Question about pre-existing conditions for health insurance.?

Question

I can understand how insurance companies deny coverage to those who are overweight, have type II diabetes, or any illness that is the result of poor lifestyle. But I know that companies deny coverage to those who suffer from anxiety and depression. Why? Depression isn't deadly; heck, diabetes is worse than depression!

I barely managed to get coverage for the next three years (specialized COBRA plan through my parents) but why do insurance companies deny coverage to those with depression? Mental illness isn't the result of poor lifestyle and sometimes it's genetic.

Answer 1

I have no experience in an insurance company setting standards for pricing and acceptability. I can't change any aspect of their behavior, but, I do have a sense about how they think. I'll try to help you understand.
First, be aware that they are not discriminating against you because your affliction is mental rather than physical. As you pointed out, they decline coverage for a variety of conditions.
All they are trying to do when they decline coverage is to limit their UNQUANTIFIABLE risk.
If they are able to use average numbers from a large population of people they have insured, their actuaries (people who study statistical trends, relationships, and outcomes) can predict how much will be spent on treating certain ailments and when the expenses are likely to begin. With that information, the insurance company can set premium rates that make sure they can cover paying those benefits and also make a profit.
They try to avoid insuring people whose costs are uncertain. And, they try to avoid having to raise their rates to everyone because that would mean that healthy people are paying more than they should have to pay because they are carrying the unhealthy ones.
I'm glad you were able to get coverage. Now that you know how lucky you were to do so, please heed this advice. Never let yourself fail to have coverage. Do whatever you must to keep yourself covered because if you let it lapse you may never get it again. You may even need to adjust your life expectations and job alternatives so that you have "guaranteed issue" group plans you can keep. It may be worth it because if you lose your health insurance you will not only be uninsured for depression and anxiety but for heart attack, cancer, stroke, accidental injury etc.
Best wishes.

Answer 2

This is not a definitive answer from any inusrance company - rather it is my guess at what they would say.
There is a considerable exposure risk with mental illness. There are increased hospital stays, medicine and the possibility of suicide or self mutilation

Answer 3

same reason I have Lupus and I get stuck in the same situation. Lupus is not due to poor lifestyle or laziness...

Its the companies way of protecting their assets..is it fair?.. NO..
but its how the world operates..

Answer 4

Depression can be deadly.......

http://www.depression.com/

http://www.med.nyu.edu/psych/screens/depres.html
NYU School of Medicine/Dept. of Psychiarty

http://www.utexas.edu/student/cmhc/booklets/depression/depress.html



If you need medicine for depression fight for it.