I ran into a situation the other day with a client. As I was going over the underwriting questions we came to one that asked, “Has the prospective insured had a felony in the last 10 years?” The person was embarrassed but answered, “Yes!” I stopped the phone application and let that person know that he/she would not meet the underwriting criteria for the company. We ended up going with a different company, instead, that was slightly more expensive, but that did not care about the felony!
While you may agree or disagree with the question that was asked, it is part of what a particular company wants to know. Like people, every company is different. What I want to get at, though, is that the person HONESTLY answered the question, even when it was uncomfortable. Had that person not told me the honest truth and there had been a claim, that claim would have been denied based on the premise that the person would never have been allowed insurance in the first place! Additionally, the fact that they lied on the application, is grounds for misrepresentation. I have seen this in my experience!
When we ask tough questions at DLR Insurance Group, don’t think we are just prying into your business! We really need to know the truth so that your claims get paid!