If you didn’t buy life insurance when you were younger and are now concerned that your health conditions will prevent you from obtaining coverage, you still have an option. Guaranteed acceptance no exam life insurance is designed specifically for people in your situation. It does not require a medical exam. Moreover, you receive immediate approval. It doesn’t get easier than that. (Image Credits: Brandon Roberts/Pixabay)
What is Guaranteed Acceptance No Exam Life Insurance?
Guaranteed acceptance life insurance can be term or whole life insurance — the main point is that it doesn’t require a medical exam as part of the application process. Generally, these policies best suit people in their 80s who would experience difficulty in qualifying for a traditional life insurance policy.
The application process can take place entirely online or over the phone. Moreover, you will received approval (or denial) immediately. To make sure your coverage is active, all you need to do is pay the monthly premiums.
The main issue with this type of policy is that it can be pricey, which is why it’s always better to buy life insurance when you’re young. However, since the coverage doesn’t go that high (usually up to $25,000), you may actually end up paying less than you would for a traditional policy. To get a free quote, click here.
Waiting Period
Some guaranteed acceptance policies come with a waiting period, which is the time period between the purchase of policy and when the death benefit becomes active. The waiting period is a way that insurers cover their risk.
Virtually anyone can get guaranteed acceptance life insurance. As such, these policies are a big risk for insurers. A waiting period helps cover that risk. This states that if the policyholder dies within two years of purchase, the insurer will only pay a portion of the death benefit. In some cases, beneficiaries only receive the premiums plus interest.
After the waiting period is over, beneficiaries can claim the death benefit if the policyholder dies. However, there are several reasons why a claim would be denied:
- Information on the application was not accurate – This is why it’s crucial to provide completely accurate information, specifically about weight, age, and any previous medical conditions. Especially with guaranteed acceptance, honesty is the best policy.
- Not paying premiums – If the policyholder lapsed on the monthly payments, the insurer has the right to dispute the claim of the beneficiaries.
Some guaranteed acceptance policies come with no waiting period, which is ideal for someone who is in very bad health. Others, on the other hand, do come with a waiting period, which illustrates the importance of shopping around for the best life insurance policy. Just like you would look for the mortgage with the best interest rates, you can look for the life insurance policy with the best terms.
Who Usually Buys Guaranteed Acceptance No Exam Life Insurance?
Since guaranteed acceptance generally costs more than other life insurance policies, it’s not necessarily the best choice for everyone. Here are some people who it is good for:
People with Critical Illness
People who have critical illnesses may be concerned about end-of-life medical expenses. Toward this end, it is possible to protect families from financial burden with this coverage. In these cases, finding a guaranteed acceptance policy that has no waiting period is crucial. With a critical illness, the level of uncertainty is high.
Elderly People in Poor Health
Elderly people who never bought life insurance when they were young, or whose life insurance has expired, may seek guaranteed acceptance insurance as a way of covering funeral/burial costs. These costs can often surpass $10,000, which means a guaranteed acceptance policy can cover it. These policies are sometimes referred to as final expense policies because they are purchased specifically for this purpose.
People with Chronic Illness
A chronic illness is usually not life-threatening but something that people can live with for many years. However, when these people apply for traditional life insurance, they usually receive a lower health rating because of their illness. A lower health rating means higher premiums. This translates to extra charges for being sick. Many feel that if they will be charged extra, they might as well opt for no exam life insurance, which allows them to skip the medical exam and is so much more convenient. In these cases, a waiting period isn’t the end of the world. Statistically, they should be able to live for many more years.
People Who Have a Fear of Medical Exams and Needles
Many people are scared of medical exams and/or needles, which is a real obstacle to getting traditional life insurance. Fortunately, guaranteed acceptance allows them to bypass their fear and get coverage without suffering severe discomfort.
Does This Sound Like You?
If any of the above situations describe you, guaranteed acceptance no exam life insurance might be just the option you’re looking for. Guaranteed and immediate approval provides the coverage needed to care for your loved ones. But remember, make sure to shop around for the best deal. There are many types of guaranteed acceptance policies and many different insurance carriers. Taking the time to do your due diligence can end up in better terms and lower premiums for you.
