Best Instant No-Exam Life Insurance Of February 2022 – Forbes
Calculate How Much Life Insurance You Need
An instant no-exam policy may not be able to provide the full coverage amount you need, especially if you’re looking to cover many working years or the years of raising a family.
Before you start getting price quotes, calculate how much life insurance you need. A no-exam policy alone may not be sufficient coverage.
Know Your Chances Before You Apply
Getting life insurance without a long application process is appealing, but don’t jump into an no-exam application without understanding your chances of getting approved. Many no-exam policies require very good or excellent health for approval. A denial goes on your insurance record and could hinder future applications.
“Customers wanting instant-decision life insurance should ask the seller to reveal the underwriting guidelines before applying so that you don’t accidentally earn an unwanted rate-up or decline on your insurance record,” says Bob Bland, CEO of Life Quotes, a national online life insurance agency that offers a variety of policies including no-exam, instant decision and traditional policies.
“The instant decision life insurance plans have strict acceptance guidelines. The successful applicants for these plans tend to be in excellent health with no serious pre-existing conditions, no dangerous hobbies, are below age 45 with coverage requests that do not exceed $250,000,” observes Bland.
Don’t be surprised if you end up doing a more traditional application process, including a life insurance medical exam, if you’ve had some health issues.
Look Beyond the Rates
Of course you don’t want to overpay on life insurance, but don’t research price alone. There are coverage options that can turn out to be very valuable long after you buy the policy, such as the option to convert term life to permanent life insurance. Also look at whether there’s an accelerated death benefit, which gives you access to your own death benefit if you become terminally ill.
“The instant-decision life insurance market is new, evolving and represents an exciting growth sector because of the ease with which a purchase can be made,” says Bland at Life Quotes. “But don’t overlook the fundamentals. There are differences in policy features, and always ask to see the company’s A.M. Best rating before you buy.”
Be Truthful on the Application
No matter what type of life insurance you’re applying for, be truthful on the application. Intentional misrepresentations can lead to application denials or, worse, denial of a claim by beneficiaries.
Life insurance companies have many ways to verify application information. Technology on the backend allows them to verify data from additional sources. This additional data can include your prescription drug history, answers on past life insurance applications and your driving record.
Have a Plan in Case of a Rejection
If you’re rejected for a no-exam life insurance policy because of health, don’t give up your life insurance search. If you need life insurance, you likely have other routes.
Be prepared to go through a more traditional underwriting process that involves a life insurance medical exam.
Work with an experienced life insurance agent to identify insurers that are known to be more friendly to your specific health conditions.
An experienced life insurance agent can shop around your application anonymously, so that you don’t risk another rejection.
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