7. Underwriting Guidelines (Summary)
Our plans are not guaranteed issue — clients must qualify. Here is what disqualifies applicants:
- Currently hospitalized or in a nursing facility
- Diagnosed with or treated for certain conditions in the past 2–5 years (check UW guide for specifics)
- Certain occupations listed in the underwriting guide may be ineligible — always check
- The first 10 major health questions are knock-out questions — a YES on any of these means the applicant does not qualify. For other health questions, a YES does not automatically mean rejection. It may result in a rate-up, meaning the underwriter increases the policy premium to account for the health condition. The client can still be approved, just at a higher rate.
Always reference the PALIC Underwriting Guide before quoting clients with complex health histories.