How To Buy No Medical Exam Life Insurance For A Parent
If you follow three important steps, youll find the best policy for your parent.
Fill out our free instant quote to get started.
About Heidi Mertlich
Heidi is an independent life insurance agent and the founder of No Physical Term Life. She has specialized in helping clients find life insurance with no medical exam required since 2015.
What Would Be An Appropriate Coverage Amount
Lets consider some examples of appropriate life insurance amounts:
Case Study #1
Your dad is 68 and owns his house. He lives off his firefighter pension. He carries a moderate amount of debt from the collectible cars he works on.
Your dad provides childcare for your family and helps around your house regularly. You decide to purchase a policy for $250,000 to cover debts, funeral expenses, and the financial loss you would incur in finding other childcare.
Case Study #2
Your mom is 78 and rents an apartment. She lives off of a modest social security payment. She does not carry debt.
However, your mom has not saved up money for final expenses. You decide to purchase a policy for $50,000 to cover her final medical bills and funeral expenses.
Case Study #3
Your mom is 62 and carries a mortgage of $300,000. She recently retired and lives off a pension and social security. In addition to her mortgage, she carries debt from her car, credit cards, and medical bills.
She does not have money in savings or investments. Your mom provides childcare for you three days a week.
You decide to purchase a $600,000 policy for her to pay for all debts and final expenses and to provide for future childcare needs.
Key takeaway Life insurance carriers require you purchase an appropriate amount of coverage for your parents situation. Too much raises a red flag. Too little wont provide the type of financial protection you need.
If You Want: The Convenience Of A 100% No
Consider: Simplified issue life insurance
Heres why: If you under no circumstances want to take a medical exam, then consider a simplified issue policy first. Youll generally be limited to a face amount of $500,000 or less, so make sure thats enough coverage for your familys needs. Use a life insurance calculator to estimate how much coverage you may need.
With a simplified issue policy, youll have to pay higher premiums to compensate the insurer for taking on more risk by not fully knowing your medical history. But the convenience may be worth paying more.
Also Check: California Water Treatment Exam Dates 2021
Whole Life Insurance With No Medical Exam
While many people think of no exam life insurance as an option only for the young and healthy, theres another type of life insurance with no medical exam thats geared toward the older population. Guaranteed issue life insurance is a type of whole life insurance thats guaranteed to be issued, regardless of health. This means theres no medical underwriting required, and thus no medical exam.
Guaranteed issue life insurance can be a good option for:
- Older people in fair or poor health who want to leave behind cash to pay for their final expenses.
- Anyone with health conditions that would prevent them from being eligible for a traditional life insurance policy.
- People who are willing to accept a smaller death benefit and more fine print in exchange for not having to endure a medical exam.
Most guaranteed issue life insurance policies are intended to pay for final expenses. This means the death benefit for guaranteed issue policies is typically much lower than youll find with most traditional life insurance plans.
Guaranteed issue life insurance also requires relatively high premiums in relation to the death benefit, which makes sense since these policies are geared toward older people with existing health conditions. As an example, a 65-year-old woman who applies for a RAPIDecision Guaranteed Issue policy from Fidelity Life would have to pay $55.65 per month for a final expense policy with a $10,000 death benefit.
Tips To Get Affordable Life Insurance With No Medical Exam
The easiest way to save on life insurance is to opt for a company that doesnt advertise policies without medical exams. It might be the best-kept secret in life insurance: You can still buy life insurance without having a medical examination, even if it isnt advertised as a no exam policy.
In other words, you get all the benefits of life insurance without paying higher premiums. Look for products described as offering Accelerated Underwriting.
You can also look for ways to cut costs on your life insurance premium, such as:
- Get term insurance
- Work with a company that can pull quotes from multiple insurers
- Take good care of your health
- Dont buy more coverage than you need
- Use term laddering to align your coverage to your actual need over time
Related:Why It Makes Sense for Life Insurance Coverage to Decrease Over Time
“Products are evolving quickly, so be sure whoever you are relying on for advice is up to date. This is not your dad or moms life insurance market anymore: there are cases where people are getting instant approval at the lowest rates. Its very much case-by-base, but life insurance can be much more convenient and affordable for you than it was for your parents if you know where to look.”
Jake Tamarkin, CEO of Everyday Life
You May Like: What Is The Nce Exam
Who Will Be The Payor
The payor of a life insurance policy is who will be making the premium payments. The payor owns the contract and is often the insured of the life insurance policy. However, thats not always the case. If you are purchasing a policy for a parent, for example, you are the payor and your parent is the insured.
