In life and health insurance, all conditions pertaining to an individual that affect his or her health, susceptibility to injury, as well as life expectancy. These factors are considered in determining the amount of risk. If the risk is too high, the insurance company will refuse coverage, as the individual is considered to be uninsurable by that company's underwriting standards.
Able to be insured against. In principle one may insure against the financial consequences of any event where it is a matter of fortuity whether the event will occur or when it will occur. One cannot insure against the consequences of one's deliberate acts or where insurance would be against public policy. In practice a risk may be uninsurable where: (a) the prospect of widespread loss is too great for the insurer to accept, e.g., war damage to property on land; (b) the risk is entrepreneurial, e.g., the risk of a change of fashion rendering stock unsaleable; (c) the risk is too great or unquantifiable.
Insurability refers to an individual's good health and ability to obtain life insurance. If an individual is unable to obtain life insurance due to bad health, the individual is considered to be uninsurable.