Why Are People Denied Life Insurance? 
If you 're uninsurable for traditionally underwritten programs -LRB- full underwriting with an exam , non-medical , simplified issue , etc. -RRB- , you always have the option for guaranteed issue whole life insurance . These products are typically your last resort insurance . They generally feature the highest rates because there are no medical questions and no exams to complete . The face amount for coverage is generally limited to a maximum of $ 25,000 and the policies will come with a `` graded '' death benefit . A graded death benefit is , in short , a 2 year waiting period -LRB- with most GIWL programs - some feature a 3-year period -RRB- . If death occurs in the first 2 years , the premiums paid into the policy are paid out to the beneficiary -LRB- unless death is accidental , then the full benefit is payable -RRB- . If death occurs after the beginning of year 3 , then the full benefit will be paid out . 