Key takeaway The individual or entity making the premium payments is the payor. The payor is considered the owner of the contract.
Enter your ZIP code below to compare cheap life insurance rates.
Secured with SHA-256 Encryption
How Whole Life Insurance Works
Your whole life insurance rates are determined by your age, medical history, and coverage goals. These factors allow us to create a plan that suits your needs best. Once decided, the premiums are fixed throughout your plan and the death benefit is certain. Some insurance companies allow you to make payments monthly, quarterly, or biannually.
Next, a portion of your premiums is usually put into an investment account to grow throughout the life of the plan. When the plan ends, the accrued cash value of the plan will be paid out to the beneficiary. If you name your beneficiary as an irrevocable life insurance trust, you may lower the tax liability. You can also broaden the number of beneficiaries on your policy.
At Aflac, you can get a better idea of what your plan will look like by getting a whole life insurance quote. This helps make the process easier and quicker. Our whole life insurance plans are also portable, so you can take them with you to every new venture.
Read Also: Ati Fundamentals Proctored Exam 2021 Test Bank
Burial Insurance For Parents
It is no secret that final expenses can be costly, but did you know there are ways to plan for them and even purchase coverage to cover mom and dads final costs?
An easy way to cover funeral and burial costs is through whole life or universal life insurance.
If your parents have not put money away for final expenses, you may need to purchase a small final expense policy.
What Does A Medical Exam Look Like
Most companies that require a medical exam for application provide them for free. After setting up the details , a licensed medical technician will come to you to run the test. You will get a copy of the test results for your record.
The exam is not long, usually about 30 minutes, and involves:
- Calculating your BMI
- Checking your pulse and blood pressure
- Collecting blood and urine samples.
For people over 50, an additional test, like an EKG, is possible.
Don’t Miss: Series 65 Exam Sample Questions
Compare The Best Life Insurance For Parents Of 2022
|Overall Rating||Best For||AM Best RatingAM Best is a credit rating agency that assigns insurance companies a letter grade from A++ to D. A companys grade indicates its ability to pay its claims and honor its financial obligations.||Term Life Sample Cost|
|Indexed Universal , Term, Universal , Variable Universal , Whole||Yes|
|Final Expense, Term, Universal , Whole||Yes|
|Final Expense, Indexed Universal , Term, Universal , Variable Universal , Whole||Yes|
|Final Expense, Indexed Universal , Term, Universal||Yes|
|Term, Universal , Variable Universal , Whole||No|
|Term, Universal , Variable Universal , Whole||No||Hide, not for me|
Is Life Insurance For Seniors Over 80 Available
Purchasing a life insurance policy at age 80 can be a challenging task.
This is because most insurance firms offer life insurance for people below the age of 80. Moreover, plans like term life insurance have a maximum age limit of 80.
This doesnât mean that you canât find life insurance for parents over 80. Itâs just that you will have limited choices of insurance companies and insurance plans.
For this reason, the insurance providers and agents recommend adults over 80 purchase whole life insurance or final expense insurance.
This is because it offers you incredible benefits at a much affordable cost and is easily available for older adults.
In addition to that, you can find some companies that also offer the best term life insurance, universal life insurance, and others to people over 80.
But of course, again, some of these plans require the applicant to have an excellent health condition.
When choosing the plan, make sure to consider your financial condition, as you have to pay premiums.
Also, since, at this age, you want a policy that gives you peace of mind, look for the possible risks and drawbacks before purchasing insurance.
Don’t Miss: Why Are Clinical Breast Exams No Longer Recommended
Can I Buy Life Insurance For My Parents
Yes. The owner of the policy and the insured individual can be two different people. But you’ll need your parent’s consent. They will need to sign the application and undergo a medical exam, if required. You may also have to demonstrate that you have an insurable interest in them. This means you would suffer financially or emotionally as a result of their death. Parents often fall into the latter category.
Know Your Chances Before You Apply
Getting life insurance without a long application process is appealing, but dont 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.
Dont be surprised if you end up doing a more traditional application process, including a life insurance medical exam if youve had some health issues.
Recommended Reading: How Much Eye Exam Cost
What Is The Best Life Insurance For Parents
Besides your parent’s overall health, their age is one of the biggest factors in determining what life insurance is best. Different age groups will need to protect different things.
