You have the comfort of bypassing a life insurance medical examination as part of the application with no-exam life insurance. However, not all options are created equal, and prices might sometimes be excessive.
To assist you in finding the top no-exam life insurance, we ranked suppliers according to cost and coverage advantages.
What Is No-Exam Life Insurance?
Life insurance with no medical exam is precisely what it sounds like: life insurance that does not call for a medical examination.
A paramedical expert will collect data like your blood pressure, weight, and height after asking you a series of questions about your health and medical history as part of the normal medical exam needed by life insurance plans. Most likely, you will be requested to provide blood and urine samples for analysis. You could be asked to undergo further tests, including an electrocardiogram, depending on your age and health (EKG).
No-exam life insurance consumers who are younger and in good health are the ideal candidates for the products we have ranked above (typically 50s and under). Although you may not be eligible for a no-exam policy due to your age or health, the employer may nonetheless accept you. They could instead propose to do a more conventional underwriting procedure that includes a life insurance medical exam.
Therefore, be ready for the potential that the firm may ultimately request extra information and an exam if you apply for no-exam life insurance.
Types of No-Exam Life Insurance
Accelerated life insurance underwriting
With accelerated underwriting, the insurer electronically collects information about you and uses algorithms to determine your life insurance quotation in a hurry.
Prescription drug histories, driving records, criminal histories, and “risk ratings” generated by other firms are just a few examples of the personal data that may be obtained.
Policies with accelerated underwriting provide the ease of no exam and may be priced just as affordably as ones with traditional underwriting.
Streamlined life insurance issues
Simplified issue life insurance is a subset of life insurance that uses a more efficient underwriting process. These insurance plans often don’t need medical tests and merely ask a handful of health-related questions. Because the insurer has less information about you, simple issue policies often cost more than policies completed with rapid underwriting or medical tests.
Unconditional issue insurance
Guaranteed issue life insurance products provide protection without a medical examination or any other requirements. You cannot be rejected. Guaranteed issue life insurance is primarily designed for older citizens who need to pay for funeral costs. These insurance plans often have modest maximum coverage limits and a graded death benefit, which means they won’t pay the whole amount if you die away during the first few years of carrying the policy.
Because no one is turned down with guaranteed issue plans, they are often the most costly option for purchasing life insurance.
In our review of the top no-exam life insurance, we excluded assured issue life insurance.
Is No-Exam Life Insurance Right For You?
A no-exam life insurance policy may be a practical solution if you want speedy, hassle-free, yet reasonably priced coverage and are in excellent health and don’t smoke. Young individuals who want immediate coverage without having to jump through many hoops during the application process have a multitude of options, including no-exam life insurance.
According to Fred Tavan, chief pricing officer of Legal & General America, “individuals most likely to be accepted for no-exam life insurance are those who have provided more accurate information upfront, are seeking death benefit amounts that are as low as a couple million dollars, and who have few chronic medical conditions.”
How to Choose the Best No-Exam Life Insurance for You
Determine the amount of life insurance you need
If you need life insurance to cover several years of employment or the years spent raising a family, a no-exam policy may not be able to provide the complete coverage level you need.
Determine the amount of life insurance you need before requesting quotations. A no-exam policy by itself may not be able to provide enough protection.
Before applying, be aware of your odds
It’s enticing to get life insurance without a drawn-out application procedure, but you shouldn’t rush into a no-exam life insurance application until you know your odds of being accepted. Many no-exam rules must be approved if the applicant is in very good or outstanding health. A refusal appears on your insurance history and may be an obstacle for subsequent applications.
If you decide to go through a more conventional application procedure, which may include a life insurance medical test if you’ve had any health problems, don’t be startled.
Look beyond the price
Obviously, you don’t want to overspend on life insurance, but consider research before price. Long after you purchase the policy, there are coverage choices that may prove to be extremely beneficial, such as the choice to convert term life insurance to permanent life insurance. Consider if there is an expedited death benefit, which enables you to obtain funds from your own death benefit in the event that you are diagnosed with a terminal illness.
Be sincere in your application
Be detailed and factual on the application, regardless of the sort of life insurance you’re seeking for.
“Pay close attention to each question and be prepared to discuss any particular medical issues you may have in your response. Giving additional information in-depth can speed up the process and result in a more precise underwriting decision, according to Tavan of Legal & General America.
Intentional false statements might result in application rejections or, even worse, the rejection of a claim after your passing. There are several methods for life insurance firms to validate application data. They may check the accuracy of data from various sources thanks to technology on the backend.
Have a plan in case of a rejection
Don’t give up looking for life insurance if the firm denies your application for no-exam coverage due to your health. You most likely have alternative options if you require life insurance.
- Prepare yourself for a more conventional underwriting procedure that includes a life insurance medical examination.
- Work with a seasoned life insurance agent who may recommend companies that are considered to be more understanding of your individual health issues.
- In order to avoid another rejection, a knowledgeable life insurance salesperson may discreetly market your application elsewhere.
Do you need conventional term life insurance? See the rankings of the top term life insurance from Forbes Advisor.
Methodology
We evaluated businesses using the following criteria:
Price (50% of the total score): For $500,000 and $1 million with a 20-year term, we averaged the no-exam life insurance prices for men and women in good health at ages 30, 40, and 50.
Maximum face amount for lowest eligible age (10% of score):
Companies with larger no-exam life insurance coverage levels for the lowest age received more points. Keep in mind that if you apply at a higher age, the maximum no-exam coverage may sometimes decrease.
Best length/amount (10% of the score) eligibility for age:
Companies received bonus points if they offered no-exam life insurance to those over the age of 50.
Available accelerated death benefit (10% of the total):
In the event that you are diagnosed with a terminal disease, you may use this crucial feature to obtain a portion of your own death benefit.
Alternative to convert to a permanent policy (10% of score):
This is a nice option to have in place if you decide you want a longer policy, particularly if your health has deteriorated and you don’t want to search for new life insurance.
Guaranteed renewals (5% of the score):
With this choice, you may continue receiving coverage after the original level term period has ended, for example, after the conclusion of 10, 20, or 30 years.
Although renewal premiums might be much higher, doing so can prolong coverage for a person who would no longer be eligible for a new life insurance policy due to health.
Median time from application to approval (5% of score):
We assigned additional points to businesses with quicker approval timeframes for no-exam life insurance (5% of the total score).
Depending on the business and maybe even your health, the clearance process might take only a few seconds or a whole month.
Best No-Exam Life Insurance FAQ
Why no-exam life insurance coverage levels are sometimes capped?
When offering a no-exam policy, life insurance firms run a larger risk since they lack certain information about your health without a medical examination. In order to lower risk for the life insurer, no-exam life insurance coverage limits are often restricted.
Is there simply a no-exam option for term life insurance?
A form of whole life insurance called guaranteed issue life insurance is sometimes made available without a medical assessment. This kind of insurance is often designed for specialised coverage requirements, including funeral expenditures, but is constrained by low coverage levels.
Can a no-exam life insurance policy be financed?
A term life insurance policy with no exam cannot be used as collateral for a loan. There is no financial value built up in these insurance.
Some guaranteed issue insurance accrue monetary value that may be accessed through loans or withdrawals.
