When researching the best no-exam life insurance companies for 2018, we suggest that you focus on the companies that specialize in this particular area of life insurance. If your looking for overall best life insurance companies, than you can consider all angles. We review all life insurance companies. Big and small. Good and bad. It’s just what we do! This article will give you an in-depth look at the best no-exam life insurance companies who we feel are crushing it with the best no-exam term life insurance on the market today!
You can learn a little more about no-exam term life insurance or feel free to use the links below to skip to the company review section of this article:
What is no-exam life insurance?
No-exam term life insurance is a less-invasive way of purchasing term life insurance without the hassle of a medical exam. Life insurance is something that you need to qualify for in order to purchase. Traditional life insurance underwriting would require a physical exam and a person’s medical records in order for the insurance company to make an offer.
The traditional underwriting method proved unpopular due to its invasiveness and lengthy process (the average fully-underwritten life insurance application can take 4-6 weeks to be approved). As a result, we would see people get frustrated and fall out of the process in the middle of underwriting. Approximately, one out of three applications would never make it to an in force policy.
No-exam term life insurance companies have developed ways to streamline the underwriting for qualified applicants by eliminating the need for a medical exam. These innovations have allowed no-exam term life insurance companies to issue policies within 7 days and sometimes, within minutes! This has resulted in more people getting covered and overall higher customer satisfaction.
How does no-exam life insurance work?
Sometimes, our agency will field phone calls from people with pre-existing medical conditions who think that no-exam term life insurance is easier to qualify for than fully-underwritten term. Don’t be fooled, no-exam term life insurance, while offering a streamlined less-invasive underwriting, is not guaranteed.
You need to generally be in fair or excellent health to qualify for no-exam term life insurance. If you have or had been diagnosed with a high-risk medical impairment, no-exam term life insurance might not be the best option for you. If you are unsure if your health history will disqualify you from purchasing no-exam term life insurance, request a no-obligation quote from one of our veteran agents. They will go over all of your options
The best no-exam life insurance companies will often use the following methods to determine if you qualify for life insurance without a medical exam:
Prescriptions Database Check
The no-exam life insurance company will not have any recent lab work or medical records to verify that you are in good health. As a result, they will use whatever information they can quickly and easily obtain to paint a picture of your overall health. The underwriter will not only look at the medications you are currently taking but any medications that you were prescribe anywhere from 5-10 years ago!
This is where lack of context can hurt you in qualifying for no-exam term life insurance. If you were prescribed a medication in the past that would give the life insurance company concern, even if you didn’t take it, the underwriter will be conservative and decline you for no-exam coverage.
We see this happen from time to time when doctors prescribe medications “off label.” For example, we had a client declined for no-exam life insurance because he was prescribed a breast cancer medication to regulate his estrogen levels during testosterone therapy. This treatment on its merits is not usually too concerning, but the life insurance company declined him since they had no way of verifying that he did not have breast cancer.
Our advice is be as forthcoming and truthful as possible on your application. We understand that it can be hard to remember every medication that you were ever prescribed in the last 10 years. However, life insurance companies hate surprises in our experience. An underwriter is likely to be more understanding if you declare your health history in great detail on the application instead of uncovering it during the underwriting process.
Below are some medications that no-exam life insurance companies will be concerned about:
With the recent headlines the opioid epidemic has received, no-exam life insurance companies have tightened their underwriting around pain medications. If you were prescribed pain medication, such as Oxycodone, Hydrocodone, or Methadone, in the past 5 years, this could potentially affect your no-exam life insurance rates.
Prescription blood thinners like Coumadin, Warfarin, and Eliquis are also a red flag for no-exam life insurance companies. These blood thinners can indicate coronary artery disease. If you are on these types of medications, it would be best to go fully-underwritten for term life insurance.
No-exam companies are extremely conservative with depression, anxiety, bipolar disorder, schizophrenia, etc. Certain stronger mood medications, such as Abilify, will automatically disqualify you for no-exam term life insurance. If the underwriter sees that you are taking multiple mood medications or your medications are constantly changing, that can imply that your condition is more severe case or uncontrolled. Since the life insurance company has no additional information, they may conservatively decline your application.
Most no-exam life insurance companies will not offer coverage to people with dementia or alzheimer’s disease. If you are taking or have taken medications like Exelon or Namenda, the life insurance company will most likely decline you for no-exam term life insurance coverage. In our experience, guaranteed issue life insurance is your best option here.
Third-party Data Searches
It is amazing the amount of public information about our lives that is available in the information age. Third-party data collectors, like LexisNexis, have not only compiled a ton of information about our spending habits, credit history and debts, how often we have moved, driving history, etc., but they have also have found a way to infer our lifespan from this information through an algorithmic risk score.
We have started to see people who would otherwise qualify for top no-exam rates approved at higher rates than expected. Some life insurance companies have used risk scores to disqualify applicants for no-exam underwriting altogether; although, this is rare.
If your risk score disqualifies you, some no-exam life insurance companies have decided to give you the option of taking an exam in order to get approved. As a result, a middle option known as accelerated underwriting has begun to grow in adoption by the life insurance companies in recent years.
