. I got her approved as a level smoker.. if she got approved as a non smoker.. what would have happened?? thinking not too much??

If she died during the contestable period the claim would have been declined if found out.