the job subject got me thinking of this.,
i am just about to get life insurance.., and i am sure they will have questins on dangerious stuff .. so how do i tell them about the racing without it sounding so bad....
i would hate to get the policy ., they god forbid something happen and them not pay out on a technicality...
sorry for the morbid type topic.... but....
thanks
I'm the same. I want a life insurance policy that will pay my family in the event I "bite the big one" at the track.
You will need to disclose the racing on your life insurance application. If you don't and you die during the contestibilty period (one to two years depending upon the state you live in), your beneficiaries would only receive a refund of the premiums paid.
Expect to pay a surcharge for your racing habit. Sometimes it can be a flat extra fee on the contract, the other could be a percentage increase to the cost of the insurance. These fees could be on the contract for the entire time you have it or for a certain period of time. Be sure to shop around.
Good Luck,
Dawn :)
I work for an insurance company and have looked through some of the underwriting guidelines. It's interesting to see what activities they equate with the same rates. For instance, you'd get a cheaper rate being a rodeo clown...
QuoteYou will need to disclose the racing on your life insurance application. If you don't and you die during the contestibilty period (one to two years depending upon the state you live in), your beneficiaries would only receive a refund of the premiums paid.
Expect to pay a surcharge for your racing habit. Sometimes it can be a flat extra fee on the contract, the other could be a percentage increase to the cost of the insurance. These fees could be on the contract for the entire time you have it or for a certain period of time. Be sure to shop around.
Good Luck,
Dawn :)
What if I got an insurance policy say 5 years ago and had no clue I would race or even own a motorcycle. Would they have to cover you then? People take up all kinds of activities years after the policy is in effect. Are you supposed to let them know if it changes?
I've mgot the maximum allowable supplemental AD&D coverage through work I'd pretty much just assumed that if I was to explode or something, my beneficiaries would be cared for... I've never really looked at the "fine print" in the policy... maybe I should. Hmm.
typical corporate insurance policies have no exclusions for recreation as such. They do have issue when it goes to a professional level. However, in contacting the insurance companies about it, they typically don't consider you as professional unless the hobby is your main source of income...
Jeff, I know you said "typically, but I have found it to be more on the other end. When my company tried to get me a $1,000,000 keyman insurance policy, they battered me with questions about racing and according to them, I was a professional due to having raced a "National" race (Formula USA) in the last 2 years and the fact that I made claims about it in my tax return. I also tried to get some life insurance on my own and the monthly premium was unbeliveable due to the same reasons.
When I got interviewed for the keyman's insurance, the very first question they asked me was: "Have you raced a car, boat or motorcycle in the last 5 years?"... I knew right then and there that it was going to be a looong interview!
QuoteWhat if I got an insurance policy say 5 years ago and had no clue I would race or even own a motorcycle. Would they have to cover you then? People take up all kinds of activities years after the policy is in effect. Are you supposed to let them know if it changes?
No, you are not required to do so. After the contestibility period, there's nothing the insurance company can do about it.
Dawn
thanks ., keep the replys coming., i would like to have an idea what to say when i sit down with a rep.
thanks everyone
Quotethanks ., keep the replys coming., i would like to have an idea what to say when i sit down with a rep.
thanks everyone
When you do apply for life insurance and disclose your racing habit, someone from the insurance company may call you to conduct a "Personal History Interview" Many times this is used to verify or clarify medical information, or in your case, get more details on your racing backround. If you have been racing for a period of time be sure to tell them that, if you can show that you are experienced, the underwriter may look more favorably on your application. If you are a new racer, be sure to tell them (if applicable) that this is a club event and not a professional hobby.
Dawn
Just did the Life thing having the new baby and all.
Racing, Scuba diving, para sailing, hang gliding, parachuting , Helo skying, all were in the same tell us more catergory. I simply listed how much time I actually raced (not practice actual race time) in minutes in the last 2 years and how much I expected to in the next 2 years. It only had space for 3 vehicles so I listed the 5hp YSR, the 25hp RM125 and the 35 HP XL600 oops no room for the 75hp SV or 130 hp GSXR750's (thanks again Darrin, Roger and K3 for the seat time).
any idea how much it will cost for a policy ., i have never looked into this before...
32yo male., non smoker . no medical history ., plus the racing... just an idea would be good....
for say 750k or 1 million... or even 500k policy ., term life ?!
From what I remember from when I was looking, I think the quote I got for me, a 33 yr old non-smoker in good health was $1900 a year or so. This was for a $500,000 policy about a year ago. The places I looked wouldn't even include a provision that it would not cover me while racing...not that I would want that, but still!
ouch ., thats like $160 a month ......... and i thought life insurance was cheaper., uggg
It normally is. It's just the racing part that bumped it up to that amount.
I know at my company, there are certain activities that will explicity exclude your beneficiaries from receiving benefits. They went as far as discussion portions of dismemberment. What was interesting is that flying personal aircraft, and a couple of other things were listed, but not any form of racing. Does that imply that I am covered because it was not explicity cited in the document. I guess that's the meaning of "contestable".
You should be covered for anything that's not specifically listed under Exclusions.
I am self employed, want to talk money, try getting income disability insurance....telling them you race or not, it is higher than the best health insurance.