No Exam Life Insurance/Life Insurance with NO medical exam
Finding good life insurance without a medical exam is easy with LifeNet Insurance Solutions. We provide options and will help in choosing the best policy regardless of your medical condition.
There are several types of no exam life insurance. Guaranteed issue policies have no health questions or exams, and all applicants are accepted no matter what health or lifestyle issues may be present that would normally mean a “decline” in other policies. Other no exam policies have specific health qualifications for acceptance and have higher amounts of coverage available.
Guaranteed Issue Policies
You would only consider a guaranteed issue policy if you are not able to qualify for an underwritten policy. There are 2 major differences between guaranteed issue and underwritten life insurance. For a guaranteed issue policy any death of the insured (except for an accident) during the first 2 years of the policy will only return premiums plus interest to the beneficiary. After the 2 year waiting period, the full death benefit is payable just as in any other life insurance. These policies usually have a maximum death benefit of $20,000.
Underwritten No Exam Policies
For people that can qualify for underwritten policies with no exam, policies available include term life, whole life and universal life insurance. Usually the rates for these policies can be higher than those requiring a paramedic exam, but the convenience and speed of approval may be worth the difference in cost. An independent life insurance agent with access to these and other policies is in the best position to advise you of the pros and cons of each type.
Many consumers mistakenly believe that no exam life insurance means no health information is required. Usually there are 10-15 questions about health, smoking, travel and lifestyle that will affect not only your ability to qualify but also the rating you receive and the price you pay. Certain medical conditions will prevent you from being approved for a no exam policy. In addition, most carriers will search various databases to determine the medications you take and your driving record. Remember, failing to disclose information to a life insurance company for the purpose of obtaining life insurance is fraudulent.
There are some additional restrictions that can limit the effectiveness of no exam life. Among them include a limited death benefit that may not meet your needs, or your age may limit the guarantee period on term policies.
No exam life insurance policies are also more restrictive regarding health issues. Because they require less medical or other information from the applicant, they tend towards a much more conservative approach to underwriting than carriers that require medical records and blood and urine taken by a paramedic examiner. For example, many diabetics can qualify for “standard” rates from companies requiring exams, while no exam life insurance companies would decline coverage.
There are also major differences in underwriting if you use tobacco. A no exam policy will require twelve months of no smoking or nicotine use to qualify for a non-smoker rate, while some carriers of fully underwritten policies with exam will give non-smoker rates to those who chew tobacco or smoke cigars. This would result in substantially lower rates versus the no exam policy.
The Bottom Line is that you should talk to an independent agent who can help you make the best decision for you after considering all of the above factors.