Age 25-40: With younger parents, a term policy usually makes the most sense because you’re looking to protect things like your mortgage and car payments. With term insurance, you tend to have a lower monthly premium and the coverage amounts are much higher because term insurance is primarily used to replace any income a family would lose. The coverage only lasts for a set term and these plans generally require medical exams to qualify.
Age 40-85: Whole life insurance is typically the best option for parents near or after retirement. These policies usually build cash value and do not stop covering you after a certain time frame as long as premiums are paid. In most cases, you can qualify without taking a medical exam, even if youve had trouble qualifying in the past. The younger and healthier you are, the lower your premium will be, so its important to lock in a low rate early on in case your health changes. Seniors over 60, and especially seniors over 70 and over 80, pay much higher rates than younger parents.
How Much Does No
It is important to note that you will typically pay more for no-exam coverage compared to someone who buys the same level of protection and gets a medical exam. In fact, most guaranteed issue life insurance policies can cost up to twice as much as a policy that requires a medical exam. That is because your insurer takes on a risk when they issue you a policy without knowing much about your health history and current level of wellness.
Insurers pass the increased risk on to you in the form of higher premiums. Generally, trying to secure cheap life insurance without a medical exam makes the most sense if you know you have a pre-existing health condition that will be identified during a physical. Its important to note, however, that even policies that do not require an exam will usually require that you respond to a health questionnaire. You should answer all questions honestly, as your application may be denied if the insurance company determines that you lied in your application. If you are generally healthy, you can usually purchase cheaper coverage by getting a physical as part of the life insurance underwriting process.
To begin the process of finding the best life insurance policy without a medical exam at a price that meets your budget, you might want to get quotes from at least three insurers. That way, you can compare your options and make sure you get the most affordable coverage possible for you.
Recommended Reading: What Does The Nclex Rn Exam Consist Of
Do Guaranteed Issue Life Insurance Policies Require A Medical Exam
As the name suggests, a guaranteed issue life insurance policy provides life insurance coverage, regardless of your health or financial history. This policy may also be called a guaranteed acceptance whole life insurance policy. This type of life insurance is available to individuals between the ages of 50 and 85, though some companies may provide coverage for people as young as 45 while others wont approve coverage for someone older than 80.
Those aged 55 64 are most willing to pay more for life insurance that does not have a medical exam.
Guaranteed issue doesnt qualify you based on your health. The price for a 50-year-old in supreme health is the same as for a 50-year-old with a long history of health conditions. Consequently, if youre in good health, you could save a lot of money going with a traditional final expense life insurance policy instead.
Features of a guaranteed issue life insurance application include:
- Guaranteed issue life insurance is typically easy to get approved for, though exact rules depend on the company.
- If youre in good health with an uneventful health history, you have options to save money. Consider getting a traditional final expense life insurance policy instead of a guaranteed issue.
- Guaranteed issue life insurance is a possible choice for individuals who have recently had certain types of cancer. It may also be an option for those with other health conditions that might render them high-risk or otherwise uninsurable.
Bestow Life Insurance Policies
Bestow offers term life insurance to people 18 to 60 years old. You can choose a policy lasting 10, 15, 20, 25 or 30 years, with coverage up to $1.5 million . The company specializes in instant life insurance, which means eligible applicants can get covered right away without having to take a medical exam. But you cant customize your policy with life insurance riders.
Each term has the following age limitations on applicants:
10-year term: Ages 18-60.
15-year term: Ages 18-55.
20-year term: Ages 18-50.
25-year term: Ages 18-45 for nontobacco users. For tobacco users, women 18-39 and men 18-37 may apply.
30-year term: Ages 18-40 for female nontobacco users and 18-39 for male nontobacco users. For tobacco users, women 18-31 and men 18-30 may apply.
You might be denied coverage if youve been diagnosed with or treated for cancer in the past 10 years.
Bestow made our list of the best instant life insurance companies in 2022.
You May Like: What’s The Bar Exam
How Much Life Insurance Can I Get Without A Medical Exam
How much life insurance you can get without attending a medical exam will depend on the type of cover you apply for and the individual insurer.
On occasions when a large sum assured is required, insurers will insist you undergo a medical exam before accepting your application.
A large pay out significantly increases their risk, therefore, measures are taken to mitigate this risk by charging an appropriate premium.
Guaranteed acceptance life insurance and over 50 plans tend to have a much lower sum assured than standard policies which require your medical information.
Particularly as you get older, the maximum level of cover you can secure is likely to be lower than your younger counterpart.