Unsolicited Application

What Does Unsolicited Application Mean?

An unsolicited application, also known as an unsolicited insurance application, refers to an insurance application submitted directly by the applicant to the insurance company, without involving an agent or broker. These direct applications are typically subject to more rigorous screening by insurance companies.

Insuranceopedia Explains Unsolicited Application

Insurance companies exercise greater caution when screening unsolicited applications because such applicants may pose significant risks. For example, an individual applying for health insurance might already have an adverse health condition, a situation known as “self-selection.” If the company uncovers this during its investigation, the applicant could face denial of coverage or be offered a policy with a substantially higher premium.