Is it possible to get life insurance without taking a medical exam? The short answer is... YES, with no exam life insurance.
Applying for life coverage can be a lengthy and somewhat complicated process that may include completing a medical exam, providing medical records, the review of medical, prescription, and driving records, and other requirements.
If you have a need for coverage quickly or just don’t like needles, a no exam life insurance policy can be a great option. The following article, No Exam Life Insurance: How to Get Coverage Without a Medical Exam, provides an overview of no exam life insurance and highlights key considerations for this type of coverage.
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Introduction to No Exam Life Insurance
In considering an application for life insurance coverage, insurance companies evaluate your personal information, medical background, driving record, credit history, and other relevant information. This traditionally requires you to take a company-specific medical exam.
This exam consists of a series of medical and lifestyle questions, a blood pressure check, height and weight, blood and urine samples, etc. If you are in relatively good health, completing this exam offers the opportunity to qualify for the best premium rates.
However, many companies also offer life insurance policies that require no medical exam. These policies use a simplified underwriting process which allows the company to evaluate your application without an intrusive medical exam.
No exam policies allow you to have coverage inforce quickly with no medical exam. These policies can range from simplified issue to guaranteed issue plans to meet a variety of coverage needs. If you need fast coverage or simply don’t like taking physicals, no exam life insurance may be right for you.
When to Consider No Exam Life
When should you consider no exam life insurance coverage?
The answer to this question varies by individual applicant, but basically, if you need fast coverage without the hassle of a medical exam, no exam life insurance may be a good fit.
In many instances, no exam life policies can be placed in force within a few days, if not the same day you apply.
However, you should be aware that you will pay for this convenience in the form of slightly higher premiums. These types of policies are often used when an applicant needs coverage quickly for business and/or legal purposes, such as a Small Business Administration (SBA) loan, family court judgment (divorce, child custody, etc.), or other similar situations.
No exam life insurance policies are also recommended if you are in reasonably good health but have not seen a doctor in the past few years. During a life insurance exam, an applicant’s lab results may show values outside normal ranges, such as elevated blood pressure, cholesterol, or other abnormalities. In some instances, these relatively minor issues can increase premiums significantly. Choosing the right no exam policy will include consideration of your individual health and medical history, as well as company underwriting standards.
Different Types of No Exam Policies
The term “no exam life insurance” is often used related to several different types of life insurance policies.
These plans may include simplified issue, graded benefit, and/or guaranteed issue policies ranging from term life insurance to final expense (burial) policies.
These policy types are listed in sequential order of increasing applicant risk and premium rates. An experienced independent agent can help to identify the most advantageous policy type for your individual situation.
Recommended No Exam Life Companies
There are literally hundreds of companies offering no exam life insurance policies in today’s market. In choosing the right company, and policy, it is important to consider insurance company ratings, product portfolio, underwriting standards, customer service, and other factors. The following recommended companies have been provided for review but may not include all companies offered.
Applying for No Exam Life Coverage
When applying for a no exam life insurance policy, you will complete an application that includes personal data, medical background, lifestyle information, family history, and other required information. This application may be completed over the phone or in person, depending on the agent and/or insurance company. Often payment and/or banking information may be required when submitting the application.
Once the insurance company receives your application, it will be evaluated based on applicable underwriting standards.
Additional information that may be reviewed in evaluating your application including Medical Information Bureau (MIB), Department of Motor Vehicle (DMV), and Pharmacy reports.
As previously stated, an underwriting decision is typically made on these types of policies within a few days of the application being submitted.
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James Shiver is the founder of ChoiceLifeQuote.com and a multi-state licensed independent life insurance agent serving the individual family and small-business markets. Dr. Shiver also serves as a university business professor, as well as being an Accredited Financial Counselor®.