We have almost daily calls/messages from clients asking whether they can get life insurance with EAD. In this post, we will list the requirements, and steps and answer some of the most common questions we have received over the years.
What we will cover
- What is EAD
- Can you get life insurance with EAD
- Requirements to secure coverage
- FAQ about life insurance with EAD
But first, who we are:
Prior to jumping in, we would like to advise we are life insurance brokers. We work with 20+ carriers and our main objective is to match you with the company that can offer you the best rates and easiest approval process. We specialize in life insurance for foreign nationals. Feel free to reach out to us if you have any questions or would like us to take a look at your personal situation. There is no fee to work with us.
What is EAD?
We will keep this section very brief. EAD stands for Employment Authorization Document. It allows non-US citizens to legally work in the US. EAD is different than a work visa and it is typically issued for a period of 1 year. If you currently hold a valid work visa and you are looking for life insurance, you can find more information here. If you want to see if you qualify for EAD or what is the process, you can look up the USA.gov site.
Can you buy life insurance with EAD?
Now, it is time to turn our attention to the important aspect of this article: Can you purchase life insurance with EAD? The answer is: Yes, you can. There are several life insurance companies that will underwrite you, not your visa status, and will approve coverage even if you are not a US citizen or green card holder. The key is to apply with the right company, as not every company will approve you.
There are several different requirements you need to meet and steps to when applying for life insurance, to ensure approval. We will be outlining them below.
The big takeaway we want you to know is you are eligible for life insurance. Make sure you are working with an insurance agent well-educated on the topic of various visas, eligibility, and immigration status. This will ensure that you are not “throwing spaghetti on the wall, to see what sticks”. We believe this is not a good use of your time and can leave you frustrated.
Requirements to secure the best coverage
In this section, we will outline the requirements you need to meet in order to buy life insurance in the US as a non-permanent resident.
Be here for a minimum of 12 months
Companies are looking into your residency in the US. In other words, do you live in the US, and are you planning on calling the US your country of residence?
We are able to find options for coverage if you have been here for as little as 8 months of living in the US. However, if you are here for a longer period of time, there will be more insurance companies you can select from.
Plan on remaining in the US
Oftentimes, companies will ask you what are your intentions. In other words, are you planning on living in the US permanently, or you are planning on moving to another country? While they understand that plans can change, they would like to get a better understanding of your intentions. This will help them to better predict risk and decide if you qualify for coverage.
Have a Social Security Number and US bank
Having an SSN or ITIN (Individual Taxpayer Identification Number) allows you to file your taxes with the IRS. It also signals stronger ties to the US. If you do not have social, we have created a separate guide on life insurance with ITIN.
Please note, that in some circumstances we can help you obtain life insurance if you do not have an SSN/ITIN or are undocumented.
Hold an approved work visa (even if it is expired)
This is not a requirement with every carrier, however, having an approved and valid visa will open up more companies and create a “competition” for your business.
Here are an example of approved work visas:
- H1B: Specialty workers
- K1/K3: Fiancée/fiancé or Spouse of U.S. citizen
- O1: Temporary worker with extraordinary ability
- TN: CA and MEX professional workers through the North American Free Trade Agreement
- TD: Spouse or child of TN
Please note, that you do not need to have a valid visa to get a life insurance policy in the United States.
Frequently Asked Questions about Life Insurance Coverage
Q: Will I need a medical exam? If yes, what is the process, and who pays for the exam?
A: This is a very common question we receive and the answer is: possibly. In other words, some companies will 100% require you to take a medical exam, while others will review your application and then make the decision if an exam is needed.
To give you an example:
We helped a couple apply for coverage. The same company did not require an exam for the husband, even though he was applying for $1,000,000, while they requested one for the wife, applying for only $250,000.
Also, there is no cost to you to complete the exam. The life insurance carrier will pay for the exam. This is a good time to mention, that only you and the company will have access to the results from the exam.
We have created a separate article on no-medical exam life insurance policies for non-US citizens, and what are the requirements.
Q: Will I pay extra as a non-US citizen / permanent resident holder?
A: No, you will not. Not being a US citizen will only limit the number of companies available. You will not be charged any additional premium due to citizenship.
Q: What if I have been declined life insurance before due to citizenship?
A: You can still apply and be approved as a non-citizen with a different company. The key is to disclose the denial when completing the new application.
Q: Can I still apply, even if my visa has expired, but I have EAD?
A: Absolutely! Again, it is important to apply with a top life insurance company that will underwrite you, not your type of visa. We can help you with the process and provide additional guidance.
Q: Will international travel affect my application?
A: Yes, international travel could impact your application. Companies will ask where are traveling to, for how long, and what is the purpose of the travel. Please keep in mind:
You need to disclose any travel plans within the next 2 years.
And that international travel does not mean that you will be declined.
Q: My beneficiary is not in the US, is this OK?
A: You can have a foreign national as a beneficiary on our life insurance, just make sure they are aware that there is a policy and know how to reach out.
Q: What if I move back to my home country?
A: Most US life insurance policies are designed to cover you internationally. However, if you are planning on moving to your country of origin within the first 2 policy years, you must disclose it on your application.
Q: Am I eligible for all types of life insurance coverage?
A: It depends on the company. Some carriers can offer you only permanent life insurance, while others can consider term coverage. In some cases, there may be limitations on the death benefit you can choose from.
You can secure life insurance with EAD. The key will be to apply with the right company, as many will want to see your visa. Please note, that you will not be charged anything additional for not being a US citizen and you can keep this policy, even if you decide to move abroad.
We hope you find this article helpful! Please do not hesitate to reach out to us if you have any questions or would like us to look into your personal situation.