Should I Tell Wife Why Husband Declined Life Insurance

[NuUzr]

So wife becomes my client first, then refers me to husband. He applies for life policy, is declined, but does not tell wife why. Am I bound by HIPAA? Ethics?

This can't be a honest question.

Where are you bound by law to interfere in a sacred union between a husband and wife, regarding a whole life insurance application denial?

Sounds like someone's itchin to stir the pot..

 

[Elsie]

Well, I believe it's better to leave the couple along and let them solve their problems, rather than selling them an insurance plan.

 

[LGilmore]

This really is the reason companies don't tell agents outright why somebody was declined.

The simplest thing for the OP to do is say "they don't tell me why." That removes you from the conversation and you aren't disclosing what could be personal information to the spouse.

 

[BADTROUT]

Not unless it's your wife.

 

[eersfan]

So wife becomes my client first, then refers me to husband. He applies for life policy, is declined, but does not tell wife why. Am I bound by HIPAA? Ethics?

Many years ago, I wrote term insurance on a husband and wife. Oral fluid samples taken and sent with the apps. Wife was approved as applied for...husband declined. Only two things would cause a decline...drugs and/or HIV. The underwriter called me to tell me the husband was going to be declined. When I asked why, he said "Your client doesn't use drugs".

I called the wife to tell her she was approved and set an appointment to deliver the policy. When I arrived, the husband asked me the status of his. I could only say he would be notified by the insurance company when final underwriting was completed. Fast-forward a week or so. Wife calls me to say he had been declined with the letter suggesting he make an appointment with his physician to be tested for HIV.

A week or so later, the wife calls me to say he tested positive for HIV and that she was filing for divorce and needed to change her beneficiary.

 

[Caryn Montague]

Thanks to all, trusted my instinct and training.

Perhaps you can suggest he tell wife he decided against the particular policy or insurer or premium while you see if there are any guaranteed to issue benefits for which he may apply and be approved??? Some associations still have some easy on the underwriting, lower face amounts, sub-par but issuable plans. (And, yes, I agree.....don't challenge HIPAA or ethics!)