Most life insurance companies will require you to complete a medical exam to get approved for a new policy, but you also have the option of a no exam life insurance policy. No exam life insurance can work for you if you have health complications or lifestyle habits that may hinder you from being approved for standard life insurance policies.
Keep reading to learn about what to know before considering no exam life insurance, and how to decide if it’s the best life insurance option for you.
What is No Exam Life Insurance?
The more common types of life insurance require a medical exam to help determine your risk level before getting insurance. The insurance provider will gauge your premium based on your health, age, and more. You’ll typically have a lower premium if you’re in good health.
With no exam life insurance, you’re not required to go through a medical exam at all to get approved. In some instances, you’ll only have to answer some health-related questions to qualify.
Pros and Cons of No Exam Life Insurance
Below are some of the pros and cons of no-exam life insurance:
- A medical exam is not required to be approved for life insurance.
- In many cases, you can get approved immediately.
- You can qualify for insurance coverage with existing health issues that would otherwise make it difficult to get approved.
- It can help cover end-of-life expenses like funeral costs, medical bills, and debt.
- Life insurance that doesn’t require a medical exam charges higher premiums.
- You may be limited to the type of life insurance you can receive without a medical exam.
- Life insurance coverage without a medical exam typically offers a limited death benefit to your beneficiaries.
What type of life insurance Doesn’t Require a Medical Exam?
The most common types of life insurance that don’t require a medical exam for approval are simplified issue and guaranteed issue.
Simplified issue life insurance is a whole life insurance policy that doesn’t require you to complete a medical exam or lab work to get approved. However, it does require you to answer a few basic health-related questions. You’ll most likely be approved if your answers align with the underwriting guidelines. Simplified issue life insurance is usually limited to people who don’t smoke, and you should have a good bill of health to qualify.
Guaranteed issue life insurance offers coverage when your options are limited. If you don’t qualify for simplified issue, you’ll most likely qualify for guaranteed life. Guaranteed issue life insurance doesn’t require a medical exam, and there are no health questions to answer and no underwriting.
The Bottom Line
It’s common for life insurance companies to require a medical exam to determine your monthly premium. A no-exam life insurance policy is another option if you don’t want to take a medical exam or can’t get approved for life insurance due to a health condition. No exam life insurance like simplified issue or guaranteed issue life insurance do not require an evasive medical exam for approval.