Many seniors can’t afford to wait to get life insurance until after a medical exam. For others, getting a paramedic exam is invasive or uncomfortable. This leaves many people wondering how they can get the best senior life insurance without a medical exam. If you are one of the many people seeking the best seniors’ life insurance that does not require a medical exam, there is good news — you have options.
Many carriers can indeed cover you and will evaluate your health and other risk factors, instead of an exam, to find the best life insurance plan. After you answer a number of health questions and provide other non-medical information, potential carriers will verify your application using the Medical Information Bureau to determine your eligibility.
Although the best seniors’ life insurance plans that do not require a medical exam tend to have higher premiums, they are easier to secure and activated faster than fully underwritten plans.
Do you know your options?
There are several different types of policies that seniors can purchase.
- Term policy
- Universal policy
- Whole life policy
- Guaranteed Issue policy
Generally the least expensive will be a term policy. A term policy will have a death benefit and premium that will stay the same for a period of time (the term). A paramedical exam will be a requirement for this policy.
Next in line for expense is a universal policy. A universal policy can be structured to keep the face amount and the premium the same for your lifetime. It can be designed so that there is no cash accumulation. This policy will also require a paramedical exam. Generally the minimum face amount is $25,000.
Whole life, also called final expense policies usually do not require an exam. There are some medical criteria you must meet, but no exam. They start with face amounts as low as $2,000. These policies accumulate cash value; however, your beneficiary will only receive the death benefit of the policy. They will not receive the cash value as well. (Most people think their beneficiary will receive both). Since this type of policy accumulates cash value, it is more costly that a universal policy. However, for amounts less than $25,000 this may be the best option.
Finally, if you cannot medically qualify for any of the policies above, you can get a Guaranteed Issue policy. The face amounts on these policies usually range between $5,000 and $20,000. If the insured passes away during the first two years of the policy, there is no death benefit paid, however, the premiums are returned with interest. If the insured survives past the two year point, then the death benefit will be paid upon the insured’s death.
Health Still Counts!
It is important to remember that with no exam policies some health information must still be provided when applying for life insurance without an exam. Details about your general health, certain conditions, and medications will play a role in determining your eligibility. You will either be accepted or declined. Unlike term and universal life insurance policies, there are no underwriting rating categories.
Be Aware of Policy Limitations
The best possible life insurance, especially for seniors is meant to build a safety net that is there for your family when they need it most. This is why it is important not only to understand the functions of your policy but also its limitations.
Life insurance policies that don’t require a medical exam can cost policy holders more than policies that do. Although no exam policies may seem easier to get, they may not be right for everyone.
The Bottom Line
For some seniors, life insurance policies that don’t require a medical exam are preferred. For others they may be the only option. Whatever the case may be, bringing your questions and concerns to a dependable independent life insurance agent can help seniors to know their options and choose the best seniors life insurance policy possible.