One of the more difficult tasks we face is when a client approaches us need life insurance and base jumping is an activity they are involved in, to any capacity.
There are very, very few carriers who are willing to insure this, and compared to the risks of other hobbies, it’s considered much more dangerous. For this reason, most carriers simply will decline. There are a few companies who are more lenient, though most of the time we require non-traditional methods of insurance.
If you’re a base jumper and need life insurance, we can help.
Life Insurance And Base Jumping
Base jumpers, somewhat similar to their sky jumping counterparts, will have a much harder time finding an appropriately priced policy. Many companies will not even consider a base jumper, regardless of expertise.
So, can you get covered as a base jumper? Yes.
There are really several ways to accomplish this, but you’ll be looking at higher premiums and less options to choose from. Like other risky hobbies, you’ll be asked questions about your base jumping activity, both past and present. Things like safety equipment used, heights you’ve jumped from, locations (cliff, bridge) and others will all be asked.
Here are the different kinds of coverage available to you, listed from both cheapest to most expensive, and most difficult to obtain to simplest:
- Traditional Life Insurance
- Extraordinary Risk life Insurance
- Accidental & Dismemberment Coverage
- Exclusionary Life Insurance
Your first option is to go ahead and try for a traditionally underwritten policy, but you’re going to need to go about it a different way.
Speak with an independent agent who is familiar with pre-approvals (also called fast quoting, quick quoting, or informal inquiries) who has access to underwriters directly–this is what we do. We take all your information and take it to an underwriter, anonymously, to see if there’s potential from any carrier.
If you can get approved for this type, based on the basic criteria reviewed for this risk, expect a Standard rating plus a flat extra fee. Here’s how it works:
Jeff was approved for a term life insurance policy in the amount of $400,000. However, in addition to his base premium of $650 per year, the insurance company is charging a $7.50 flat extra.
The flat extra is calculated like this: $7.50 x 400 = $3,000
Because there is an annual surcharge of $7.50 per thousand, his new total annual premium is $3,650.
This also assumes the applicant is otherwise healthy, has little or no family history of heart disease, diabetes, kidney disease or other, and maintains a clean driving and criminal record. In almost every case, the applicant will also need to go through the standard medical exam, supplying blood and urine samples.
The second option, assuming the first is exhausted, is to try with Lloyd’s of London. For a price, they’ll insure about anything. We can help you with this as well, but be prepared to have restrictions on your policy, and expect much higher premiums than if you were to be insured traditionally. As mentioned, only choose this option if the first is not made available to you.
The good news with this type of policy is the limited underwriting in comparison to the above. Because they are primarily securing the coverage with the known risks, they bypass some of the typical underwriting. However, this directly attributes a greater cost. More risk, more premium.
AD&D coverage is somewhat the opposite of regular life insurance. It ONLY pays out if you die in an accident, not in any other way. You’ll be surprised to find the prices are very affordable, however you need to consider an exclusionary policy in addition to this so you’ll be covered regardless of the cause of death.
If you pass of health related issues, or fail to report an accidental death in a proper amount of time, there is no payout. In some cases, there could even be partial payouts, depending on the issuing company and policy in force.
Finally, the exclusionary policy is one like mentioned on our sky diving page, where certain carriers will allow you to be covered, with the exception of while you’re participating in your hazardous activity. You apply and request the exclusion up front, understanding you’ll not be covered during the activity.
Unfortunately, this is a very tough risk to cover. Using a non-impaired risk agent or agency will almost certainly get you a decline.
Get a quote here and we’ll walk you through our process and answer any questions you have. We cannot guarantee coverage for anyone, but we have superior experience in working with high risk cases. If we can’t get you covered, nobody can.