When you purchase life insurance it can be a long process in some cases. It depends on factors such as your age and health. If you are purchasing a lot of coverage, or you have some health issues, there will be medical exams, and a long underwriting process to determine how risky you are, and to determine what your premiums will be. As you go through this process there may be reasons that you no longer want to move forward. It is well within your control to cancel the process at any point even after signing the deal. Just be sure you understand the cancellation clause of your policy if you have already purchased coverage.

As the consumer in this process there is really no downside to cancelling if you have found better coverage or policy loan options,  or you decide you cannot afford the estimated premiums being offered. Of course, if you are partially through the process already, starting over might seem daunting. You can request that the insurance company put the process on hold for a short time while you decide about another policy. They may offer you a period of time to decide without interrupting the process. The bottom line is you are the boss in this situation.

Throughout the Process

There may be many reasons throughout the process of buying life insurance that you would want to cancel the process. If you have gotten a better offer from another provider and want to begin the process again with a new insurer, that is your choice. If you are worried about the medical exam you can cancel the process and look for coverage that does not require an exam. If you have been upfront about your physical condition the medical exam is probably not as concerning as you think.

If you have already purchased the coverage and signed on the dotted line you can still cancel the policy. However, there are often fees and penalties associated with cancellation on some policies. As the policy ages, the penalties generally decrease. A general rule of thumb is the simpler the policy, for example, term life, the easier and cheaper it is to cancel. If you have a complicated whole life or universal life policy in which the insurer invested a lot of time and money, such as medical exams and a long underwriting process, there will probably be a more complicated, costly cancellation clause in your life insurance contract. Older policies might also include a refund.

Customer Service

The insurance company market offers many reputable providers to choose from. These providers want to give you the policy you need. If you are not happy with what they are offering, let them know. If they cannot meet your needs, there are others that will. Don't worry about putting an end to the process along the way if you get a better deal, or if you fear you cannot meet the premiums as you thought. The whole point of a life insurance policy is to put you at ease.

Call your insurance company's Customer Service Department and have them run through the cancellation policy of your contract. If you do not yet have coverage, call your agent and let them know your reasons for cancelling. If they can talk you out of it by assuaging your fears, great. If not, you can cancel the insurance process and move on. Before signing the contract, you are completely within our rights to cancel the process for any reason. After signing the contract, you can still cancel but you must abide by the cancellation clause in your policy.