Does life insurance cover me for pre-existing genetic disorder?

Written by 
Bill Tsouvalas
Bill Tsouvalas is the managing director and a key company spokesperson at Savvy. As a personal finance expert, he often shares his insights on a range of topics, being featured on leading news outlets including News Corp publications such as the Daily Telegraph and Herald Sun, Fairfax Media publications such as the Australian Financial Review, the Seven Network and more. Bill has over 15 years of experience working in the finance industry and founded Savvy in 2010 with a vision to provide affordable and accessible finance options to all Australians. He has built Savvy from a small asset finance brokerage into a financial comparison website which now attracts close to 2 million Aussies per year and was included in the BRW’s Fast 100 in 2015 as one of the fastest-growing companies in the country. He’s passionate about helping Australians make financially savvy decisions and reviews content across the brand to ensure its accuracy. You can follow Bill on LinkedIn.
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, updated on June 2nd, 2023       

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One of the things that life insurance centres on is the condition of your health. This generally determines the premium that you could end up paying. But what happens when you have a pre-existing genetic disorder? Is it possible to find an insurer in Australia that will cover you? Here is what you need to know when it comes to finding a life insurance policy that covers pre-existing genetic disorder.

pre-existing genetic disorder insurance

Life insurance and pre-existing genetic disorders

A genetic disorder is something that is out of your control. This tends to be a condition that runs in families and is often known as hereditary conditions. For examples, some genetic disorders are some cancers, cystic fibrosis, high cholesterol, hemophilia, muscular dystrophy, and birth defects.

According to the department of health of WA, 6 out of 10 Australians have a genetic disorder. Not all insurers cover pre-existing genetic disorders, but it is possible to find an insurer that specialises covering people who have pre-existing conditions.

Will my premiums be high?

This will depend on a case-by-case basis and will vary from insurance company to insurance company. There may also be some genetic disorders that one insurance company will cover while another won’t. Therefore, speaking to an insurer and disclosing the relevant medical history can help you find a policy that is best suited to your needs. However, most insurers will require that you are taking medical treatment to treat your condition and you have regular consultations with your doctor to be meet their criteria. The reason for this is to ensure that you do not put the insurer at risk by jeopardising your health.

What else will I be assessed for during the underwriting process?

It helps to know the criteria that are needed so that you can get access to cover as soon as possible. Insurers will look at various risk factors during the underwriting process. What they will generally assess is:

  • Your lifestyle such as whether you are a smoker, drinker, or participate in an activity that is hazardous. This can either increase your premiums or could be listed as one of their exclusions that they will not cover you for.
  • Your family medical history can help insurers assess if you are susceptible to other diseases that may pop up later.
  • The occupation that you have and the risk that it poses on your health. the more risk factors involved in your occupation the more likely that your premiums will increase to ensure that you and your loved ones are adequately covered.

It is illegal for an insurer to be discriminate against you because of your genetic disorder. If your application is rejected despite meeting the application criteria, you can ask your lender to give you a reason for this. Make sure to keep all interactions documented as proof.