Statistics show that more than 40 percent of the population has either no life insurance or not enough life insurance. If you have been living without life insurance, it might be for one of many reasons. Most people either do not think they need life insurance, do not have time to apply for coverage, or are afraid of being denied coverage because of pre-existing medical conditions. If you fall into one or more of these categories, you should read on to find out more about no exam life insurance. Stop putting off the process of applying for life insurance and choose a plan that will cover you regardless of your health.
What is No Exam Life Insurance?
Like term life insurance and whole life insurance, a no exam life insurance policy is a contract that will pay a death benefit to your beneficiaries when you die. The primary difference between these plans and other conventional plans is that the insurer does not require you to complete a medical examination in order to be approved for coverage. Both healthy individuals and individuals with health problems can qualify for coverage up to a limited amount.
No exam life insurance is often called instant issuance term life. This is because there is an extremely fast turnaround from the date that you apply to the date that you are approved. Most insurers who offer this type of cover will have your policy enforced in as little as 24 hours.
Types of No Exam Life Insurance Available
There is more than just one type of plan you can apply for when you are not interested in completing a medical exam. Here are three of the most common types of no medical exam life insurance plans sold today:
SIMPLIFIED ISSUE LIFE INSURANCE
This plan requires you to submit an application and answer health-related questions. The application will be reviewed which calls for longer turnaround times.
GRADED BENEFIT LIFE INSURANCE
With this plan, you will be asked very basic medical questions on the application. One thing to keep in mind with a graded benefit policy is that if you pass away in the first 2 years of the policy, the benefit will be reduced. The benefit will be paid in full, however, if you pass away due to an accident and not a medical condition.
GUARANTEED ISSUE LIFE INSURANCE
This is the most popular option for applicants applying for no exam life insurance. If you apply for this cover, no medical questions are asked and policies are issued quickly.
Why You Might Need Life Insurance
If you think you have no need for insurance, you must think about expenses that you might overlook. From paying for funeral expenses to paying off your medical bills, life insurance takes the burden off your loved one’s shoulders when you pass away. Even a limited amount of insurance will make a huge difference.
If you are scared of needles, you do not want to visit the doctor’s office, or you know that you have a medical condition, no exam life insurance may be the right solution for you. Compare each type of policy, choose a death benefit, and compare premiums as soon as possible.