Why life insurance company wants to know if I ever applied to another insurance company?

Usually, they ask this question to make sure you are not going to be replacing a current policy. Since some life policies involve the use of the stock market and can sometimes be considered a financial product. They have to make sure they aren't breaking any laws.

The life insurance companies get a little excited as well if you applied elsewhere. What happened? Did you get declined for coverage because some health concerns got uncovered? If they asked if you have applied elsewhere and you answered yes just 6 others. It puts a red flag up and why would you have to apply to so many other companies? Hope this helps as well, just another insight.