Does Life Insurance Cover Suicide? 

The question of whether life insurance covers suicide is an important one, especially during difficult and emotional times. Whether or not a life insurance policy covers suicide depends on the specific terms outlined in the policy, and in most cases, it revolves around the presence of a suicide exclusion clause.

The Suicide Clause in Life Insurance

Many life insurance policies include a suicide clause, which states that if the policyholder dies by suicide within the first one or two years of purchasing the policy, the insurer may deny the death benefit or return only the premiums paid up to that point. After this exclusion period, the policy will typically cover suicide as it would any other cause of death. (Some policies apply the exclusion period from the date of any increase or reinstatement of the policy as well as from the initial effective date.)

This clause is intended to protect life insurance companies from individuals who may purchase a policy with the intention of committing suicide shortly thereafter. The duration of the exclusion period can vary depending on state laws and the insurance provider, but two years is the most common timeframe​.

Different types of life insurance policies may have specific clauses regarding suicide coverage. Let’s break down how various life insurance types address this sensitive issue:

Traditional Life Insurance (Term and Whole Life)

Most traditional life insurance policies, including term life insurance and whole life insurance, have a suicide exclusion clause. As mentioned, if the policyholder dies by suicide within the exclusion period (usually the first two years), the insurance company may only refund the premiums instead of paying out the death benefit. After this period, the policy generally covers suicide​.

Group Life Insurance

Many employers offer group life insurance as part of their employee benefits packages. Group life insurance policies typically include a suicide clause similar to individual policies. If the suicide occurs within the exclusion period, the death benefit may be denied. After the exclusion period, group life insurance generally covers suicide​.

Military Life Insurance

Certain military life insurance policies, such as Veterans’ Group Life Insurance (VGLI) and Servicemembers’ Group Life Insurance (SGLI), are unique in that they usually cover suicide regardless of the circumstances, including death from acts of war or suicide. Beneficiaries of these policies may still receive the full death benefit​.

Accidental Death Insurance

Accidental death insurance does not typically cover suicide, as it is intended to pay out only in cases of unintentional death, such as from accidents or injuries. Death by suicide is generally excluded from accidental death policies.

A suicide clause is a provision in a life insurance policy that specifies how the policy will handle a death caused by suicide within a certain period, typically the first one or two years after the policy is issued. If the policyholder dies by suicide during this exclusion period, the insurer may either deny the death benefit or refund the premiums paid. After the exclusion period expires, the policy typically pays out the full death benefit for suicide, just as it would for other causes of death. However, it’s important to note some policies include secondary exclusion periods which may apply if the policy coverage has been increased, or after a policy reinstatement.

How Long is the Suicide Clause in Effect?

The duration of the suicide clause can vary by state and insurer. For example, while most states and policies enforce a two-year exclusion period, some states have shorter periods of one year, such as Missouri, Colorado, and North Dakota​.

After the suicide exclusion period, most life insurance policies will pay out the full death benefit for a suicide just as they would for any other insurable cause of death. However, if the death occurs within the exclusion period, the policy’s death benefit is usually not paid out.

Claiming After the Exclusion Period

Once the suicide clause period has passed, the life insurance claim process for a suicide-related death works similarly to any other claim. The beneficiaries file a claim, and after the claim is approved, the insurer pays out the death benefit. If the policyholder had an outstanding loan against a permanent policy, the amount borrowed will be subtracted from the payout.

What Happens if Your Life Insurance Claim is Denied?

If your life insurance claim is denied, particularly for reasons involving suicide, it's important to understand why. Most denials happen because the death occurred during the exclusion period, but in some cases, the insurer may require additional documentation, such as medical records, police reports, or an autopsy. If a claim is wrongly denied, beneficiaries can file an appeal with the insurer or seek legal advice to challenge the decision.

While it can be more challenging to obtain life insurance after a history of attempted suicide, it is not impossible. Insurance companies evaluate your risk based on your health and personal history, including mental health. Here are some factors that may impact your eligibility:

1. Time Since Attempt: If a significant amount of time has passed since the suicide attempt and your mental health has stabilized, you may still qualify for coverage.
2. Mental Health Status: Insurers often look for a period of stability, such as being treatment-free or successfully managing your condition with therapy or medication.
3. Higher Premiums: In some cases, insurers may charge higher premiums or add flat extras and table ratings to account for the additional risk.

It may be beneficial to work with an insurance agent who specializes in high-risk cases to find the best policy for your situation​

If you or a loved one is struggling with thoughts of suicide, know that you are not alone. There are several resources available to provide help and support:

• National Suicide Prevention Lifeline: Call 988 for 24/7 confidential support.
• Crisis Text Line: Text HOME to 741741 to connect with a crisis counselor.
• Veterans Crisis Line: Call 988 and press 1, or text 838255 for specialized help for veterans.
• The Trevor Project: Support for LGBTQ+ youth. Call 1-866-488-7386 or text START to 678-678.

Understanding how life insurance covers suicide can provide clarity and peace of mind for policyholders and their loved ones. While the suicide clause can limit benefits in the first one to two years of the policy, life insurance generally covers suicide after this period. If you have a history of mental health challenges, working with a knowledgeable insurance professional can help you find the right coverage and ensure that your loved ones are financially protected.

Does life insurance cover suicide after the exclusion period?

Yes, after the exclusion period—typically one or two years—most life insurance policies cover suicide as they would any other cause of death.

What is the suicide exclusion period in life insurance?

The suicide exclusion period is a specific timeframe during which a death by suicide may result in the denial of a death benefit or a refund of premiums.

Can I get life insurance if I have attempted suicide?

Yes, but it may be more challenging, and you could face higher premiums or exclusions. Working with an insurance professional who specializes in high-risk cases can help.

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