No Medical Exam Life Insurance: How to Eliminate the Physical in [2024]
Are you looking for a simpler and quicker method to apply for life insurance? With no-medical-exam life insurance,
you can bypass extensive procedures for physical exams and waiting for medical records.
Table of Contents
What is No-Medical-Exam Life Insurance?
Non-Medical-Exam Life Insurance is a term life insurance policy that does not require taking a physical exam. It also does not require medical records to be requested from your doctors office. These applications also have much fewer medical questions than conventional applications.
Just keep in mind that these policies cost a little more than conventional term policies because the insurance carriers have to underwrite these policies without knowing that much about you.
If you begin an application and have medical conditions that become a concern, you will have to go through the full application process with taking a physical and most likely medical records also.
How Much Life Insurance Can I Apply for Without Taking an Exam?
The face amount varies by what company you choose to apply with. Years ago, the face amounts were much lower than they are now. No medical exam life insurance underwriting is much more relaxed than ever before.
As a result, the top-rated A+ companies that most people have heard of, such as Sagicor and Liberty Financial, will go as high as 1 million dollars. Other companies will go even higher, up to 3 million dollars. We recommend going the traditional application route if you want a high face amount over $1 million and getting approved with the lowest rates possible.
As I previously stated, non-med policies cost a few percent money. This becomes apparent when you go into higher face amounts that naturally have higher premiums.
Types of Non-Med Policies to Consider
You must first realize that a no-medical-exam life insurance policy is not a specific type of life insurance product. It should be considered more as an option for applying for life insurance. You can either go the traditional route with a physical exam or a non-medical exam alternative skipping the exam.
Taking the physical will usually be your best choice if you want the lowest possible premium. However, a no-medical-exam life insurance policy would work out great if you were looking for fast underwriting, no physical, and still have competitive rates.
Term Life Insurance:
Non-Med Life Insurance plan designs are just like any other design, with the only exception being that the face amounts are more limited. Depending on the company you are applying with, the maximum face amounts can range from $350 to $500,00.
Some companies will go up to 2 million in some situations. Don’t forget these non-med plans do cost a little more than their fully underwritten counterparts.
Whole Life Insurance:
You can also apply for Whole Life Plan designs with the Non-Med feature also. Most of the time, when people get a quote on whole-life policies, they get sticker shock due to their high cost.
Whole life plans can be a logical choice for people who could benefit from final expense life insurance for seniors looking for coverage for end-of-life expenses. The second situation would be for people in poor health that would typically be declined from purchasing life insurance. They can apply for Guaranteed Issue life insurance and immediately get approved.
What Are the Best Companies for Non-Med Life Insurance?
Sagicor:
Sagicor is a highly sought-after company with these policies. No medical exam is required, and policies are usually approved within 1-7 days. No medical files or information are required from your doctor. The face amounts range from $50,000 – $500,000.
Sagicor has become one of the most popular companies for non-med policies in the United States. They also have some of the lowest rates you will find, which puts them in great demand.
Fidelity Life:
Fidelity Life is also one of the most popular companies specializing in non-medical exam life insurance. They have been in business since 1896 and are a highly-rated company. Their Rapid Decision term product offers a choice of 10, 15, 20, and 30-year guaranteed level premium periods.
Their premium class categories are straightforward. You are either “Standard Non-Nicotine” or “Standard Nicotine.” In other words, these two classes will distinguish themselves between smoker and non-smoker health classifications.
Banner Life:
Applicants who choose a simplified issue policy appreciate Banner’s quick approval times. Banner Life also has highly competitive premiums. Banner’s parent company, Legal & General, offers no medical exam policies with some of the best life insurance rates in the industry.
Instead, they use Banner Life and their well-known sister company, William Penn, located in New York. These policies do not require a medical exam and are offered at the exact cost of the fully underwritten term policies. This is excellent for consumers who want a no-medical exam policy but can’t afford the higher rates of some other carriers.
Lincoln Financial:
Lincoln National is a first-class company with some of the most competitive rates. In 1905, a group of businesspeople from Fort Wayne, Indiana, decided to form a new life insurance company.
Lincoln National Insurance Company is built on honesty, dependability, and the very best customer service in the industry. Lincoln National lived up to its expected reputation just as it does today.
As of the third quarter of 2018, Lincoln Financial has reported managed assets of 246 Billion Dollars. Operating revenue of $4.7 Billion, a net income of $572 million, and income from their operations totaling over 498 million dollars.
Honorable Mentions for Excellent Non-Med Insurers:
United of Omaha:
No exam is required for face amounts under $250,000. It is possible underwriters may request doctor’s records. Face amounts from $50,000 – $250,000.
Transamerica Life:
No exam is required. Underwriters may request doctor’s records. Face amounts from $25,000 – $249,999.
Assurity Life:
No exam is required. Underwriters may request doctor’s records. Face amounts from $50,000 – $350,000.
North American:
No exam is required. Policies are issued on the same day. No medical files are required from your doctor. Face amounts from $50,000 – $500,000.
American National:
No exam is required. Policies are reviewed by underwriters with 48 – 72 hour approval times. Underwriters may request doctor’s records. Face amounts from $50,000 – $250,000.
Phoenix Life:
No exam is required. Policies can take between 1-30 days to be approved. Underwriters may request doctor’s records. Face amounts from $50,000 – $500,000.
Savings Bank Life Insurance (SBLI):
No exam for policies $500,000 and under. Policies can take up to 30 days to be approved. Face amounts from $100,000 – $500,000.
