Last Updated: 05/09/2018
Not too long ago, you were required to complete a medical exam before you could qualify for life insurance coverage. However in recent years, a new type of policy has been created – No Exam Life Insurance.
Even more good news – with its increasing popularity, it has become much more affordable and comparable to traditional life insurance. And who wouldn’t want to skip a medical exam if they could?
In this article, we’ll give you our 12 best reasons why you should opt for no exam life insurance.
Quick Article Guide
- You Hate Needles
- White Coat Syndrome
- You Have a Serious Health Condition
- You Have a Medical Condition That is Improving
- You Need Coverage Immediately
- Risky Hobbies
- Minimal Coverage Needs
- You’re a Student or Unemployed
- You Don’t Mind Paying a Little More
- Busy Schedule
- You’re Applying for Traditional Insurance as Well
- You’re a Little Bit Older
- Questions? We Can Help!
If you aren’t a fan of needles, chances are, you’re not going to like getting the medical exam done. When performing a medical exam, the examiner will take your weight, height, blood pressure, and collect urine and blood samples. So if you cringe at the thought of getting your blood drawn, it might be best to opt for a no exam policy instead.
Doctor’s offices and hospitals aren’t the most fun places in the world. So it makes sense that those types of environments can make some individuals anxious. White Coat Syndrome is when someone (whose blood pressure is usually healthy) gets anxious and their blood pressure increases when at the doctor’s (who are sometimes seen wearing white coats – hence the name).
Having a high blood pressure reading can skew your results and potentially place you in a lower rate class than you would normally qualify for. In that case, no exam life insurance is the way to go.
There are two types of health conditions: unmanaged and managed. If you have a chronic health condition, but can prove that your treatment was effective or that said condition is being well-managed (like taking medication for high cholesterol), life insurance carriers may still offer you some competitive rates.
On the flip side however, if your condition is not well-managed and you’re not living a relatively healthy lifestyle, you probably won’t qualify for very affordable rates – if you qualify at all.
Note: if you have a very serious condition, you may only be able to qualify for a guaranteed issue policy. Speak with one of our agents today to find out what your best option is.
On the flip side, maybe you have an acute medical condition that is currently improving, but would still ding you if you were to take the medical exam when applying for coverage.
In this case, it might be wise to apply for a smaller amount of coverage and a no exam policy, and once your condition has improved and you feel like you’d qualify for good rates, apply again for a traditional life insurance policy, in which you may qualify for more coverage, and better rates!
When you apply for a life insurance policy with traditional underwriting, there is a waiting period after submitting your application. Sometimes it can take up to eight weeks to become approved.
With the new wave of no exam policies, they’re making that waiting period much shorter. There are ones as short as 48 hours!
So whatever you reasoning may be for needing a fast approval, no exam is undoubtedly a smart approach.
Do you spend your weekends skydiving? Or maybe you spend some bungee jumping, and others scuba diving. Let’s just say this – either way, life insurance companies aren’t going to love you.
If your examiner asks you about these hobbies, it’ll most likely spike up your monthly premium. If you choose to go the no exam route, you won’t be asked about your hobbies, ergo dodging the penalization.
If you’d like to know more about what qualifies as a dangerous hobby, check out this article.
When life insurance companies choose to insure someone without having them take a medical exam, they are putting themselves at risk. For that reason, the most companies will typically offer on a no exam policy is $500,000 of coverage.
If you need that amount or less in coverage, then skipping the exam should be totally fine (given other health and lifestyle conditions, obviously). If you need more coverage, we’d suggest either a term or guaranteed universal life insurance policy instead.
We have a common phrase we use here at TLA – you can’t be worth more dead than you are alive. So if you’re a student or unemployed, chances are you’re not bringing in $1,000,000 a year (or maybe you are…we don’t know for sure).
When you apply for life insurance, they typically ask what your current income is. They do so to make sure the coverage your asking for is appropriate in relation to your salary, and that you’ll be able to pay your policy premiums. So if you don’t currently have an income, some companies won’t want to take that risk with you, and will deny your application (even if you’re in great health!).
For this reason, it may be best to choose a no exam policy. These types of policies don’t generally ask for your income, since they only dole out a certain amount of coverage.
If you experience any of the previously listed reasons, or just straight up don’t want to take the exam and don’t mind paying a little more in premiums each month, that’s just as good a reason as any to skip it!
Like stated previously, with the increasing popularity in no exam policies, they really aren’t that much more a month than the traditional policies (depending on your health, the company, etc.).
To see some examples of no exam policy costs, check out this article.
In the world we live in today, people’s schedules are jam-packed. Maybe you just absolutely do not have time to take the medical exam, as well as endure the lengthier process that comes along with applying for a traditional life insurance policy.
In this case, you probably know what we’re going to say by now – opt for a no exam policy instead! You save time while still allowing to become insured (as long as everything else checks out, of course).
By no means are we suggesting that a no exam life insurance policy is the better route to take when applying for life insurance. We’d still suggest the traditional underwriting route, especially if you’re in good health, because you could save quite a bit of money.
However, isn’t it better to exhaust all of your options, rather than put all your eggs in one basket? That’s why we suggest applying for both if you can! That way, you can compare the premiums of each, and decide which policy is a better fit. Plus, you have double the chance of getting approved this way.
In the life insurance world, it becomes a lot harder for people to apply for coverage after the age of 79. Now of course, there are still going to be individuals who need coverage after that age, but it is more of a risk to life insurance companies to cover them due to declining health as they age. If you do get approved, it’s likely that your premiums will be extremely high, again due to the risk the company is taking on you.
For this reason, it may be best consider a final expense life insurance policy (also known as burial insurance) instead. These policies are most commonly used to cover funeral and other final expenses (hence the name), and are offered to individuals up until age 89. If you fall into this category, a final expense policy may be the way to go.
When it comes to life insurance, there are so many individual factors that can affect your rates, and many people aren’t sure which type of policy would best fit their needs – that’s where we come in!
At Term Life Advice, our agents do not have sales quotas to meet, we’re just genuine people who want to match you with the best life insurance company possible. We work with over 60 top-rated companies, and have no doubt that we can find the best company for you.
If you would like to receive an accurate quote based on your age and health, as well as which type of policy and amount of coverage you should choose, give us a call. Toll-free, no obligations: 855-902-6494.
Our services are completely free, and there is not cost to apply for coverage. Give us a call today, or you can request a free online quote below to compare rates from more than 60 life insurance companies in less than a minute.