No medical exam life insurance is a type of insurance policy that allows you to avoid the traditional exam and bloodwork required when applying for life insurance.
Although the premium rate is very high and will cost you more, it is a good option for people who do not want to go through the stress of paperwork.
How Does No-Medical-Exam Life Insurance Work?
With a no-medical-exam life insurance policy, you can get approved for a life insurance policy without going through medical examinations, which involve a lot of medical laboratory tests and filling out questionnaires about your health status.
No-medical-exam policies eliminate the exam application process, but you may be required to fill out questionnaires about your health, lifestyle, and family medical history. Although it is more expensive than fully underwritten policies and they offer less coverage compared to the traditional life insurancepolicy because there is not much needed information about the health status of the applicant.
It is worthwhile to know that no-medical-exam policies are faster compared to a normal life insurance policy. It is also a great option for people with serious health conditions who have limited time to undergo the traditional life insurance policy application, or for healthy people who want the life insurance application process.
Types of No-Medical-Exam Life Insurance
There are different types of non-medical life insurance coverage. And depending on the policy you choose, the underwriting process, the cost, and the offer under each coverage may be different.
Guaranteed Issue Life Insurance
Guaranteed issue life insurance allows applicants not to fill out any questionnaires regarding health questions, answer any questions regarding health status, or undergo a medical examination. You automatically qualify regardless of your health status. Hence, this coverage offers higher premium rates and lower coverage amounts. The cost of a guaranteed issue life insurance is around $25,000 to $50,000.
It also comes with a death benefit. When a policyholder dies, there is a waiting period of about two to three years; during this period, their beneficiaries are permitted to receive the premiums that the policyholder already paid along with interest. But if the policyholder dies after the waiting period, then the beneficiaries are going to be paid the full amount of the death benefit.
Simplified Issue Life Insurance
With simplified Issue Life Insurance, applicants do not have to undergo a medical exam to qualify. However, applicants are required to fill out a short questionnaire about their health status, history, and lifestyle.
In addition, applications are accepted quickly since insurance companies do not require a lot of information for coverage. But, unlike guaranteed issue life insurance, applicants may not be qualified for simplified issue life insurance if they have a very critical pre-existing health condition. By then, it is advisable that you apply for a medical exam life insurance.
On the safer side, simplified issue life insurance offers a lower premium rate and higher coverage. But it premium rate is still higher than a life insurance that requires a medical exam to insure. Simplified issue life insurance is the best option if you want to set up life insurance quickly or if you are terrified of a health issue and you don’t want to take a medical examination.
Accelerated Underwriting Life Insurance
Accelerated underwriting life insurance is a slightly different process from the other two types of no-medical-life insurance. Insurance companies take a detailed look at applicants’ health status. Applicants have to fill out a detailed questionnaire on health status, and also review the applicant’s medical prescriptions, criminal and driving records.
With accelerated underwriting life insurance coverage, you get higher coverage options than simplified or guaranteed issue life insurance. Some insurance companies give you the option to apply for all their term and permanent policies with accelerated underwriting and will only ask that you provide a medical exam if there is a need for more information. Accelerated underwriting life insurance premiums are very high, but there is usually a high death benefit that comes with it.
The Best No-Medical Exam Life Insurance Companies
- AARP
- Country Financial
- Nationwide
- Lemonade
- Penn Mutual
- Thrivent
Who is No-Medical-Exam Life Insurance Good for?
No-medical-life insurance is the best option for people who want to buy life insurance quickly and don’t want to go through the medical examination process because of how strenuous it can be. It is also best for people who have pre-existing health conditions that can disqualify them from getting a traditional policy.
Frequently Asked Questions
Is there a Life insurance no-medical exam, no waiting period?
Some life insurance companies offer no-exam policies with no waiting period. You’re covered immediately after approval, but these plans may have higher premiums.
Cheapest life insurance over 50 no-medical exam?
For people over 50, the cheapest no-exam life insurance usually comes from companies offering term or guaranteed issue policies. Rates depend on age, health, and coverage amount.
Cheapest life insurance with no medical exam?
Simplified term life is often the most affordable option with no medical exam. Comparing quotes online is the best way to find low rates.
What is Guaranteed acceptance life insurance with no health questions?
This type of policy guarantees approval; no health questions, no exams. It’s ideal for people with serious health issues, though premiums are higher and coverage may be limited.
