No medical exam life insurance policies are now available, as an alternative to taking your exam first. These policies are issued by several life insurance companies as a way to put a policy in force quickly and with minimal hassle.
Why is it possible to issues some policies with no medical exam, while others require a medical exam? The short answer is that the companies trade quickness and ease of application for a higher price. Basically, the company assumes that the applicant is not in the best rate class. In fact, they usually consider the applicant to be standard or lower. But, if you can afford the premium and you need a policy quickly, a no medical exam life insurance policy is an excellent option.
The application itself is not a lot different from a fully underwritten policy. You have to answer several health and lifestyle questions. If your answers are negative, you won't qualify for a no medical exam policy. But you could very likely still qualify for a fully underwritten policy. It's just that the company will need to obtain more information from you, including a medical exam, to be able to make that determination. One key point: be sure to answer the questions truthfully. The worst possible scenario would be to have a claim denied because of dishonest answers on your application.
So, which are the best companies from which to obtain a no medical exam policy? To answer this question, we have developed a ranking system that considers amount of coverage available, price, speed and ease of application. The winner by far is HSBC Insurance. They will issue a term life insurance policy online for up to $500,000, with no medical exam, in just minutes. Their prices are competitive, but their biggest features are the amount of coverage, the speed to issue a policy and the ease of application. It is all completed online. You can have a policy in just minutes. You can apply for this policy at their HSBC Netcoverage Website.
Right behind HSBC is RBC Insurance. They use the same software platform as HSBC, so they have most of the same advantages. The only factor which scored less than HSBC is the face amount. The RBC face amounts are limited to $250,000. Otherwise, they would have tied for first. (You can see that speed and ease of application count pretty heavily in our ranking system.) You can apply online at the RBC Insurance Website.
Next in line is Fidelity Life Association. Fidelity recently implemented a new policy, which they call Hybrid Life, so called because it is a combination of no medical exam insurance and fully underwritten insurance. More on that in a minute, but first a note on the factor which scored the highest in the survey: Fidelity will issue a face amount of up to $1,000,000. This is by far the largest face amount available anywhere for a no medical exam life insurance policy. Unfortunately, you can't apply online for this policy; rather you must complete the application over the phone with a licensed agent. Not every agent has this policy available, but here is one: Fidelity Hybrid Life.
So, how does the Fidelity Hybrid Life product work? Based on your phone application, which the agent submits online immediately, and an online check of your Motor Vehicle, Pharmacy and Medical Information Bureau records, you are either approved or declined for a no medical exam policy. If approved, you are immediately covered for all causes of death for a portion of your requested amount, with the balance of your requested amount covered for accidental causes of death. For instance, if you requested and qualified for $1,000,000, you would be immediately covered for $300,000 for all causes and for $700,000 for accidental causes.
If you wish, you can leave your Hybrid Life coverage just as it is. Optionally, you have up to six months to convert even more of your accidental coverage to full coverage. All you have to do is complete a medical exam sometime during the six months, and you can convert your no medical exam policy into a fully underwritten policy for a higher face amount.
Here are the complete results for our Top Life Insurance Companies With No Medical Exam: