Summary: Comparing the Best No-Exam Life Insurance
What Is No-Exam Life Insurance?
No-exam life insurance is exactly what it sounds like: life insurance that does not require a medical exam during the application process.
No-exam life insurance is best suited for life insurance buyers who are in excellent health and younger (typically 50s and under). If you’re over 50 or your health disqualifies you from a no-exam policy, that doesn’t mean you can’t get a policy. There are many options for senior life insurance. Instead of a no-exam option, companies might offer to do a more traditional underwriting process with a life insurance medical exam.
What Type of Policy Is No-Exam Life Insurance?
Any type of life insurance could offer a no-exam option. Many life insurers have been expanding their use of no-exam processes during the last several years, but they don’t always clearly disclose which policies and types of buyers are eligible for a no-exam application process.
How Much Does No-Exam Life Insurance Cost?
The average monthly cost is $19 for a $500,000 term life insurance policy for a buyer age 40 for a 10-year term, $29 for a 20-year term and $49 for a 30-year term. That’s $228 to $588 per year, depending on the term length.
No-exam life insurance costs will mirror regular life insurance costs for companies that offer accelerated underwriting. There are multiple factors that affect life insurance rates, including your age, gender, health and whether or not you smoke. Costs for no-exam policies also depend on the type of underwriting used, such as accelerated underwriting or guaranteed issue.
We analyzed life insurance costs for buyers in excellent health who can qualify for no-exam policies.
Average Monthly No-Exam Life Insurance Cost for a $500,000 Policy
| Age 30 | Age 40 | Age 50 | |
|---|---|---|---|
| 10-year term life | $14 | $19 | $41 |
| 20-year term life | $20 | $29 | $66 |
| 30-year term life | $30 | $49 | $121 |
Types of No-Exam Life Insurance Underwriting
Underwriting is the process an insurance company uses to review applications and decide whether to approve them—and at what rate for the buyer. Some types of life insurance underwriting are faster because they use less information about the applicant or collect information electronically from third-party sources.
How to Choose the Best No-Exam Life Insurance For You
Ashlee Valentine
Insurance Editor
Amy Danise
Insurance Managing Editor
Michelle Megna
Insurance Lead Editor
Penny Gusner
Insurance Senior Writer
Calculate How Much Life Insurance You Need
A no-exam life insurance policy may not be able to provide the full coverage amount you need due to coverage caps, especially if you’re looking to cover many years.
Before you start getting life insurance quotes, I recommend calculating how much life insurance you need. A no-exam policy alone may not be able to provide sufficient coverage.
Insurance Editor
Assess Your Chances Before You Apply
I know that getting life insurance without a long application process is appealing, but don’t jump into a no-exam life insurance 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.
Don’t be surprised if you end up doing a more traditional application process, including a life insurance medical exam, if you have some health issues.
Insurance Managing Editor
Look Beyond the Cost
Of course you don’t want to overpay for life insurance, but I suggest researching more than cost. There are coverage options that can be very valuable long after you buy the policy, such as the option to convert term life to permanent life insurance. Also, I would look at whether there’s an accelerated death benefit, which gives you access to money from your own death benefit if you become terminally ill.
Insurance Lead Editor
Have a Plan in Case of a Rejection
If the company rejects you for no-exam life insurance because of your health, I recommend continuing your 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 who can identify insurers 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.
Insurance Senior Writer
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Methodology: How We Ranked the Best No-Exam Life Insurers
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No-Exam Life Insurance Frequently Asked Questions (FAQs)
How long does a no-exam life insurance policy last?
Some no-exam life insurance policies are term life insurance policies that lock in your rate for the duration of the specified term. For example, if you have a 20-year no-exam term life insurance policy, your rate does not change for 20 years. You can usually renew the policy for a higher premium at the end of the initial term.
Other no-exam life insurance policies are permanent life insurance policies that can remain in force throughout the lifetime of the insured.
How much life insurance can I get with no medical exam?
Most companies we analyzed offer term life insurance maximums between $1 million and $3 million for those who qualify. Buyers of guaranteed issue life insurance, for which you can’t be turned down, will find lower coverage maximums, such as $25,000. Coverage maximums will vary depending on the insurer, type of no-exam policy and your age.
Because life insurance companies lack some details about your health without a medical exam, their risk is higher when selling a no-exam policy. No-exam life insurance coverage amounts are often limited to reduce risk for the life insurer.
Can you add riders to no-exam life insurance policies?
The life insurance riders available to add to your no-exam policy will depend on the insurer and the policy type. Some common riders you’ll see offered with no-exam policies are the accelerated death benefit rider, accidental death rider, child term life rider and disability waiver of premium rider.
Are no medical exam life insurance policies more expensive?
Rates for no medical exam term life are on par with those for standard term policies. We compared rates for no-exam term life policies with those for full underwriting term life policies for healthy 30-year-old buyers and found the rates very similar. For example, a no-exam 20-year, $500,000 costs an average of $18 per month, while the same policy with full underwriting costs an average of $19 per month.