No Medical Exam vs. Traditional Life Insurance:
No Medical Exam Is Required:
This is the main advantage. No Para-Med Nurse performs an exam which means no blood or urine test. Many people do not appreciate meeting with a nurse and having blood drawn.
Shorter Approval Times:
We are looking at about 85% less time than traditional full underwriting. Agents can complete the application by calling you on the telephone. You can then sign it electronically with an electronic signature.
If approved, your policy can be in force in as little as 24-48 hours. On average, traditional underwriting could take up to 4-8 weeks to complete the application.
Limited Face Amounts:
Usually, the highest face amount will be limited to the maximum of $500,000, which is very limited to specific companies. If you need a higher face amount, the traditional Term will be the way to go.
Age limits:
Sagicor Life policies, for example, will be available to people from ages 18-65 years old.
Cost Factors:
Depending on your age and the selected face amount, you may pay more for a no-medical exam term policy. It pays to investigate these policies to see if they are right for you. When you apply for these policies, you pay for the speed of approval time and added convenience. If this is worth paying a little more, it will be a good choice for you in the long run.
Do I Have to Answer Any Medical Questions?
You will only be asked to answer a short list of health questions. Since there is no physical exam, your insurance carrier will still need some information pertaining to your health history.
They can ask for medical records, review your pharmacy purchases and run a motor vehicle report. If you purchase a guaranteed issue plan or group term policy. They do not require an exam or even ask any health questions.
However, we usually run a quick medical pre-screen when applicants have severe medical conditions. This tells us which company will be your best choice for offering the lowest rates. As independent life insurance agents, we work with over 40 of the most competitive insurers.
What Are the Advantages of Non-Med Life Insurance?
When you first think about no-medical-exam life insurance plans. They always look like the best thing since sliced bread. Unfortunately, we don’t always recommend these non-med plans to our clients. Here are some reasons why they may not be your best plan.
No Exam Required:
The most significant advantage is that you will not have to take a paramed exam and a blood test. I’m not too fond of needles and possibly a bruised-up arm if you are like me.
No Paramed Nurse:
You will not have to set an appointment and possibly take time off work to meet with a nurse to perform the exam. This is usually always some inconvenience for most people.
Fast Approvals:
There is no question about it; these plan designs are usually very fast for approval times, sometimes less than 24 hours.Conventional underwriting times could easily take over a month or even more. If you need life insurance quickly, non-med plans are a great choice.
What Are the Disadvantages of Non-Med Policies?
There are only two slightly negative aspects to non-med life insurance. First, always remember that these are conventional life insurance policies but with a shorter underwriting path to getting approved.
Face Amount:
No medical exam life insurance limits face amount (death benefits). You might want to go the conventional route if you want a higher death benefit, such as over $500,000. Most of these companies go up to approximately $300,000 to $500,000.
Premium:
A non-medical exam policy can average costs between 5-15% more. The underwriters do not have the usual amount of information about you. When you eliminate the para-med exam, many areas of information, such as your height and weight, blood test results, saliva, and urine, will be unknown.
The Application Process
1. Pre-screen any medical conditions that you have with your agent.
2. Start by comparing multiple non-medical exam life insurance quotes.
3. Choose the most applicable life insurance company with the most competitive rates and submit your application.
4. Receive your approval from some companies as soon as 24 hours.
5. Pay your first month’s premium, which will put your policy into force.
6. The most important part of the application is being upfront with your agent and telling him about any health conditions.
How Can I Compare Non-Med Life Insurance Rates?
If you are looking for the lowest rates, you can compare rates from over 40 of the best life insurance companies in our rating system. Finding the best no-medical exam life insurance quotes begins by comparing all the best insurer rates displayed side-by-side.
You can review instant life insurance quotes in less than a minute with our website’s rate comparison system. The rates you will see are pulled from the insurance company’s data servers, making them 100% up-to-date and accurate.
You can also use the quoting on the right side of this blog post. Feel free to use it as much as you would like. However, keep one concept in mind: the life insurance company underwriter will determine the final rates after the underwriting process.
Independent Agents vs Captive Agents
You always have two choices when working with an insurance agent. The two choices are connecting with an independent agent, and the other is a captive agent. Here are the differences below:
Independent Agents:
An independent agent is a broker like we are and does not work for an insurance company. They also have access to all the major insurance companies and have their client’s best interests in mind.
They can shop the entire market for you and zero in on who will offer you the lowest rates. Independent agents will always be the most logical choice regardless of what type of insurance you are looking for.
Captive Agents:
Captive agents work for insurance companies such as Geico or State Farm. The captive agent only has access to one company and that is the company they work for. These types of agents always have their company’s best interests in mind. They cannot shop the entire market, so they are constrained to the one company they work for.
Usually, their companies specialize in auto and homeowners insurance and just dabble in life insurance.
Watch our No-Medical-Exam Life Insurance YouTube Video!
Our Final Thoughts
Here is one concept to remember about purchasing non-medical exam life insurance. In most cases, applying and going the traditional underwriting route will be the absolute most cost-effective route to take.
However, if you need life insurance quickly or you don’t want to take an exam, then the no-medical-exam route will be your best choice. We can help you make this choice so you can be certain of what your best options are.
The life insurance companies we represent have very competitive rates for both no-exam and conventional policies. Give us a call and we will answer all your questions at no cost or obligation.
All the best,
Jack Venturi
For any questions you might have, you may call us at 815-390-7545 and we will provide a quick answer.
