Pre-existing medical conditions and income protection

Pre-existing conditions may well affect your ability to get income protection. They could mean higher prices, limits on cover, or conditions about when you can and can't claim.

Nevertheless, it's very important that you disclose them when applying.

This article explains how pre-existing medical conditions are treated by insurers, and gives you some tips on finding the right income protection insurance if you have a pre-existing condition.

If you're looking for income protection right now, check out our article on the best income protection insurance, according to objective criteria. Otherwise read on to learn:

• What is a pre-existing medical condition?
• How do insurers treat pre-existing medical conditions?
• What if I don’t disclose my pre-existing medical condition?
• How can I find the right income protection insurance if I have a pre-existing medical condition?
• Income protection with MS

What is a pre-existing medical condition?

A pre-existing medical condition is any illness, disease or condition that you had symptoms of before you took out your income protection insurance policy.

It doesn’t matter whether you’ve been diagnosed by a doctor, or whether you’ve only had symptoms.

How do insurers treat pre-existing medical conditions?

When you apply for income protection insurance, the insurer will ask you about your medical history. They’ll use this information to assess your risk, and this will affect how much your policy costs and what’s covered by it.

If you have a pre-existing medical condition, the insurer may:

• "Load" your premium, which means you’ll pay more for your policy
• Exclude your pre-existing condition from your policy, which means it won’t be covered
• Impose a waiting period, which means you won’t be able to claim for a certain period of time after you take out your policy

What if I don’t disclose my pre-existing medical condition?

If you don’t disclose your pre-existing medical condition to the insurer, and you make a claim, your claim could be rejected.

This is because the insurer will argue that you didn’t give them accurate information about your health, and so they shouldn’t have to pay out.

We've compiled statistics about how frequently specific insurers pay out on income protection claims here.

How can I find the right income protection insurance if I have a pre-existing medical condition?

If you have a pre-existing medical condition, it’s important to shop around and compare income protection insurance policies to find the right one for you.

Here are some things to consider when you’re comparing policies:

• The cost of the policy: make sure you compare the cost of the policy, including any loading or exclusion, so you know how much it will really cost you.
• The cover and exclusions: make sure you understand what’s included and excluded from the policy, so you know what you’re covered for.
• The waiting period: make sure you understand the waiting period, so you know how long you’ll have to wait before you can make a claim.

If you’re not sure which policy is right for you, it’s a good idea to speak to a financial adviser. They can help you compare policies and find the right one for your needs.

Income protection with MS

Multiple sclerosis (MS) is a condition that affects the central nervous system, and can cause a wide range of symptoms, including fatigue, muscle weakness, difficulties with balance and coordination, and problems with vision.

If you have MS, you may be worried about how it will affect your ability to work and earn an income. Income protection insurance can help you financially if you’re unable to work because of MS, by replacing some of your lost income.

However, because MS is a pre-existing medical condition, it could affect your ability to get cover, and the cost of your policy. The best course of action may be to speak to a specialist financial adviser.