No Medical Exam Life Insurance: Should You Buy a Plan?

guest-postNo medical exam life insurance products are recent policies on the insurance market. Not so many people fully understand them and their advantages. As a result, the general tendency is to avoid them and keep searching for companies that sell standard life insurance policies.  But if you run out of options, do not forget to visit again companies that sell this special policy.

No exam policies are recommended policies for senior citizens and persons with medical problems.  If you are old or sick, you should buy a no medical exam life insurance plan.  We will help you understand its basic features and types of insurance.

1.      Basic Features

The mechanism is straightforward and comprehensive.  An individual who wants to purchase no exam life insurance contacts and insurer selling it and establish a date when the individual can come, present some documents and negotiate. During those negotiations the carrier will conclude if the potential client is eligible or not for this type of policy. There are some facts you must understand.  “No medical exam” does not mean no medical questions.  This only means that you will not have to undergo numerous blood tests, urine tests, EKGs or other similar medical procedures.

Underwriting will be made faster and simpler.  However, you will have to answer to a series of medical questions.  Usually these are simple “yes” or “no” questions and the answers are relevant for determining the price of premiums. The number of questions varies a lot, depending on the company and policy type.  Some questionnaires have as less as 4 questions while others have 16 questions.

2.      Types of No medical exam life insurance policies 

a)      Simplified Issue Life insurance.

It has the features of a term life insurance, because it provides life coverage for a specified period.  Length of the policy varies, with values ranging between 1 year and 10, 20 or even 30 years. As any other term life policy, claims for death benefits can be made only if the insured dies within the coverage.  Outliving the policy will not bring you major financial benefits.  But you can always renew the contract. Premiums will be modified annually, according with a schedule. These premiums can be paid annually, monthly, quarterly or biannually. Maximum amount of coverage is around $300.000.

b)      Guaranteed Issue No exam life insurance.

Premiums are more expensive than those of simplified issue. Guaranteed issue is recommended for people that have more complicated medical problems.  It is a form of permanent protection, but the amounts of coverage are smaller than simplified issue. Death benefits will be paid gradually to the beneficiaries.

c)      Final expense insurance.

People purchase this policy because it is really cheap and all they want is to help the family pay the funeral costs.  It has a small amount of coverage, with a maximum value of $50.000.  Final expense insurance is a permanent policy.

3.      Benefits

  • No exam policies are processed really fast and you will get an answer in a matter of hours.
  • No exam policies are easier to obtain by senior citizens and sick persons.
  • Flexible payment options.
  • Numerous options. 

4.      Disadvantages 

  • Premiums are a bit pricy
  • There are certain limitations regarding maximum amount of coverage
  • There are age limitations- people that are older than 90 years cannot purchase no exam life insurance.
  • People that have cancer, HIV/AIDS or terminal diseases are not eligible. 

Our goal is to help each individual get a suitable policy for its needs, goals and budget. Visit our website if you want to obtain free life insurance quotes. www.TOPSENIORLIFEINSURANCE.COM

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