Does life insurance cover death by suicide?
Does life insurance cover death by suicide? In many cases, yes. However, most life insurance companies will not pay a death benefit if you die by suicide within the first two years of buying a personal policy. Unlike with personal life insurance policies, most of the time group life insurance does pay for death by suicide within the first two years of buying a policy. So your beneficiaries would receive the death benefit regardless of when your death occurred during your coverage period.
Free Life Insurance Comparison
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
Eric Stauffer
Founder & Former Insurance Agent
Eric Stauffer is an insurance agent and banker-turned-consumer advocate. His priority is educating individuals and families about the different types of insurance coverage. He is passionate about helping consumers find the best coverage for their budgets and personal needs. In addition to founding Expert Insurance Reviews, Eric is the CEO of C Street Media, a full-service marketing firm and the...
Founder & Former Insurance Agent
UPDATED: Feb 13, 2024
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident insurance decisions. Comparison shopping should be easy. We are not affiliated with any one insurance provider and cannot guarantee quotes from any single provider.
Our insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different insurance companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about insurance. Our goal is to be an objective, third-party resource for everything insurance related. We update our site regularly, and all content is reviewed by insurance experts.
UPDATED: Feb 13, 2024
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident insurance decisions. Comparison shopping should be easy. We are not affiliated with any one insurance provider and cannot guarantee quotes from any single provider.
Our insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different insurance companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
On This Page
- Most insurance companies cover death by suicide
- Many life insurance companies have a suicide clause and won’t pay a death benefit to your beneficiaries if you commit suicide within two years of buying a policy
- Group insurance does not normally have a suicide clause and still pays the death benefit if you die by suicide at any point during your coverage period
With life insurance, you can have peace of mind knowing that your beneficiaries will be taken care of financially after you die.
However, many people worry that if they ever die by suicide, their beneficiaries may not receive a payout.
So does life insurance cover death by suicide? And does group life insurance have a suicide clause?
Keep reading to learn everything you need to know about how life insurance companies handle suicidal death.
Looking for affordable life insurance companies? Enter your ZIP code above to get free quotes from top companies in your area.
Read more: How does life insurance work?
Does life insurance pay for suicidal death?
In most cases, insurance companies will pay a death benefit to any beneficiaries you have listed if you die by suicide during your coverage period.
However, most insurance companies have a suicide clause and will only pay the death benefit if your personal insurance policy has been in effect for at least two years.
Will life insurance pay for suicidal death within the first two years of coverage?
If you die by suicide within the first two years of buying a policy, your beneficiaries likely won’t receive a financial payout.
However, your insurance company may give them a refund on the life insurance payments you have made.
Every life insurance company handles suicide clauses differently and some policies don’t have suicide clauses, so you’ll have to check with your insurer to see how the company handles suicidal death.
Read more: How do life insurance payouts work?
Are you looking for free insurance quotes?
Your one-stop online insurance guide. Get free quotes now!
Secured with SHA-256 Encryption
Does group life insurance pay for suicidal death?
Term life insurance is the most common type of group life insurance, and it often works differently when it comes to suicidal death.
Typically, if you die by suicide at any point during the term of your policy, including within the first two years of coverage, your beneficiaries will still receive a death benefit. (For more information, read our “Does life insurance cover suicide?”).
However, every policy differs, so it’s important to check with your insurance company to see if your group life insurance policy has a suicide clause.
Shopping around for life insurance? Enter your ZIP code below to get free quotes from the best life insurance companies in your area.
Case Study: Life Insurance Coverage for Death by Suicide
Case Study 1: Understanding the Suicide Clause
Jane purchased a personal life insurance policy and died by suicide after two years of coverage. Her beneficiaries were relieved to find out that her policy covered death by suicide after the initial waiting period, ensuring they received the full death benefit.
Case Study 2: Group Life Insurance With Suicidal Death Coverage
Michael had a group life insurance policy through his employer and worried about coverage for death by suicide. He discovered that his policy included coverage for suicide, regardless of when it occurred during the coverage period, providing peace of mind for him and his beneficiaries.
Case Study 3: Personal Life Insurance With Suicide Exclusion
Emily had a personal life insurance policy but died by suicide within the first year of coverage. Her beneficiaries did not receive a financial payout, but the insurance company refunded the premiums she had paid during that time, offering some financial relief.
Frequently Asked Questions
Does life insurance cover death by suicide?
In most cases, yes. However, most life insurance companies have a suicide clause and will not pay a death benefit if the insured dies by suicide within the first two years of buying a personal policy. Group life insurance policies typically cover death by suicide within the first two years.
Will life insurance pay for suicidal death within the first two years of coverage?
If the insured dies by suicide within the first two years of buying a personal policy, the beneficiaries may not receive a financial payout. However, the insurance company may provide a refund on the premiums paid. The handling of suicidal death varies among life insurance companies, so it’s important to check the policy’s terms.
Does group life insurance pay for suicidal death?
In most cases, yes. Group life insurance, typically term life insurance, often covers death by suicide at any point during the policy term, including within the first two years. However, the presence of a suicide clause can vary, so it’s advisable to review the specific terms of the group life insurance policy.
What is a suicide clause in a life insurance policy?
A suicide clause is a provision in a life insurance policy that specifies a waiting period, usually two years, during which the insurance company will not pay the death benefit if the insured dies by suicide. After the waiting period, the death benefit will be paid out in the event of suicide.
Why do life insurance policies have suicide clauses?
Suicide clauses exist to protect insurance companies from fraudulent claims and to ensure the financial stability of the industry. By implementing a waiting period, insurance companies can assess the risk and intentions of policyholders before paying out the death benefit in cases of suicide.
Can I get life insurance if I have a history of mental health issues or suicide attempts?
It is possible to get life insurance if you have a history of mental health issues or suicide attempts, but it may affect the terms of the policy. Insurance companies typically assess the overall health and risk factors of applicants when determining premiums and coverage. Disclosing your medical history and working with an experienced insurance agent can help you find the best policy options available.
Are you looking for free insurance quotes?
Your one-stop online insurance guide. Get free quotes now!
Secured with SHA-256 Encryption
Eric Stauffer
Founder & Former Insurance Agent
Eric Stauffer is an insurance agent and banker-turned-consumer advocate. His priority is educating individuals and families about the different types of insurance coverage. He is passionate about helping consumers find the best coverage for their budgets and personal needs. In addition to founding Expert Insurance Reviews, Eric is the CEO of C Street Media, a full-service marketing firm and the...
Founder & Former Insurance Agent
Editorial Guidelines: We are a free online resource for anyone interested in learning more about insurance. Our goal is to be an objective, third-party resource for everything insurance related. We update our site regularly, and all content is reviewed by insurance experts.