Yes! You Can Get Life Insurance If You Do not Have A SSN
A lot of us don’t even bother asking or looking for Life Insurance just because we either don’t have a SSN or if we do, (lets be honest) we just don’t know where to get the information. And for many unauthorized immigrants living in California, it is time to move beyond the misconceptions and myths that surround the Latino community and life insurance options in America.
THE TRUTH ABOUT LIFE INSURANCE WITHOUT A SSN
One of the most misunderstood issues is whether life Insurance without an SSN is legal. This is clarified in IRS publication 519, the use of SSN’s as well as of ITIN (Individual Taxpayer Identification Number). The “TAXPAYER CERTIFICATION” paragraph of life insurance applications is asked in the context of the “TAXATION LAW” not the “IMMIGRATION LAW”. Therefore, as long as a valid ITIN and a valid ID is obtained from the applicant, the compliance with the law is accomplished. I can understand how insurance companies would be concerned with the additional risk involved, but that is why they have an Actuarial Department, to calculate those risks so that they can tailor products accordingly for you.
THE REQUIREMENTS IF YOU DO NOT HAVE A SSN
I will reiterate this just to be clear. The only requirement to buy life insurance in the U.S. is that the applicant must be in the U.S. to take the application and medical exam. It’s okay if you’re a foreign national and just here on vacation, provided that you have some sort of ties to the U.S., but these things must be done here in the states. Most insurance companies require you purchase a minimum of $250,000 of coverage, but all policy options are available to you, including term life insurance, universal life, or whole life insurance.
CAN I BE A BENEFICIARY IF I DO NOT HAVE A SSN
If you are wondering if you or anybody who does not have a ssn can be a beneficiary to a life insurance policy? the answer is YES. A ssn is not required when you are filling out the requirements for the beneficiary form. I would still recommend you double check with your life insurance agent or the company that you will be applying with for life insurance, that way you are certain this is possible before you go through the whole underwriting process.
Listing the address, date of birth and ssn of a beneficiary makes it easier for a life insurance company to locate a beneficiary in the event of a claim. But a ssn is absolutely not necessary.
WHAT DOES A LIFE INSURANCE COMPANY LOOK FOR?
These particular life insurance companies would want to know if you plan on staying in the U.S. permanently. It’s OK if you change your mind in the future or if your circumstances change and that forces you to leave. But the main point is, the life insurance underwriter wants to know that you intend to stay in the U.S. If that changes in the future after you have life insurance, you do not loose or have to cancel your life insurance policy. The company takes the risk that you might eventually leave the country when they approve you for the life insurance.
They also like to see that you are working here in the U.S. with an ITIN. The companies also like to see that you have been here for at least 6 months consecutively. The longer you have been in the U.S. the easier it will be to obtain life insurance for permanent residents with a visa, green card or ITIN.
And finally, the life insurance carrier has the right to review each client on a case by case basis. Therefore, if someone looks like a beneficial risk, the life insurance company will probably take the risk and approve the client even if the client does not meet all the criteria. Therefore, if you are even considering getting life insurance while in the U.S. as a non U.S. citizen or non U.S. resident, it is worth your time to apply to see if you are eligible even if you do not specifically meet each criteria.
If you feel more comfortable speaking to a Spanish speaking insurance agent, you don’t need to use your dial pad on some menu to be transferred to another representative. Just contact me directly anytime. I’m fluent in Spanish and I go above and beyond to ensure that you fully understand your options and the terms of your insurance plan.
Remember, Foreign National Life Insurance, non U.S. residents life insurance, non U.S. citizens life insurance and life insurance without a ssn is available.