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Image of Lego police squad stopping criminals for Quotacy blog How Does a Criminal Record Affect Buying Life Insurance?

How Does a Criminal Record Affect Buying Life Insurance?

July 11, 2021
Our goal is to educate and advise on life insurance options, so you can feel confident in making the right choice, whether that’s through Quotacy or somewhere else. To ensure we provide accurate and trustworthy information, our writers follow strict editorial standards.

The Netflix original series Orange is the New Black brought up many questions and water cooler conversations about the impact of imprisonment on individuals and their families. In the series (and in real life), many women in prison have families outside the prison walls who have stepped up to raise their children.

In many cases, these families don’t have the financial support to take care of themselves, let alone extra mouths to feed. Many of them struggle as they wait for loved ones in prison to be released, while family members who are imprisoned wonder what they can do to help.

All of this begs the question:

Can you get life insurance while in prison?

According to the Bureau of Justice Statistics, U.S. state and federal correctional facilities held an estimated 1,215,800 at yearend 2020.

If these people did not get life insurance before being incarcerated, could they get a policy once inside?

Chances are no.

Life insurance companies evaluate the risks of individuals who apply and the risk of insuring someone in prison is much too high to take on.

Janet Gillespie, a spokeswoman for Prudential, states:

We do not offer life insurance coverage to any incarcerated individual… our underwriter feels this is industrywide.

Besides, most life insurance companies require a medical exam, and a paramedical examiner is not going to go into a prison to take the necessary samples.

What if you had life insurance before prison?

What if these individuals had life insurance before being incarcerated? Would the policy remain inforce even while behind bars?

Those who have life insurance and enter prison will continue to have life insurance as long as their premiums are paid.

Whether a family member is paying them or they are auto-drafted from the policy owner’s bank account, the policy will remain inforce. Generally, there is no clause written into the policy that terminates it because of incarceration.

» Calculate: Life insurance needs calculator

Can someone on probation or parole get life insurance?

The further back your indiscretion happened, the better. Many life insurance carriers do not want to insure someone on probation or parole because of higher risk of ending up in jail.

Someone on probation is being thoroughly supervised by the criminal justice system and any minor violation could send them to jail. Someone on parole is also being supervised by the criminal justice system and any minor violation can put them behind bars again.

According to the Bureau of Justice Statistics, over half of released prisoners end up being rearrested within three years of release. The longer you have been off probation or parole, the better your chances for getting approved for life insurance and affordable premiums.

» Compare: Term life insurance quotes

Overall, to get life insurance with a criminal history, you’ll need some positive things going for you.

Favorable factors include:

  • You’re married.
  • You’re employed.
  • It was a single criminal offense.
  • You have completed your sentence, including probation or parole.
  • No drug or alcohol issues.
  • Favorable driving record.
  • You disclosed the criminal history on your application to get life insurance.

Individuals with patterns of multiple offenses or those with histories of alcoholism, drug abuse, or violent behavior will typically be declined for life insurance.

If you have a criminal record and you would like to get life insurance, don’t try to hide it. Ordering up a background check is pretty standard when a life insurance company evaluates an application. The severity of the crime, whether you were convicted of a misdemeanor or a felony, will affect how you’re underwritten, as will the length of time passed since the crime.

See what you’d pay for life insurance

Comparison shop prices on custom coverage amounts from the nation’s top carriers with Quotacy.

However, don’t be afraid to apply for life insurance. Life insurance is extremely important especially if you have loved ones depending on you for financial support. Take a moment to run free and anonymous term life insurance quotes for an estimate on what it might cost you.

Working with an experienced life insurance agency like Quotacy is the best way to get affordable life insurance. We have relationships with many life insurance companies and will shop your case at the places where you have the best chance of getting approved for affordable coverage. With life insurance, you know your loved ones will be financially secure, if you are no longer around to provide for them.

Get free life insurance quotes from Quotacy to see where you stand.

Watch the Criminal Records and Life Insurance Video

10 Comments

  1. Ace

    If one has been arrested and charges have not been filed after one year would the insurance company still decline coverage?

    Reply
    • Natasha Cornelius

      Ace, if a person was never charged and their record is still clean, they may still be able to qualify for life insurance. Be sure to be 100% honest when filing out a life insurance application.

      Reply
  2. Tammy

    Hello what about people who have to register for sex offenses or violent offense and completed parole or probation? Can they apply for life insurance?

    Reply
    • Natasha Cornelius

      Hi Tammy, anyone can apply for life insurance. Whether or not they are approved is a different story. Once someone has completed parole, they have a chance at getting coverage. Insurance companies vary on how many years post-parole they prefer, but, for the most part, if at least one year has passed since parole completion, life insurance coverage is possible.

      Reply
  3. Thao Nguyen

    Hi there
    I had a misdemeanor class B 13 years ago then did the deferred adjudication 5 years ago. Now I’m going to buy a life insurance for myself. My question is should I disclosed that with them ?
    Thank you

    Reply
    • Natasha Cornelius

      Hello! Thanks for your question. Deferred adjudications will still normally show up on your criminal background check. We recommend you disclose it and provide background details to explain to the insurance company what the situation is. It’s better to be upfront versus the insurance company finding out on their own. Since the offense occurred over 10 years ago and you satisfied all court requirements 5 years ago, affordable life insurance rates should still be an option for you. After you apply online, a Quotacy agent will review your application and make sure to match you with the insurance company that will offer you the best possible rate.

      Reply
  4. David

    hello I am 33 I have one non violent felony for drug possession in 2008. I am eligible for expungement in 6 months. That process can take six months to complete. Is it worth it to wait then apply for life insurance or do so now. I’m considering the policy prices in regards to waiting later or applying now

    Reply
    • Natasha Cornelius

      David, we haven’t had a case in which an applicant has an expunged felony. Our guess is that it’s possible life insurance carriers would offer a better rate if you waited, but we can’t be 100% sure on this.

      Since the felony occurred over 10 years ago, if you applied now, best case scenario would be an offer of Standard. Take a look at this article for a better understanding of what a Standard risk class means: Life Insurance Risk Classes: Will I Be Rated Preferred or Standard?

      Thanks for your question. Apologies that we don’t have a concrete answer for you. There are many factors the life insurance carriers will look at and some carriers treat certain factors, like criminal history, differently. Until we have all the information and can shop your case to the carriers we work with, we can only make educated guesses.

      Reply
  5. Ron

    Hello can you help me find an insurance company that doesn’t ask about felony convictions. Also I am currently on probation. Thanks

    Reply
    • Natasha Cornelius

      Ron, your best chances at getting life insurance coverage is to apply once you complete probation. For a felony, most life insurance companies won’t approve coverage until after at least five years have passed.

      Reply

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