TodayDo life insurance rules that deny payment after suicide discriminate against those with mental health issues? If those rules didn't exist would suicide rate increase?
A life insurance policy doesn’t have to pay out if you take out the policy AND commit suicide in a short period of time. If it’s after that period of time the policy MUST pay out. That is law. Former life insurance salesman here.
So since it is a relatively short period of time, it’s say it shouldn’t have any real change in suicide rates
pleasemakesenseLet’s say your mental health issues has been known before you took out the policy, would that affect the payout regardless of time between taking it and the suicide?
SzethFriendOfNimiWould they even underwrite the policy?
Typically no. Life insurance companies don’t like anything regarding mental illnesses. Largely because it’s under researched, so they just say “no thanks.”