Guaranteed Issue Right
If you want to purchase an insurance policy without having to take medical and/or physical examinations, then there is good news for you—you can acquire one because of Guaranteed Issue Right. You may have heard of Guaranteed Insurability Option which lets you acquire additional coverage without having to prove your insurability. Do not mistake it for Guaranteed Issue Right, because they are different. While Guaranteed Insurability Option lets you acquire additional coverage without having to prove your insurability, Guaranteed Issue Right is a right that allows you to purchase insurance policies without having to take medical and/or physical examinations. With Guaranteed Issue Right, you also would not need to present data or documents about your past and present physical conditions. When you have this right, it means that the laws of your state requires insurance companies to offer you policies that would cover for you regardless of your health condition. Often times people get guaranteed issue rights when their coverage changes or when they are dropped from a policy.
The Duty of Insurance Companies Obliged by the Law
The first thing they have to do is to sell you their policy. If you maximize your right by purchasing their policy, the insurance company will have to cover for your present health conditions no matter what those are. The insurance company cannot charge you more for their policy because of pre-existing and previous health problems, which means that you can purchase insurance policies without having to worry about extra payments due to your health condition.
A Few Examples
1. Sue is in a plan, but she is leaving the plan’s coverage area. Due to this, she is eligible for a guaranteed issue right.
2. Sue is in a plan, but the plan stops offering cover in her area. She then becomes eligible for a guaranteed issue right.
3. John has a plan in a company which goes broke. He is then eligible for a guaranteed issue right.
4. John leaves his plan because his company did not follow the rules. He is now eligible for a guaranteed issue right.
5. Dave has a plan in a company which misinformed him about the rules. Due to this, Dave decides to leave the company, and for his reason of leaving he is now eligible for a guaranteed issue right.
Last Reminders about Guaranteed Issue Right
Guaranteed Issue Rights have a limited amount of time in which you can purchase insurance policies. The period of time is usually around 63 days. Once you miss the deadline for acquiring coverage, you may not be able to purchase insurance policies under a guaranteed issue right. It is then best to act quickly after your guaranteed issue right trigger occurs so that you do not miss anything.