Written by
Brian Greenberg
CEO / Founder & Licensed Insurance Agent
Last updated: January 29th, 2023
Reviewed by
Lisa A Koosis
Medical Claims Specialist
Table of Contents
No medical exam life insurance policies don’t require a medical exam as part of the application process. The key word is “require.” Some companies that offer no-exam insurance policies may request that you take a medical exam, depending on how complex your responses are on the application.
No exam does not necessarily mean there are no health questions!
Features of a non-medical exam life insurance application include:
Term policies with online applications and same-day underwriting approvals. These policies are issued with or without an agent’s involvement.
| Company | Recommendation | Rating | Quote |
|---|---|---|---|
 | For people in all health conditions under age 64. | ★★★★★ Ethos Life Review | Go |
 | Good for those in excellent and average health. | ★★★★★ Haven Life Review | Go |
 | Those wanting over 1 million in coverage | ★★★★☆ Ladder Life Review | Go |
 | Those under 50 years old in good to average health. | ★★★★☆ Fabric Life Review | Go |
 | For those under 45 years of age in good health. | ★★★★★ Bestow Life Review | Go |
 | Best for people in poor health. | ★★★☆☆ TruStage Review | Go |
Whole life policies with online applications and same-day approvals. These policies are issued with or without an agent’s involvement.
| Company | Recommendation | StarRating | Quote |
|---|---|---|---|
 | No health questions Coverage up to 25K 2 year waiting period. | ★★★★★ Gerber Life Review | Go |
| Policies with and without health questions. Coverage up to 40k. Policies with and without a 2-year waiting period. | ★★★★★ Ethos Life Review | Go |
| Policies with and without health questions. Coverage up to 10k. Policies with and without a 2-year waiting period. | ★★★☆☆ TruStage Review | Go |
On average, the time it takes to get a policy approved, issued, and active is 2 weeks, though many policies are issued right away. It just depends on the company and policy you choose. Some companies use algorithms to underwrite applications. In that case, the second you finish your application online, you get an offer.
The majority of simplified issue underwriting is automated. This means that the applications are taken digitally and you get instant feedback. You can apply online and have an active policy in about 15 minutes.
At the heart of it, life insurance agents are salespeople, and some will try to pitch other products while they’re working with you to get a life insurance policy. , If you just want life insurance coverage, then simplified issue products are the easiest way to ditch the sales pitch.
You never know what the medical exam will reveal — especially if you haven’t seen a doctor in a while. It’s not uncommon for applicants to find out after taking the exam that they have dangerously high cholesterol, high blood pressure, or diabetes. You may think you’re going to save money by taking the exam, but you could end up paying more or even being uninsurable. And if that happens, you can’t just apply elsewhere. Insurance companies share data in the MIB (Medical Insurance Bureau), so if one company declines your application, others will know.
Being declined for a life insurance policy is not good. The decline is recorded in the MIB, which is a database that insurance companies share. It’s like a blemish on your permanent record. Furthermore, many companies that offer simplified issue life insurance products won’t approve people who have been declined elsewhere. So, getting declined by one insurance company can make you ineligible for products at other companies.
Compared with traditional policies, where you take a medical exam, you can expect to pay about 5% to 25% more for a simplified issue policy. This is because of the increased risk to the insurance company when they don’t have you take a medical exam. The companies with the most expensive no medical exam policies ask fewer health questions. The price differences are narrowing with level term life insurance, and there will likely be even less of a price difference in the future.
Most term life policies that require a medical exam offer a conversion option as a standard benefit. What that means is you can convert all or part of the policy to a permanent whole life policy later — without any additional medical requirements. While insurance companies vary on this, the trend is not to offer a conversion option on simplified issue term life policies. That means once the term is over, you no longer have life insurance.
The cost of no exam life policies depends on the type of underwriting process.
The price difference between no exam policies and those with a medical exam varies from zero to double the cost.
In some situations, you might even end up paying less by skipping the medical exam. For example, the lab work from an exam could reveal a health condition you didn’t know about. Or, you might be nervous during the exam, which could cause your blood pressure reading to be higher than it normally would be. Either of those could affect the premium you would pay.
With traditional underwriting, you should be prepared to set aside a chunk of time for a paramedical exam. During the exam, you’ll have your blood pressure taken and blood drawn, and you’ll be asked to provide a urine sample. Some insurers ask for saliva, as well. Your height and weight will be recorded. You’ll need to complete a medical history questionnaire. A few insurers even require an electrocardiogram, or EKG.
Then, after the exam, you’ll have to wait. The whole process typically takes 4 – 8 weeks. Meanwhile, you’re wondering if the exam will turn up anything that could affect the cost of your life insurance.
The paramedical exam is meant to evaluate your current health status. The insurance company uses the results of the exam to determine your health class. Insurers use health classes to determine premiums, or the cost of a policy.
If you decide to go with a fully underwritten policy, the insurance company will pay for the medical exam, which is conducted by a mobile examiner. You choose the time and the location of the examination, which can be your home, workplace, or another location.
If you would rather not take a physical examination, a no medical exam life insurance policy may help you with that goal.
With the exception of guaranteed issue, accidental, and group life insurance, insurance companies run public reports on applications — with the applicant’s HIPAA authorization, of course. These reports include the following:
Using the above reports along with the application responses, most companies provide one of the following instant decisions:
Many insurance companies hope to eventually be able to accurately assess risk without having an actual person involved in the process. To accomplish this goal, insurance companies are developing algorithms to evaluate the digital data that applicants provide. Just about every simplified issue product uses an algorithm to make an instant decision. The possible decisions are approved, approved worse than applied, approved as applied, approved better than applied, ineligible, declined, and referred to an underwriter for a final decision. Expect to see greater use of algorithms and AI as the technology matures.
Insurance companies have made many advances in how they evaluate insurance applications, and more are coming. When companies sell directly to customers, there are no commissions to agents. That means more profit for the insurance companies and an easier process for customers. It’s a win-win situation for both parties.
Simplified issue policies are a great option for most people. Just be prepared to pay slightly more than you would for a product with the same amount of coverage that involves traditional underwriting.