If you need life insurance coverage but don’t want to go through a medical exam, simplified issue term life insurance may be a good option for you.
Easy Article Navigation
This type of life insurance doesn’t require any physicals, blood tests, or urine tests. So if are in good health and need affordable coverage quickly, no medical exam term life insurance can be a convenient and instant solution.
Whole Life Insurance
Whole Life Insurance is permanent insurance, designed to cover you from the day the policy is issued until the day you die. There are fixed premiums and a fixed death benefit with this type of life insurance. Whole life also has a cash value savings vehicle that can be accessed for any reason via policy loans and cash withdrawals (partial surrenders).
How does No Medical Exam Term Life Insurance Work?
No-medical-exam life insurance can be a great option for people who want to avoid the hassle of a physical exam. Your past health records are used to assess your health and set your premiums, so you can get coverage quickly and without having to go through all the steps of a traditional policy.
However, please don’t assume no exam term life insurance is for applicants who have medical conditions they don’t wish to disclose. No exam life insurance doesn’t require a medical exam but there is an underwriting process that includes some or all of the following:
Whole Life Insurance
Whole Life Insurance is permanent insurance, designed to cover you from the day the policy is issued until the day you die. There are fixed premiums and a fixed death benefit with this type of life insurance. Whole life also has a cash value savings vehicle that can be accessed for any reason via policy loans and cash withdrawals (partial surrenders).
The good news is that all of the underwriting information can be gathered electronically so an applicant can confirm their rate almost instantly and a policy can be issued in a matter of hours rather than weeks.
Whole Life Insurance
Whole Life Insurance is permanent insurance, designed to cover you from the day the policy is issued until the day you die. There are fixed premiums and a fixed death benefit with this type of life insurance. Whole life also has a cash value savings vehicle that can be accessed for any reason via policy loans and cash withdrawals (partial surrenders).
Is No Medical Exam Term More Expensive than Traditional Term Life Insurance?
Before life insurance companies had access to the technology needed to simplify the underwriting process, no exam life insurance was priced much higher than traditional term insurance (medical exam required) and death benefits were capped at about $250,000.
Now, life insurance companies that offer no exam term life insurance, use innovative technology so that the life insurance application and underwriting process can be reviewed almost instantly.
Many companies combine the completed application, the MIB and Prescription report, and a telephone interview with the applicant to get the information needed to determine the applicant’s risk and health classification.
No Medical Exam Term Insurance versus Fully-Underwritten Term Insurance. Here are actual rates for a healthy male non-smoker applying for a $500,000 20-Year Policy:
Whole Life Insurance
Whole Life Insurance is permanent insurance, designed to cover you from the day the policy is issued until the day you die. There are fixed premiums and a fixed death benefit with this type of life insurance. Whole life also has a cash value savings vehicle that can be accessed for any reason via policy loans and cash withdrawals (partial surrenders).
| Age | No-Exam Term | Fully Underwritten |
|---|---|---|
| 25 | $28.08 | $23.80 |
| 30 | $28.51 | $24.65 |
| 35 | $29.81 | $25.99 |
| 40 | $39.74 | $35.90 |
| 45 | $62.21 | $54.93 |
| 50 | $108.43 | $83.83 |
For accurate rates for your actual age, feel free to use our instant quoter. All rates are subject to final underwriting by the insurer.
Here are actual rates for a healthy female non-smoker applying for a $500,000 20-Year Policy.
Whole Life Insurance
Whole Life Insurance is permanent insurance, designed to cover you from the day the policy is issued until the day you die. There are fixed premiums and a fixed death benefit with this type of life insurance. Whole life also has a cash value savings vehicle that can be accessed for any reason via policy loans and cash withdrawals (partial surrenders).
Age No-Exam Term Fully Underwritten
25 $22.46 $18.61
30 $23.33 $19.47
35 $26.78 $22.16
40 $35.42 $30.03
45 $51.41 $42.84
50 $76.03 $64.18
For accurate rates for your actual age, feel free to use our instant quoter. All rates are subject to final underwriting by the insurer.
