Legal Definitions - evidence of insurability

Definition: Evidence of insurability refers to information that an insurance company may require from a potential policyholder to determine if they qualify for a particular insurance policy. This information may include medical records or a medical examination.

Examples:

• When applying for a life insurance policy, the insurance company may require the applicant to undergo a medical examination to determine their overall health and risk factors.
• When applying for disability insurance, the insurance company may request medical records to determine if the applicant has any pre-existing conditions that may affect their ability to work.

These examples illustrate how evidence of insurability is used by insurance companies to assess the risk of insuring a potential policyholder. By reviewing medical records or conducting a medical examination, the insurance company can determine if the applicant is a high or low risk and adjust the policy premiums accordingly.