No Medical Exam Life Insurance vs Term Life Insurance

Choosing between no medical exam life insurance and term life insurance may seem difficult, but in fact, it is easy to pick a plan. You have to choose the type of coverage that works best for you and your family. Life insurance is a way of offering financial protection for vulnerable family members. Their interest should be your main reason for picking a plan.

happy family searching online for life insuranceSome research will help you choose the best type of coverage for you. We offer a simple comparison between the two policies:

Term life insurance

Temporary life insurance plans are very popular because they are affordable. A healthy 30 years old man can get coverage of $200,000 for 20 years at an average price of $8 per month. So far, this policy sounds too good to be true, but it has a downside: a complicated application process.

The underwriting process takes into account many factors, but the insured’s health has the biggest influence on the policy’s cost. By requiring applicants to take medical examinations which include blood and urine tests, agencies can get a good and detailed overview of the insured’s health.

Based on the medical reports, the life insurance premiums may increase. Agencies group people in several risk categories the best one being preferred plus rates, while the worst one being sub-standard rates. The price difference between the two extremes is very big.

No medical exam life insurance

No medical exam life insurance is a generic name for several plans that do not require medical examinations. We will examine each plan:

  • Simplified issue. This plan offers temporary coverage, just like a traditional term policy, but it does not require medical examinations. The underwriting process is greatly simplified and you qualify for coverage by completing an application form. Although it as a simple application process simplified issue is more expensive and offers limited insurance.
  • Final expense insurance. This plan provides permanent protection and it can be purchased by seniors over 65 years old.  An applicant can buy a maximum coverage of $50,000 and it is best used for covering funeral expenses.

In conclusion, there are many options of getting life insurance, but you have to choose what’s best for your family. Read more about life insurance and compare quotes on our website! Click here!