Is this normal or sleazy in the banking world?

[Shawn French]

Hey there,

     I'm a newbie investor and while getting my first mortgage, the rep, from one of the big banks, included a life/disabililty insurance policy that already had my health questions all answered (all "no"s which was actually untrue making the policy void anyway I believe) and already factored into my monthly mortgage cost. 

    I declined out of that, which delayed everything because she had to redo the paperwork and seemed put off by it.  

    Is this what banks normally do?  Seems pretty slimey but maybe I'm naive.    

   Shawn