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Get Term Life Insurance, No Medical Exam

For Most Term life Insurance, No Physical Is Needed

By Mike Heuer


While life insurers require health exams from approved doctors to purchase coverage in addition to other invasive procedures, it’s easy to get term life insurance, no medical exam necessary.

Whenever buying a whole life insurance plan, an examination by an insurer-approved doctor is one of many requirements needed to obtain coverage. Also necessary in many cases would be an investigation into family health history in case there might be a genetic disposition to cancer, heart disease or other potentially deadly diseases and illnesses.

But to get term life insurance, no physical is required. Because term life policies are in force for a specified number of years and mortality tables can help gauge the likelihood of death occurring while the plan is in effect, there is no need for a medical exam to determine insurability and premium costs. The younger and healthier the individual who is to be insured is, the lower the cost will be to provide coverage.

Life insurers simply obtain information on the age, basic health and potential tobacco use of the named insured in order to help determine the odds of him or her dying while a policy is in effect. Those odds are determined by comparing the personal information to mortality tables that help life insurers accurately assess the possibility of death occurring while the term life plan is in force.

Term life insurance plans generally are in force for between 10 years and 30 years and then expire with no death benefit being paid if the named insured outlives the term. And studies show that happens at least 90 percent of the time, making term life plans easy to underwrite and highly profitable for life insurers who make their money by selling in volume rather than nicking a sizeable profit from each plan sold. Because so few term life insurance plans pay a death benefit, it is very easy to get term life insurance, no medical exam required. And that is a big reason term life plans are much more affordable than whole life plans.

A $500,000 term life policy can be bought for as little as $30 per month with premiums never rising throughout the contract period and with no doctor’s examination required. But whole life plans with a $500,000 death benefit easily can cost $350 per month or more, and all premiums paid during the first three years the plans are in force go straight into the pockets of insurance producers and the companies they represent to cover their commissions, fees and other policy expenses. Whole life plans do not grow cash value until their fourth year in most cases.

Their greater affordability and low rate of death benefits being paid out make term life insurance plans easy to get for consumers. Because they so seldom result in death benefits being paid, insurers like to sell term life insurance, no physical necessary. That makes them a great value for all parties involved.