What Happens If I Lie on My Health Insurance Application?
By Krista DeKuyper | February 19, 2025 |
If you ask for an insurance quote and see a condition of yours was excluded from coverage, you’ll probably get the urge to lie about that condition on your next application. The truth is: people lie on their health insurance application all the time. Although it’s common, we highly advise against it. You think you won’t get caught, but insurers know how to discover medical issues not mentioned in your application. We’ll show you how easy it is to get caught lying on your health insurance application, as well as the potential consequences.
Getting Caught Lying on Your Health Insurance Application
Let’s imagine you have a heart condition that you take medication regularly for. You fill out a health insurance application and mention your heart condition, only to find that your desired provider has excluded the condition as eligible for coverage. You go to a second insurance provider and go out of your way not to mention your heart condition or medication on your application. This second provider gives you a policy with no exclusions and low rates, exactly what you wanted!
But imagine complications arise for your heart condition years later. Your doctor prescribes new medication to treat the issue, and notifies your insurance to obtain coverage. Your doctor knows that your heart condition is pre-existing, but your insurance doesn’t. As soon as your insurance receives the claim, they are now aware that you’ve had this heart condition since before applying for insurance.
Secure Favourable Health Insurance Terms with HealthQuotes
Pre-existing health conditions are the main reason people lie on their health insurance application. These conditions cause the cost of your plan to rise or your condition to be excluded from coverage.
Nevertheless, any chronic conditions deserve proper health insurance coverage. That’s why our HealthQuotes Insurance Agents are dedicated to finding an affordable plan for individuals with pre-existing conditions. We’ll advocate on your behalf to secure a plan that aligns with your budget while managing your pre-existing condition. Let us fight for the reasonable health insurance terms you deserve! Contact us now.
Consequences of Lying on Your Health Insurance Application
- Claim Denial: If the insurer discovers that information was misleading or false at the time of the claim, it can refuse to cover the services rendered. This leaves you with hefty medical bills that often turn into debt.
- Policy Cancellation: Lying about a major medical condition is serious enough to have your provider cancel your policy altogether. Cancellation may occur retroactively, leaving individuals without insurance when they believe they were covered.
- Legal Ramifications: Lying on your insurance application is considered fraud by the Canadian government. Your insurance provider has the right to pursue legal action against you. Engaging in fraud not only jeopardizes current insurance coverage but also affects future applications, as a history of fraud will make it nearly impossible to obtain new coverage.
- Increased Premiums: Avoiding an expensive premium now will result in even more expensive premiums for the foreseeable future. This isn’t limited to the insurance provider you lied to. Future providers will be aware of your history as a policyholder, causing them to increase your premiums to mitigate risk.
