Refused disability insurance because of depression

[Leo I]

I was just turned down for disability insurance "because of my medical history". I've never had any health problems except for depression/dysthymia and the only medication I take is lexapro. I've never been hospitalized, missed school or work due to depression. I'm surprized to have been turned down. Is this something that doesn't need to be disclosed to insurance companies? Are they going to find out anyway? Thanks.

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[DrMom]

this is quite common with life insurance and doesn't surprise me with disability insurance either. when you apply for disability insurance they are going to review your medical records, so this isn't really something that you can hide from them

 

[Doctor Bagel]

That sucks, and I'll probably be right there with you in a few years. Unfortunately, depression is a huge cost for disability insurers. I handled disability claims, and depression was one of the top causes of disability that I saw. You can try to appeal the refusal, but I don't know what else you can do.

 

[docB]

I don't suggest lying about it. If you do and you eventually try to file a claim you can bet they'll investigate it. When they find out (and you know they will) they'll say "Thanks for paying all those premiums. Now go get bent." I'm uninsurable too (HTN). What I suggest, if you have the discipline to do it, is to take the amount of money you would have spent on premiums and invest it (something safe, IRA, whatever). I figured out that if I did that for ~10 years the amount I will have saved would equal the amount of benefit I could get if I became disabled. If something happens prior to that break even point then you're screwed but we're screwed anyway.

 

[Doctor Bagel]

I don't suggest lying about it. If you do and you eventually try to file a claim you can bet they'll investigate it. When they find out (and you know they will) they'll say "Thanks for paying all those premiums. Now go get bent." I'm uninsurable too (HTN). What I suggest, if you have the discipline to do it, is to take the amount of money you would have spent on premiums and invest it (something safe, IRA, whatever). I figured out that if I did that for ~10 years the amount I will have saved would equal the amount of benefit I could get if I became disabled. If something happens prior to that break even point then you're screwed but we're screwed anyway.

Yep, if they find out you lied, they'll do a retroactive denial of coverage. You will get the premiums back, but that's it. They might also investigate you for fraud, but probably not because the retroactive absolves them of any liability.

Does your residency program have disability insurance? That would be better than nothing. I guess as a physician you can always try to work for bigger employers who will have a group plan. The key to that is to sign up asap to avoid submitting evidence of insurability. DocB's right, too, that self insuring and praying that nothing happens before you get enough money accumulated might be it. Eh, it still sucks.

 

[docB]

Not to keep crapping on your parade but... Whenever you apply for insurance (disability, medical) they have a question along the lines of "Have you ever been denied or rated for insurance in the past?" To avoid the afformentioned problems you'll have to tell them about being denied this time and they'll likely either deny you as well or quote you a really astronomical figure. I feel for you because I'm in the same boat.

 

[sdn1977]

My husband, a dentist, had a brain tumor 18 years ago - made him uninsurable. Fortunately, he already had some disability & a bit of life, which they were forced to continue. We were young & it wasn't as much as it should have been. But...his medical was thru my employment which kept me in the same job for years before insurance portability. And, altho, I have been able to change jobs, I still must work enough to have full medical to insure him (full time is only 24 hrs for a pharmacist, so I can't complain.) I can also buy life insurance for him thru my employment.

So....get a spouse for your medical & life & save, save, save, save for your disability needs (oh...& try not to do things that will disable you - for him that meant power tools to keep his hands!).

 

[Jocomama]

Try sending applications for several
Be honest, but get them in quick, and like the others have stated, go ahead and appeal this while awaiting your application with several other disability companies.
Try Northwest Mutual.

My husband, a dentist, had a brain tumor 18 years ago - made him uninsurable. Fortunately, he already had some disability & a bit of life, which they were forced to continue. We were young & it wasn't as much as it should have been. But...his medical was thru my employment which kept me in the same job for years before insurance portability. And, altho, I have been able to change jobs, I still must work enough to have full medical to insure him (full time is only 24 hrs for a pharmacist, so I can't complain.) I can also buy life insurance for him thru my employment.

So....get a spouse for your medical & life & save, save, save, save for your disability needs (oh...& try not to do things that will disable you - for him that meant power tools to keep his hands!).

 

[Leo I]

I don't suggest lying about it. If you do and you eventually try to file a claim you can bet they'll investigate it. When they find out (and you know they will) they'll say "Thanks for paying all those premiums. Now go get bent." I'm uninsurable too (HTN). What I suggest, if you have the discipline to do it, is to take the amount of money you would have spent on premiums and invest it (something safe, IRA, whatever). I figured out that if I did that for ~10 years the amount I will have saved would equal the amount of benefit I could get if I became disabled. If something happens prior to that break even point then you're screwed but we're screwed anyway.

