For most applicants, the medical exam is the most worrisome step in purchasing life insurance. Although many would like to avoid this step at all costs, the paramedical exam only takes about 30 minutes and is performed by a nurse or technician within the privacy of your home.
Luckily, it is possible to avoid the exam with a no medical exam life insurance policy. There is a course of action that will allow you to bypass the medical exam with virtually no waiting period, enabling you to purchase life insurance quickly, whether it’s whole life or term.
However, no medical exam term life insurance is not for everyone. In fact, no medical exam term life insurance is far more expensive than a traditional life insurance policy with a medical exam. Nevertheless, it may be a handy option for anyone experiencing difficulty qualifying for traditional life insurance.
What is No Medical Exam Term Life Insurance?
Generally, when purchasing life insurance, there’s paperwork to fill out and medical exams to undergo in order to determine your eligibility for coverage. In some instances, you will be required to submit urine and blood samples and answer in-depth questions asked by a physician or a nurse. This process helps the insurance company to determine the risk you pose when insuring.
If it is found that you have significant health issues, you may be faced with substantially higher premiums, or worse, denial of coverage.
No medical exam term life insurance provides a way to omit the exams and paperwork while securing at least a small amount of life insurance coverage despite any existing medical conditions. Simply speaking, it’s a way to buy term life insurance with no medical exam.
No medical exam term life insurance is also known as “simplified issue” or “guaranteed issue” life insurance. The ones that primarily benefit from these policies are elderly individuals that have a difficult time obtaining life insurance due to their medical problems.
As the name implies, these policies have term periods, such as 10, 20, or 30-year terms, and low face values. The death benefit is paid out as long as the insured passes away during the policy’s specified term period. Even though no medical exam term life insurance policies have low face values, they can be purchased with higher face values from $250,000 to $500,000.
It’s relatively easy to get no medical exam term life insurance quotes with answering just a few medical questions. However, your premiums will be higher depending on your answers.
Here are the actual rates for $250,000 20-year term policy for a very healthy male and female non-smoker:
| Age of Applicant | Male Non-Smoker | Female Non-Smoker |
|---|---|---|
| 25 | $12.80 | $11.24 |
| 30 | $12.94 | $11.52 |
| 35 | $14.75 | $11.94 |
| 40 | $18.71 | $15.32 |
| 45 | $27.78 | $22.40 |
| 50 | $47.51 | $33.25 |
| 55 | $79.76 | $51.65 |
| 60 | $141.47 | $86.56 |
To get an instant no medical exam term life insurance quote for your actual age, please click the No Exam Life Insurance button on the right side of this page.
How No Medical Exam Term Life Insurance Works
The following are key points that you should know when it comes to no medical exam term life insurance:
- It is Faster
- There are age limits– Age restrictions depend on the company and amount. The maximum age ranges from 60 to 70.
- No medical exam required – No exam means no medical examination in your home, and no blood or urine samples.
- Limited coverage – Currently, $1 million is the maximum available in coverage, however, you can purchase more than one policy from different companies.
- More Expensive– When it comes to no medical exam term life insurance, your age, coverage amount, and numerous other factors determine your premium rates. It’s not always the most expensive choice, so it’s worth at least looking at.
- You may not qualify– No medical exam policies are more difficult to qualify for since the insurance company has less information about you to go on. There is always the possibility of being asked to complete a medical exam or even being declined.
The Difference between No Medical and Fully Underwritten Term
The main difference between no medical exam term life insurance and term life insurance with a medical exam is the application process. Regardless, both have to be submitted to underwriting in order to determine whether a policy can be offered and for how much.
When it comes to fully underwritten policies, such as term life insurance with a medical exam, you will most likely have to complete health questionnaires, undergo medical exams, possibly lab tests, and submit physician’s records. Policies that are fully underwritten tend to be more affordable.
Don’t assume that “no medical exam” means no medical questions asked. No medical exam policies go through a different underwriting process. Oftentimes, third-party data vendors scope out your financial, medical, prescription medication, and driving histories.
No Medical Exam Term Life Insurance Companies
In order for an insurance company to adequately evaluate your health, most will require their applicants to undergo a medical exam. Despite the fact that no medical exam life insurance is available without having to undergo a medical exam, insurance companies can still utilize medical underwriting to get a proper view of an applicant’s health, which means that they will evaluate your past medical history.
If the life insurance that you’re applying for requires a medical exam, you’ll be able to schedule this exam with a medical professional, free of charge, and usually, it’s done in your office or home.
With these results, the insurance company is able to confirm the presence of certain medical conditions, such as hypertension, heart disease, or diabetes. The knowledge acquired from this process helps the insurer to decide whether your application is approved and if so, how much your premiums will cost.
While there are many reasons to purchase a no medical exam life insurance policy, this form of insurance offers convenience and a shorter approval process. If you currently have a good medical history and are in good health, you could most likely receive coverage for a great price and rather quickly at that.
Four Options for No Medical Exam Underwriting
Many of the life insurance companies on the market today offer no medical exam life insurance policies. However, a different strategy is used in gathering your medical information depending on the underwriting process used by the provider.
