It would be great if buying life insurance was a quick and easy process, but that isn’t always the case. Getting approved for life insurance usually takes about 4-6 weeks and includes getting a medical exam. Sometimes life insurance companies also request your medical records from your doctor. It is for this reason that many people look to get a no medical exam life insurance policy.
No Medical Exam Life Insurance Advantages
The biggest reason why people buy a no medical exam insurance policy is because they aren’t fond of having blood drawn. Some people just hate needles and would do anything to avoid them. If this sounds like you, then a no medical exam policy would be something you should consider.
Quick Turn Around Time
Another reason to consider a no medical exam life insurance policy is how quickly you can get a decision (hopefully an approval). For example, with Fidelity Life’s Rapid Decision Express Term Life Insurance policy, a decision is made within 24-48 hours.
There are many benefits to getting a quick decision on your life insurance application. First, and most important is that if you get approved, you are covered with insurance should the unexpected happen. Obviously this is the reason you are buying a life insurance policy, and having the peace of mind that your loved ones are protected is a great feeling.
Another reason why you may want to secure coverage quickly is because there is a specific reason why you are buying life insurance. For example you may be flying overseas on a business trip, or vacation, and you want to secure coverage before the trip. You may not be able to do that with a traditional life insurance policy, but you can do it quickly and easily with a no medical exam life insurance policy.
Sometimes when securing a business loan, you are required to get a life insurance policy and assign it as collateral. Most people choose to buy a term life insurance policy, but underwriting time can slow down the process of securing your loan. In these cases, a no medical exam policy can help get your life insurance policy in just a couple of days, and you can get the money you need for your business.
The quick acceptance time is one of the most common reasons that applicants decide to purchase a no exam life insurance plan. If you’re looking to get life insurance protection as quickly as possible, then a no exam plan is going to be one of the best options for you.
Disadvantages of No Medical Exam Life Insurance
Since no medical exam term life is fast and can be easy to get, why doesn’t everyone buy it? Every type of life insurance plan is going to have some drawbacks, and no exam policies are no different. It’s important that you understand all of the types and the disadvantages of each of them. Here are a few of the disadvantages of life insurance without a medical exam.
No Medical Exam Life Insurance May Cost More
When buying a traditional term or permanent life insurance policy, a medical exam is required. Since the insurance company gets the results from this exam, they have more significantly more information on your health then without a medical exam. Since the insurance company has more information, a medical exam policy involves less risk to the insurance company, and thus you typically get better pricing on life insurance with a medical exam. Therefore, if you are looking to get the cheapest term life insurance policy that exists, you are probably better off with a policy that does require a medical exam.
Coverage is Limited
There is a limit to the amount of life insurance coverage you can get with a no medical exam policy. Depending on the life insurance company, limits typically vary from $100,000 to $350,000. Fidelity Life does have a mortgage express term life insurance policy that allows you to get $500,000 of coverage without a medical exam if you have gotten a mortgage within a year. You can get higher coverage by purchasing multiple policies from different carriers, but you are limited to the amount of coverage any one no medical exam life policy will offer you. Perhaps you’re looking for quotes from other companies such as a quote for Allstate term life insurance If so; we can help.
Turned Down for Life Insurance?
One common reason that people look at no exam plans is because they’ve been declined for life insurance protection because of their health or a pre-existing condition. It’s common for people to get turned down, but that doesn’t mean that a no exam life insurance policy is your only option. If you’ve been declined for protection, don’t panic and automatically buy a no exam insurance policy.
Every insurance company is different, which means that all of the companies are going to have different medical underwriting standards based on their restrictions. Some insurance companies have more experience working with high-risk applications with pre-existing conditions, while other companies are going to be more conservative with their policies. If you were turned down because of your health, it might be because you chose the wrong insurance company. There is a chance that if you find the right company, you’ll be approved for a traditional policy that requires a medical exam.
For example, if you’ve been rejected for protection because of diabetes, either type 1 or type 2, there are dozens and dozens of insurance companies that are going to provide you with quality and affordable life insurance coverage. Some companies specialize in working with all types of applicants diagnosed with diabetes. While other companies are declining those applicants, these companies are giving them affordable term insurance protection.
Saving Money On No Exam Life Insurance
When you’re shopping for life insurance protection, it’s important that you get the lowest rates on your life insurance coverage. Without the medical exam, there are fewer ways that you can trim down your premiums, but there are still some ways that you can save money on your insurance coverage.
The first thing that you should do is cut out any tobacco that you currently use. If you’re listed as a tobacco user on your application, then you’re going to be facing much higher premiums for your life insurance protection. Smokers are at a higher risk of being diagnosed with health complications like smoking or cardiovascular problems, which means smokers are a higher risk to the insurance company. In fact, smokers are going to pay around twice as much for life insurance versus what a non-smoker is going to pay for the same sized plan.
The best way to ensure that you’re getting the lowest premiums is to compare dozens of plans before you decide which policy is going to work best for you. As I mentioned, every insurance company is different, which means that they all have different ways of calculating what they are going to charge for insurance coverage. With no exam plans, they have less information to base your premiums on, which means that you’ll get drastically varying rates depending on which company that you get the quote from. If you want to save money, it’s important that you find the company with the lowest rates.
There are thousands of companies on the market, which means that you could spend weeks and weeks calling agents to find great rates, or you can let one of our agents do all of the hard work for you. We are independent insurance agents, which means that we don’t work with one single insurance company. Instead, we work with dozens of highly rated companies across the nation, and we can bring all of the best plans directly to you. No hassle. No fuss.
When is No Medical Exam Life Insurance a No Brainer?
There are times that I would always recommend buying a no exam life insurance policy over a traditional policy. Typically this is when someone is fairly young and applying for a smaller policy, usually under $250,000. The reason I recommend no medical in these cases is that often times for smaller policies, especially for younger people (usually under 40 years old) the pricing for a traditional policy is only a few dollars a month less than a no medical exam life insurance policy. In these cases I think that paying a few more dollars a month to get a policy quickly and easily without a physical exam is worthwhile.
If you are looking to buy life insurance policy and save money, I urge you to compare life insurance quotes. You can do so by filling out the quote request form below. I can help you compare rates among no medical life insurance as well as traditional policies. This will help you decide which option is best for you and your family.
Latest posts by Liran Hirschkorn (see all)
- Does Having a Stroke Affect Life Insurance? - October 10, 2017
- Protective Term Life Insurance: How Protective Life is Different - October 6, 2017
- Life Insurance For Dummies: Basics You Need To Buy Smart - September 25, 2017