I’ve heard of a few people that have done it including a good friend of mine. I understand that it’s tempting. You apply for an insurance policy and get asked a question that you know the correct answer to. But it’s unclear what to do because the honest answer is different. In most instances, people know that it’s easy to verify the information. For example, when shopping for car insurance, it’d be stupid to say you’ve never had an accident if you have. Why? That information is incredibly easy to validate.
Other Situations Are Bit More Tempting
Take the case where you apply for a life insurance and get asked if you are a smoker. It can be tempting. Especially if you’ve considered or are planning to stop in the near future. Obviously, answering that you are would have a significant difference on whatever you will end up paying so anyone would see the temptation. In addition, how in the world could they possibly verify that information, they don’t have the time to do it right?
Don’t Be Stupid
The thing is.. the company will probably not verify the information when you buy the policy. It’s true, it would take too much time to verify the information for all of these candidates. However, believe me that the day something bad would happen to you and you’d actually need (or your family rather) the money from your policy, you could run into major issues. Believe me, when the insurance policy has to make a payment for $500,000, $1,000,000 or more, they do take the time and resources to make sure that everything is in order.
Do You Really Think It’s Worth Taking A Chance?
The thing is that the only moment lying will actually come back to haunt you is when you’d really need it. I can’t personally imagine putting myself or my family in such a situation. What can be done is working on improving your situation BEFORE buying an insurance policy. It might even give you better motivation to improve your lifestyle, your driving, etc. I personally think lying when applying for an insurance policy is possibly the worst mistake you could end up making, which is saying a lot because there are so many different errors that can be made:)