Whole Life Insurance
Whole Life Insurance is permanent insurance, designed to cover you from the day the policy is issued until the day you die. There are fixed premiums and a fixed death benefit with this type of life insurance. Whole life also has a cash value savings vehicle that can be accessed for any reason via policy loans and cash withdrawals (partial surrenders).
Pros and Cons of No Exam Term Life Insurance
Whole Life Insurance
Whole Life Insurance is permanent insurance, designed to cover you from the day the policy is issued until the day you die. There are fixed premiums and a fixed death benefit with this type of life insurance. Whole life also has a cash value savings vehicle that can be accessed for any reason via policy loans and cash withdrawals (partial surrenders).
As with any life insurance and your purpose for buying it, the pros and cons are typically based on your need for coverage. Knowing this, it’s important that life insurance shoppers weigh the pros against the cons before making the purchase decision.
The Pros of choosing No Medical Exam Term Life Insurance:
- Rates are comparable to fully-underwritten term life insurance
- Confirmed rates and underwriting decision as soon as the same day as applying
- Most companies offer a variety of optional riders and considerable death benefits
- Mitigates the inconvenience of having a medical exam
The Cons of choosing No Medical Exam Life Insurance
- Death benefits are typically capped at $1 million
- Older applicants in poor health will likely not qualify for coverage
- Rates can be higher than traditional fully-underwritten term insurance
Whole Life Insurance
Whole Life Insurance is permanent insurance, designed to cover you from the day the policy is issued until the day you die. There are fixed premiums and a fixed death benefit with this type of life insurance. Whole life also has a cash value savings vehicle that can be accessed for any reason via policy loans and cash withdrawals (partial surrenders).
What if My Application is Declined?
Since no exam life insurance is typically a yes-no underwriting decision, applicants who are declined will have to apply for fully-underwritten life insurance. The primary reason to re-apply for a traditional term life insurance policy is so that the insurer can increase your rates to offset a higher risk rather than simply deny insurance coverage.
If, however, your health and age preclude you from getting no exam or fully-underwritten term insurance, you can purchase guaranteed issue whole life insurance since the underwriter will not consider or ask any health-related questions.
Guaranteed issue life insurance is whole life insurance that is typically available with lower coverage amounts ($5,000 to $40,000) and is much more expensive than traditional life insurance. Since guaranteed issue life insurance is considered coverage of last resort, applicants should exhaust all attempts at traditional life insurance before buying it.
Not only are the rates more than double the rates of traditional insurance, but most companies will also apply a 2-year waiting period before they will pay the full death benefit for death from natural causes. If the insured dies because of an accident during the waiting period, the company will typically pay the full death benefit.
There is good news, however, since guaranteed issue life insurance is a whole life product, the policy will contain all of the benefits you’d normally receive in a traditional whole life insurance policy:
- The company cannot cancel your policy as long as you pay your premiums.
- The company cannot raise your rates during the life of the policy, even if you come down with a terminal illness or must live in a nursing home.
- Your policy will build cash value over time which can be accessed for any reason.
Whole Life Insurance
Whole Life Insurance is permanent insurance, designed to cover you from the day the policy is issued until the day you die. There are fixed premiums and a fixed death benefit with this type of life insurance. Whole life also has a cash value savings vehicle that can be accessed for any reason via policy loans and cash withdrawals (partial surrenders).
Frequently Asked Questions
Yes. Because of new technology that simplifies the medical underwriting process, many life insurance companies offer no medical exam Term Life insurance.
Although you can purchase whole life and universal life without a medical exam, term life insurance is the least expensive and you can get up to $1 million in coverage.
Although life insurance rates are based on many underwriting factors which include age, health, and death benefit, most people can purchase a $100k term policy for about $20 or less per month.
Your type of life insurance should be based on your individual circumstances and budget but if you are looking for the lowest rates possible, you should consider term life insurance that has a conversion option.
If you are considering term life insurance and prefer not to have to undergo a life insurance medical exam, consider No Medical Exam Term Life Insurance. The rates are extremely affordable and your policy can be ready tomorrow.