Life Insurance

People with epilepsy often have difficulty finding life insurance at affordable rates. Insurance companies generally view persons with epilepsy as more likely to die at an earlier age than the average population; therefore, the insurance company would have to pay death claims sooner, costing the insurance company more money.

Individual or Group Policies

People can purchase either individual insurance policies or participate in group policies offered by their employers. With group policies, people do not have to submit to examinations, and therefore, having epilepsy will not usually interfere with eligibility. People can sign up for the insurance during open enrollment periods. However, if someone with epilepsy is purchasing an individual policy, a physical examination or a review of medical records will reveal the condition, which could result in the insurer either denying coverage or classifying that person as a high risk subject to higher premiums.

Classifying Risk

To classify risks, insurers develop risk categories according to past, present and predicted health trends associated with mortality rates. However, mortality tables are not public so it is difficult for people to determine how they would be classified. In fact, whether or not a person with epilepsy has a shorter life expectancy than a member of the general population depends, in part, on seizure type and seizure frequency. Studies indicate that people with infrequent seizures or absence or complex partial seizures experience no greater mortality than people in the general population. When an insurance company treats all epilepsy alike, but the applicant does not have a seizure profile associated with increased mortality, it may be useful for him or her to provide detailed information from the doctor to show that the applicant's history is inconsistent with high risk classes. Additionally, if someone is initially classified as a high risk, he or she may be reclassified if the condition or life habits improve.

Permanent or Term Insurance

One's risk classification and the type of policy determines the cost of the policy. The two major categories of insurance are permanent and term. Term insurance is generally less expensive than permanent. Policy writing practices vary significantly among companies, therefore, it is extremely important to "shop around" to get the broadest coverage at the lowest rates. It may be helpful to contact an insurance broker who is familiar with eligibility and with the practices of companies doing business in the state. A financial planner may also be of assistance to determine what type of coverage is best and how much you need.

Laws that Improve Access

Many states prohibit discrimination in insurance on the basis of disability unless the discriminatory treatment is based on sound actuarial data. In addition, some states have passed various types of insurance reform laws which may make it easier for someone with a medical condition to get insurance and/or which create a plan for those who cannot get insurance through the private market. On the Federal level, courts disagree on whether the Americans with Disabilities Act (ADA) provides protection against discriminatory practices of insurance companies towards people with disabilities. For life insurance, generally employers, public entities (which includes states and their departments and agencies), and insurance companies selling insurance directly to the public are only required to offer the same policy to all employees or applicants. Differential treatment in costs for policies is permitted so long as the differences are based on sound actuarial data.

Regulating Insurance Companies

The state insurance commission regulates the insurance industry in your state and can often assist with questions about state insurance regulations and an individual's rights in regard to insurance coverage. If you are denied insurance coverage due to epilepsy, you may want to consult the Commission about whether the insurer's actions were legal under your state laws. The activities of state insurance commissioners in combating discrimination vary from state to state. For your state's insurance commission information contact our Information & Referral Department at (800) 332-1000 or, visit their website.