Thanks. I think I'll follow that advice. I'm socking away every penny I can anyway. I really just wanted the disability insurance to make sure I didn't have to dip into retirement savings if something happened.

 

[Leo I]

Does your residency program have disability insurance? That would be better than nothing. I guess as a physician you can always try to work for bigger employers who will have a group plan. The key to that is to sign up asap to avoid submitting evidence of insurability. DocB's right, too, that self insuring and praying that nothing happens before you get enough money accumulated might be it. Eh, it still sucks.

Yes, my program has DI. It's not great but it's better than nothing. I'd rather not chose my future employer/career based on disability insurance but I guess it'll be something I'll be thinking about.

 

[Leo I]

Not to keep crapping on your parade but... Whenever you apply for insurance (disability, medical) they have a question along the lines of "Have you ever been denied or rated for insurance in the past?" To avoid the afformentioned problems you'll have to tell them about being denied this time and they'll likely either deny you as well or quote you a really astronomical figure. I feel for you because I'm in the same boat.

Thanks, docB. I figured as much. 🙁

 

[doctordi]

I see this all too often with my clients. Mental/Nervous is the catergorie that stress, depression, anxiety, etc. all fit into and is the second leading cause of disability, so the companies are very careful when writing it. From what you posted you should be able to coverage through someone. I would try Principal, or Union Central they have been favorable to my clients with this history in the past and have offered coverage when Guardian/Standard would not.

Also take a look at your group benefit depending on how it is written it may be convertable. If it is it probably is a guarantee issue conversion meaning the company that wrote the group has to write you a personal policy when you leave. Hope this helps and feel free to contact me with any questions.

 

[lexrageorge]

Don't give up hope just yet.

First, find an insurance agent that may be able to help you get coverage. Explain your history. There may be an insurance company that is willing to make exceptions. Yes, it will cost more. But, with disability, you can alleviate the cost somewhat by increasing the waiting period from the standard 90 days to 180 days, reducing the payout amount, excluding disability due to preexisting conditions for 2 years, etc.

Also, sometimes a longer history of healthy living with your problem can be used as a factor in your favor further down the line.

 

[Doc Oc]

Are all "depressions" treated equally when being considered for disability and/or medical and/or life insurance policies? What if a person had postpartum depression, or an episode of major depression diagnosed after a specific loss, like the death of a spouse or child, for which they were treated with an antidepressant?


If postpartum counts, you can add me to the list of the uninsurable (although I already have a large life insurance policy that my dad pays for).

I'm so guilty of digression lately, but this was the conversation with my dad:

Phone rings in the middle of the afternoon when I am usually at school and Dad is usually at work:

Me: Hello?

Dad: Do you have life insurance?

Me: (jokingly) Who is this?

Dad: It's your dad. I need you to get some life insurance. I'll pay for it. Just call me and tell me how much it is?

Me: Huh?

Dad: Just do it.

Me: I'm a little confused...

Dad: (in all seriousness) Don't worry. I'm not going to bump you off or anything.

My dad is hilarious.

 

[doctordi]

Personal disability insurance policies are underwritten on a case by case basis. Situational depression (loss of spouse etc.) is often overlooked. Some companies are more relaxed when it comes to this than others but they want all the facts. A good agent will deal with the underwriters on your behalf and can usually obtain coverage from somewhere.

 

[Winged Scapula]

Given the rate of depression amongst physicians (higher than the general public), there's sure to be a lot of colleagues in the same boat as the OP.

 

[docB]

Something to consider is that some insurers may not care about depression because they won't offer any mental health coverage anyway. Lots don't. I suspect, however, that even if they wouldn't cover your depression they will still hold it against you because they won't want to pay for all the phsycal stuff depression is accociated with and it's a seller's market for insurance now.

 

[doctordi]

One option is a mental health exclusion that will not pay you if you become disabled due to this but covers all other disabilities. Companies are careful to write a contract for someone with a history of depression because of the exact reason stated above even with the exclusion.

 

[medmo]

Yep. Been there. When I bought my disability insurance I went through extra effort to demonstrate that my anxiety/depressive symptoms had never caused any limitation to work, etc. I hadn't even been Rx'd anything, just been to a therapist during some bumps in the road. My premium still went up, but they didn't turn me down. So, I guess if you look around, you'll probably find another company that will work with you.