Is A No Medical Exam Life Insurance Policy Right For You?

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Having a life insurance policy is vital to cover funeral expenses as well as to meet expenses for your children and spouse and to cover debts and pay estate taxes. For many of us, investing in life insurance is something that lingers on our to-do list, but it can take a long time to get around to, coupled with the fact that there are so many policy options it can be hard to know what policy to choose.

A no medical exam life insurance policy does not require a physical before approving you for your policy whereas a policy that requires a medical exam will base the policy based on your health at the time of your medical examination. Still not sure what policy to choose? Here are 11 reasons why a no exam life insurance policy may be perfect for you.

  1. If You Need Immediate Policy Coverage

To save time and quickly tick a job off your to-do list, a no medical policy may be right for you. A standard life insurance policy can take 6-8 weeks whereas a no medical policy can take only a few short days to approve, with some companies it can take just 15 minutes.

  1. If It Has Been A While Since You Last Saw Your Doctor

If you are not confident of your health, then it may be cheaper to apply for a no medical policy. A medical exam can mean higher rates if you are not in excellent health, so if you are not completely certain of your health bill, a no medical policy could be a cheaper option. Remember, if you choose to have a medical exam, your information is stored on record and will be shared on future insurance applications.

  1. If You Have A Phobia Of Needles, Blood Or Doctors

Around 20% of people have a fear of needles and many people fear being in a hospital or seeing a doctor. A traditional policy will often require you to give a blood and urine sample which can cause anxiety, fear, and fainting. A no medical policy will not require you to visit a doctor or give samples.

  1. If You Are Young And Healthy

With less information required, carriers will assume that as you are young, that you are healthier than older people. This means that premiums are kept relatively low for younger people and could be cheaper than revealing your health through a medical exam.

  1. If You Are Too Busy

A traditional life insurance policy will require you to schedule a paramedical exam, and as most of us lead a busy lifestyle, this can be quite difficult. A paramedical exam may require you to take time off work or put pressure on home commitments. Rates rise as you age, so applying for a no medical exam policy now means that you have life insurance sorted and weight is off your mind.

  1. If You Have A Dangerous Job Or Hobby

Insurance underwriters will ask questions about your occupation and hobbies if you do anything that is high risk, your premiums will rise. By choosing a policy that requires as little information as possible, you will be able to save money.

  1. If You Are Not Concerned About The Cost

Generally, a policy with the exam is cheaper. However, it is wise to secure a no medical exam policy first, before taking a medical exam. After you have an exam, your results will be accessed for all future insurance policies in the MIB, and if you are not in perfect health, it could increase your premiums.

  1. If You Do Not Need A High-Coverage

On average, the highest coverage limit for a no medical policy will be $500,000. If you need more than this, then a medical exam policy may be a more suitable option.

  1. If You Are A Student Or Unemployed

In a standard life insurance application, you will be asked about your income to determine the amount of coverage you need. If you lack an income, your application may be refused. Non-medical policies usually won’t ask about your income.

  1. If You Have a High-Risk Health Condition

A traditional policy may refuse your application if you have a health condition whereas a guaranteed issue policy will still accept you, although some policies will have limitations and are likely to cost more.

  1. If You Are Considered “Too Old”

As you age, premiums rise, and some companies will not offer insurance beyond a certain age, usually 70. For this, you can apply for a no exam policy called Final Expense, which is typically intended to cover funeral expenses.

Life insurance policies without the exam have increased in popularity recently. Consult an independent agent to discuss options and learn the best companies to apply at for your situation.

Melissa Thompson writes about a wide range of topics, always revealing interesting things we didn’t know before. She is a freelance producer for USA Today, and a contributor at Technorati. She lives in Utah with her 2 kids and husband. Melissa Thompson can be reached via LinkedIn or Twitter @melthompson88. Please follow and friend her on either site.