Depression can indeed affect life insurance, as it is considered a pre-existing condition that can impact the cost and availability of coverage. Depression can affect life insurance in the following ways:
1. Underwriting Process: When applying for life insurance, individuals with a history of depression may undergo a more thorough underwriting process. Insurers may request medical records and information about treatment history to assess the severity and management of the condition.
2. Premiums: The presence of depression can lead to higher premiums, as it is considered a risk factor by insurance companies. The severity and treatment of the depression will influence the extent of the impact on premiums.
3. Coverage Limitations: In some cases, individuals with a history of depression may face limitations on the amount of coverage they can obtain. This can vary depending on the severity and management of the condition.
4. Exclusions: Certain types of life insurance policies may exclude coverage for suicide within a specified period for individuals with a history of depression. This exclusion is typically temporary and may vary by insurer and policy.
It's important to note that the impact of depression on life insurance can vary by insurer and policy, so it's advisable to consult with insurance professionals to understand the specific implications for individual circumstances.