Medical Underwriting (Health Care) Law and Legal Definition

Medical underwriting is an insurance term, which refers to the process by which an insurance company uses medical or health status information of an applicant for coverage, to arrive at a decision about taking his/her application for insurance, adding waiting period for pre-existing conditions, premium rate for the insurance.

The use of medical underwriting is restricted in certain insurance markets by law. Where allowed, the criteria must be used impartially and it must be clearly related to the likely cost of providing coverage. The criteria must be used to protect the long-term viability of the insurance system in consistency with applicable law.