Who Needs No Medical Life Insurance
No medical life insurance is best for people who have been turned down for a life insurance policy because of a health issue and have no other policies to turn to. However, they still wish to provide for their families if something might happen to them.
No medical life insurance may also be beneficial for people who are young, healthy, too busy or would prefer not to take a medical exam. The coverage that they can get with this is likely enough to meet their needs, especially if they have no dependents.
Enough for what?
To be clear as to what exactly no medical life insurance is, Investopedia explains that life insurance is money that will be paid out to the beneficiaries named by the purchaser of the policy so that loved ones will not suffer, and so that debts can be covered. In other words, ‘enough’ is the amount needed to cover the cost of the funeral, any legal and estate fees and coverage for your dependents and business partners so that they are left in good finanical shape.
Are there any downsides to the no medical life insurance option?
The premiums can be more expensive and they might not cover everything that you need, but for those with a pre-existing health condition, or who have been turned down in the past, this insurance can be a big relief.
Are you healthy?
Then you can be approved for some coverage, and later in life it may be converted into a permanent whole life policy without a need to requalify. However, a non-medical life insurance policy can be limited in what it will cover, so your coverage might not be enough for your needs unless you take a medical exam. If there is no reason why you would not pass a medical, then consider getting one and applying for full coverage now.
If you want more coverage but can’t pass the medical
For those who would rather not take the medical exam before they are insured, there are still some options to get more coverage. Look into your workplace life insurance policy. Some workplaces offer double your salary. Do you belong to a group plan? See if you can convert that plan into an individual plan. You may qualify for extra benefits, even with poor health. Your spouse may have an insurance plan or options that can add life insurance for their spouse under their policy.