Reinstatement underwriting is the risk assessment process an insurer uses when evaluating whether to restore a lapsed policy to in-force status. Because health, occupation, and lifestyle may have changed since issue, the carrier often requires updated medical questionnaires, attending physician statements, and sometimes paramedical exams or labs. The underwriter compares the original risk class with current findings to determine whether the policy can be reinstated as is, must be modified with ratings or exclusions, or should be declined. Reinstatement underwriting balances fairness to the policyowner, who seeks continuity of coverage, with the insurer's need to avoid anti-selection from applicants reinstating only after adverse health events.

In practice, advisors prepare clients for reinstatement underwriting by explaining that the process can resemble a new application. They help gather recent medical records, complete questionnaires accurately, and respond quickly to carrier requests. Underwriting outcomes may range from full reinstatement at original class to offers with higher premiums or, in some cases, denial if risk has deteriorated significantly. When reinstatement underwriting is unfavorable, advisors may compare the offer with quotes from other carriers for replacement coverage. Agencies track reinstatement experiences by carrier to gauge how flexible each is. Understanding reinstatement underwriting helps set realistic expectations and supports better decisions about whether to pursue reinstatement at all.