Can I Get Life Insurance Without a Medical Exam?
Many life insurance carriers require a medical exam when you apply. Some don't. Here's a look at the impact of having an exam or not.
When applying for a life insurance policy, many applicants will be asked to submit to a medical examination. Typically, the exam is conducted by a nurse or other paraprofessional in the applicant's home or workplace. The purpose of the exam is to determine whether there are any medical conditions that could negatively affect the applicant's life expectancy.
Some life insurance products require a medical exam for all applicants. Other products may require a medical exam in certain situations. Finally, some products may offer a life insurance policy without any requirement for a medical exam or even medical history information.
The Advantages of Submitting to a Medical Exam
If an applicant is in good health and not of an advanced age, submitting to a medical exam should not be a major concern and could result in lower premiums for the applicant. When an applicant proves to be in good overall health, the risk to the insurance company that the applicant will die prematurely is much lower, and the company is more likely to offer a policy at a favorable rate. However, there are some important things to consider before submitting to a medical exam, including:
- The medical exam may disclose a health condition previously unknown to the applicant
- Denial of the application due to a health condition could affect future insurance applications
- The examiner may find an indication of a serious health problem that is actually a symptom of a more benign condition
Medical Exams Are Not Always Required
As part of the application process, insurers will usually ask a series of questions about an applicant's lifestyle and medical history. Some companies will then reserve the right to request a medical exam only if the information gathered in the initial application raises concerns. For instance, a company might ask an applicant to submit to a medical exam if the applicant:
- Is over a certain age
- Is or has been a smoker or heavy drinker
- Has had a history of a serious illness
- Is currently taking a prescription drug
- Is seeking a high level of insurance
Some companies will issue a life insurance policy without any requirement for a medical exam. Typically, these companies will still ask the lifestyle and medical history questions as part of the application process. However, the companies will then set premium rates based on the applicant's responses to these questions, and no follow-up exams will be required.
And some policies are designed to be issued without asking any medical history questions at all. These policies are likely to be more expensive and offer lower coverage limits to account for the increased risk to the insurer.
A no exam life insurance policy should never be viewed as a way to get coverage by failing to disclose a known health problem. A life insurance policy may be voided if an insured provides false or incomplete health information on the application.
Many life insurance carriers require a medical exam when you apply. Some don't. Here's a look at the impact of having an exam or not.
No Medical Exam Life Insurance
Life Insurance with no medical exam has a tendency to be more expensive than medically underwritten policies. That's because, generally speaking, the carriers average out everyone's risk and charge accordingly. So, if you are in good health but choose to purchase no physical life insurance, you may end up paying a higher premium than necessary.
Most of the life insurance carriers that do not require a medical exam will still inquire about your medical history and lifestyle. Based on your answers, they might set the premium rates higher or lower.
Some companies issue policies without asking any questions about medical history. This increases the risk to them, so they tend to charge higher premiums and set lower coverage amounts.
Life Insurance with a Medical Exam
It might seem inconvenient (or even unpleasant) to get a medical exam, but it can benefit you.
The insurance carriers that offer life insurance with a medical exam, require an exam to get an accurate idea of your health situation. It helps them to rule out health problems, identifying conditions that might increase your risk of dying. Once they know about your health, they can assign you an appropriate rate based on risk. If you're healthy and your risk of dying seems low, you're likely to get a lower rate than someone with health issues.
The medical exam is usually performed by a paramedical professional or nurse. For your convenience, you can schedule it at your home or place of work. It usually takes about 30 minutes or less. The exam consists of basics such as checking vital signs, a blood test and urinalysis. In some cases, the carrier may want additional tests, such as an EKG/ECG.
While having a medical exam isn't usually something to be concerned about, be aware that it can reveal a health condition you weren't aware of. Also, if you are declined life insurance based on what the exam reveals, it could impact your ability to become insured elsewhere.
Life Insurance With a Conditional Medical Exam
Some life insurance carriers require a medical exam only if it seems warranted after asking health and lifestyle questions. For example, if they find out that you are a smoker, had a serious illness or want a high coverage amount, they might require an exam.
To learn more about life insurance and the application process, contact AIG Direct today. Our licensed professionals can help you decide if having a medical exam as part of the application process makes sense for you or not.