The underwriter uses this information to determine your health classification. The following explains the different underwriting processes that are typically used.
Only certain insurance companies offer this underwriting as an option, and these policies are the most competitively priced compared to others on the market.
However, if your medical history includes some chronic or serious illnesses, the insurance company may require a medical report from the physicians that you’ve seen recently and in the past. If the provider is unable to get access to your medical records, then a medical exam may be required.
The cost for express issue policies is the same for everyone, without taking health into consideration. However, there are some insurance companies that will decline the application due to your past or current health conditions.
Group term life insurance policies resemble group policies provided by an employer, and you will need to join an association in order to be eligible for these products. Generally, and depending on the provider, the group term application contains at least 7-12 health questions to answer. Furthermore, there is only one health classification, and the premium amounts usually increase every five years. Group term is a great option for those in poor health.
Our Top 5 No Exam Term Life Insurance Companies
The good news about no medical exam life insurance is that there are many companies competing for your business and as such, the rates are very competitive, even if you have some health issues.
The following is a brief list of our preferred carriers if you’re looking to purchase no medical exam term life insurance. The insurance companies listed are in no particular order.
American National Insurance Company offers a diversified array of financial products, such as life insurance, annuities, property and casualty, pension plans, accident and health, agribusiness, and other commercial financial products. The company has earned an “A” (Excellent) rating from A.M. Best Rating Agency.
Foresters YourTerm no exam term life insurance is a level term policy with the following features:
- Term periods of 10, 15, 20, 25, and 30-years
- Eligibility ages of 18 to 80 years
- Face amounts, or death benefit, up to $400,000
- Conversion option
- Included Accelerated death benefit rider
- Additional death benefit for death resulting from a common carrier accident
The Savings Bank Life Insurance Company of Massachusetts utilizes all health classes without a medical exam. In fact, their rates are the same as fully underwritten life insurance, so if you’re wanting to forgo a medical exam, SBLI is a great company to consider.
Since SBLI offers coverage for all health classes, You will be able to save money and take advantage of your decent health. Furthermore, the insurance company will approve some applicants with minor health concerns without a medical exam.
Luckily, the underwriting process is rather swift since most everything is done electronically. Approvals may actually come back the same day. If you’re an applicant requiring a review of medical records, the underwriting process may take up to 30 days to receive an answer.
Offering a fantastic deviation within the no medical exam marketplace, Principal provides a traditional term life insurance policy, with a large number of applicants considered for accelerated underwriting. However, this is only for Preferred levels and it does require excellent health.
If you’re eligible for the plan, you will be approved within two days electronically and will not need to pay extra. The premiums for this plan are exactly the same as those receiving fully underwritten policies, including the need for submitted urine and blood samples.
Those applicants that do not meet the accelerated underwriting criteria might be asked to submit their physician’s records and possibly undergo a medical exam.
Another major player in the no medical exam life insurance plan market is Sagicor. Popular among the clients it serves, Sagicor has received an “A-” rating from A.M. Best Rating Agency for its quick approval times.
You will never be asked to submit your medical records and the underwriting process is completely digital. Most applicants receive an approval within a few minutes. It’s quite difficult to find anything faster!
Sagicor is one of the very few companies that reward you with a Preferred health class, which will save you money in the end and is certainly something to consider if you’re in excellent health. Additionally, they will accept cases with some health issues. Face value amounts go as high as $1 million, which is the highest for no medical exam life insurance coverage.
Is No Medical Exam Term Life Insurance Right for You?
The underwriting for no medical exam term life insurance is relatively strict. In most cases, you’ve got a good shot of qualifying as long as you meet these three criteria:
- You’re in your 20s, 30s, 40s, 50, or sometimes 60s
- You’re in overall good health with few to no pre-existing conditions
- You want less than $1 million in coverage
Keep in mind that not just your health is considered here. Bankruptcy and other non-health-related issues can prevent you from acquiring a no medical exam policy.
It’s imperative that you’re honest on your application. These insurance companies have ways to verify even the smallest detail, quickly. In fact, they are able to confirm if you’ve ever been a smoker, among many other things.
This policy will come with a contestability period, which is a two-year period following the purchase of the policy which allows the insurance company to investigate your death and discover whether false information was given at application time. If this is the case, your claim would be denied, leaving your loved ones with the financial burden of your final expenses.
How to Choose a Policy that’s Right For You
- Decide what is most important to your situation. Are you looking for something quick, and convenient, without a medical exam, even if it might cost more? Or are you willing to undergo a medical exam as long as it saves you money on your policy?
- Now that you have an idea of what you want, look for insurance companies that offer it. Examine the product descriptions closely and speak with a representative if possible to get the most accurate no exam term life insurance quotes.
- Look at this realistically. If you’ve done your homework, you should know what to expect. Working with an independent life insurance agent can help to keep your application moving along in case of any surprises along the way.
Simplified underwritten policies are gaining in popularity. Although new, life insurance companies are marketing them even more now. For those that don’t want to undergo the hassle of a medical exam, and just want a quick and convenient way to obtain life insurance, a term life insurance with no medical exam policy is the way to go.