No medical exam life insurance is a type of life insurance that you can get without a medical exam.
Most traditional policies require that applicants undergo a medical exam in order to be approved, but understandably, many people are shying away from these policies.
They simply don’t have time for the exam, don’t want to answer invasive medical questions, or be poked for a blood test.
Moreover, someone who has health complications and undergoes a medical exam can end up being charged very high monthly premiums. Or, they can be denied coverage altogether.
No exam policies, on the other hand, allow applicants to bypass the medical exam and get approved quickly.
Some policies offer immediate approval, some in a few days, and others in a few weeks. Either way, the waiting time is always less than that of traditional policies, which takes 4-6 weeks.
Types of No Exam Policies
There are 3 main types of no exam life insurance policies:
- Simplified issue
- Guaranteed issue
Simplified issue is the broadest type of no exam policy, and anyone between the ages of 18 and 75 can apply.
Applications for these policies usually require you to answer several health questions, but not an entire questionnaire like traditional policies. Standard maximum coverage is $500,000, but the amount varies by carrier.
Guaranteed issue is usually available for people between the ages of 45 and 75, and it’s often used as a type of final expense insurance to help cover funeral and burial costs.
Guaranteed issue is a type of whole life insurance, which means there is no expiration date.
The main caveat is that these policies often come with a waiting period of 2-3 years, which means if the policyholder dies before the waiting period is over, only a portion of the death benefit is paid out. Coverage usually goes up to $50,000, but again, the exact amount depends on the carrier.
Group life insurance is a type of no exam life insurance that’s usually offered by employers. The coverage amount equals one year’s salary. While approval is guaranteed, coverage typically ends if you leave your job.
It’s generally recommended not to rely solely on group life insurance but to consider it as a supplementary policy.
The Cost of No Exam Life Insurance
The cost of all life insurance is highly personal since it depends on so many factors. Age, sex, and amount of coverage are the basics, but premiums are also determined based on your health and lifestyle.
With traditional policies, your health is assessed through a medical exam, but through no exam policies, it’s assessed through the answers to the questionnaire, and possibly by gathering information from third-party sources.
No exam life insurance has a reputation for being more expensive than traditional policies, but this is only true in some cases.
Guaranteed issue, which offers virtually guaranteed approval, is the most expensive type of no exam life insurance.
The reason is that the insurer knows almost nothing about the applicant, and thus has no way of covering its risk. Therefore, it covers its risk through high premiums.
The simplified issue, however, involves a certain level of underwriting and therefore can often come with competitive rates.
This is especially true if the applicant is young and in good health. To see how much you can expect to pay for a no exam policy, get a free quote here.
Is no exam life insurance worthwhile?
No exam life insurance can be worthwhile for someone who:
- Doesn’t like doctors
- Has a fear of needles
- Doesn’t have time for a medical exam
- Needs life insurance quickly
- Has an underlying health condition that will result in high premiums or denial of coverage
Fortunately, today there are plenty of insurers that offer no exam life insurance, along with free quotes, so you can see how much you can expect to pay and decide beforehand if a no exam policy is worth the cost.
Frequently Asked Questions
What is no exam life insurance?
No exam life insurance is life insurance that you can get without the need to undergo a medical exam.
What types of no exam policies are available?
There are 3 main types of no exam policies: simplified issue, guaranteed issue, and group life insurance.
What are the benefits of no exam life insurance?
The benefits of no exam life insurance include:
- Quick approval
- Skip the medical exam
- Can apply entirely online/over the phone
Can anyone apply for no exam life insurance?
Yes, anyone can apply for no exam life insurance, but it’s most suited for people who need life insurance quickly, are scared of needles, or have been denied traditional coverage.
Is no exam life insurance more expensive than traditional life insurance?
Guaranteed issue is almost always more expensive than any other type of life insurance, but simplified issue policies can come with competitive rates. The trick is finding the right policy and the right insurer.
About The Author:
Kyle Moore is a South African writer with a love of all things natural! When he isn’t spending time wandering a forest, he’s finding ways to live his best life.