What is a NO-Exam Life insurance policy? It suggest exactly that…No Exam!!! When applying for a such a policy Sometimes called Simplified Issue, you can skip the necessary para-med exam that normally comes along with obtaining coverage. There are certain criteria you have to meet to even get approved. Insurance carriers have found a way to attract new business and offer coverage to the masses without jeopardizing Risk. Insurance companies are staying on the cutting edge with technology savvy programs to offer what they call Accelerated Underwriting Term policies. It is designed to improve the customers’ experience and the efficiency of applying for coverage by offering the following key benefits such as: A less invasive process that requires no visit with a paramedical underwriter examiner, use of data-driven information such as MVR (motor vehicle report), Rx report and the MIB medical information bureau report.
These are the benefits to gather the necessary information needed to make an assessment. So, if you are in the market for coverage here are the 3 things to consider when applying for a No-Exam policy: 1. YOU haven’t seen the doctor in a few years. This sometimes raises the eyebrow with insurance underwriters especially if you are going to be fully underwritten to get the best bang for your buck. If you don’t know what’s going on with your health then this could have a negative effect on you getting approved. This offers the opportunity for the carriers to deny you coverage because of some medical or health condition that you weren’t aware of. 2. When YOU need the coverage? Often times individuals will need to get some form of immediate coverage because of a job, dependents, debt obligations, court order or you’ve just figured out that you didn’t have any and you need to get some without going through the hassle. 3. You’d rather skip being poked and prodded. You have to set aside time to schedule an appointment with an examiner who will need to come to your home and take your Blood Pressure, Height and Weight, Urine Specimen and blood work. Again this could be intrusive and labor intensive.
Here are the Pros and Cons of a No Exam Policy: Pros- Policies can be issued between 2-10 days of submission, No Para-med Exam to take and the ease of applying with possible living benefits. The Cons- You may have lower face amount coverage, higher premiums and an accept or decline response from their automatic system. There are exceptions but this is where we make the case for you by asking you the necessary questions on the application. For the most part, there are options. I agree that going through the life insurance process can be a hassle but there is always an alternative.
At Ron L. Reed and Associates, our mission is simple, “To be Clear, Concise and Conversational with our potential and current clients. Our values are People Respect, Opportunity, Passion, Excellence and Loyalty.” Give us a call or get an instant life insurance quote by filling out the form to the right.