Unfortunately, it is virtually impossible to predict the effect of your risk score on your no-exam application. The score is not posted publicly; although, you can request your information from the data gatherer. Even if you knew your score, the life insurance companies are constantly changing how they incorporate the risk score into their underwriting making it very challenging to field underwrite.
Medical Information Bureau (MIB) Check
The medical information bureau is a non-profit organization that stores the results from any life insurance application you have taken from its member organizations. If you have taken a life insurance application in the past from a major life insurance company, the results are most likely documented here. As a result, no-exam companies will check the MIB for anything that may stand out as a conflict with your current no–exam application.
Common conflicts that we see come up are discrepancies in build, smoker rates issued in the past but applicants declare themselves as a non-smoker and former declines of coverage. A conflict in the MIB won’t necessarily decline you outright, but the agent may contact you to clarify follow-up questions from the underwriter. Again, underwriters hate surprises so it is best to fully disclose as much as you can on the application.
Motor Vehicle Record Check
The life insurance company will run your MVR to see if there is anything on your driving record. The life insurance companies understand that no one is perfect. One speeding ticket will not typically be a problem. However, a pattern of risky driving behavior can be.
Also, underwriters will be concerned about DUIs/DWIs. If you have had a DUI or DWI within the past 5 years, that could have an impact on your no-exam term life insurance application. Additionally, if you have a history of multiple DUIs or DWIs, that can also be concerning regardless of how long ago they were.
Certain life insurance companies are more lenient with driving history then others. If you have a DUI or DWI on your record, you should work with a knowledgeable agent who can broker multiple companies. They will be able to match you with the best no-exam life insurance companies for your personal situation.
Health Questions on the Application:
Finally, the life insurance company will ask thorough questions about your health and lifestyle on the application. If there is one thing that no-exam life insurance companies hate, it is being surprised. We cannot stress this enough.
If you answer no to a health question and your background checks provide information that would contradict your answers, the life insurance company will err on the side of caution. If they have any doubt at all, they will most likely decline you for no-exam coverage. Therefore, it is important to provide as accurate of information as possible on your application.
Our agency likes to add as much context within the application itself for anything that might appear on your background checks. If you had a surgery 4 years ago and were prescribed pain medications once, we should note that on the application. If you had a complex lifestyle impairment, such as a bankruptcy or felony, we’ll write the underwriter a cover letter describing the details and presenting your case in the best possible light.
By providing context, it allows the underwriter to feel more comfortable about approving your risk. Since the underwriter is working with limited information, it is best to give them the information they need to say yes.
Best no-exam life insurance companies for Term Insurance
Below are the best no-exam life insurance companies in the industry today. Each life insurance company has slightly different opinions on underwriting and unique features for their term insurance. Therefore, request a no-obligation quote from one of our veteran agents. They can help you determine the best no-exam life insurance companies for you!
Sagicor Life Insurance Company
Sagicor life insurance is one of the most competitively priced no-exam term life insurance contracts on the market today. Sagicor’s term life insurance is all about simplicity. Their coverage is straightforward and their e-application process is one of the best in the industry offering a 100% digital experience from application to policy delivery.
Sagicor’s chart-topping rates are also some of the best no-exam rates in the marketplace today. Sagicor offers three rate tiers (preferred, standard and rated). Sagicor’s preferred and standard rates are super competitive and their rated health class allows them to make an offer in situations where other no-exam companies may decline coverage.
That being said, you need to be in great shape to qualify for their preferred discount. Certain conditions or medications can disqualify you for their preferred health class that otherwise would not appear serious. Remember that Sagicor has limited health information on you and with no-exam term life insurance rates this low, there is little margin for error. Therefore, they will underwrite very selectively for their preferred discount.
Sagicor will issue term durations at 10 years, 15 years, and 20 years but surprisingly, no 30-year term. Additionally, Sagicor will offer no-exam coverage up to $500,000 death benefits, which not many no-exam life insurance companies will do.
Check out our Sagicor review for more information
Foresters Financial is one of our favorite no-exam companies. Foresters’ no-exam term life insurance has one of the fastest turn-around times in the industry. We’ve literally seen people approved within minutes of applying!
Their no-exam term life insurance contracts are stacked with living benefits for chronic illness, critical illness, and terminal illness that allows you to accelerate a portion of the death benefit while you’re still alive in certain circumstances! Foresters is a fraternal company. Each policyholder is entitled to certain member benefits such as discounted legal services and scholarship opportunities.
Foresters’ no-exam rates are competitively priced, but they only offer one standard health class. Foresters will offer up to $400,000 death benefits with no medical exam. Foresters no-exam term life insurance can handle mild health impairments such as obesity but is generally positioned for people in fair-to-excellent health. Foresters will even consider reduced death benefits of $150,000 for people in their 60s and 70s, which is rare for no-exam companies.
Ameritas Life Insurance Company
Ameritas Life Insurance Company is one of our most popular no-exam life insurance companies. Their FLX Living Benefits term insurance comes stacked with a ton of value with an industry-leading 18 living benefit triggers for critical illness, chronic illness, and terminal illness.
Ameritas offers three health classes (preferred, standard, and rapid standard). Their rates are competitive and their underwriting is unique. Ameritas reserves the right to order medical records on all their cases; although, they rarely do so. As a result, Ameritas is able to affordably approve higher-risk cases that other no-exam companies will not in their rapid standard health class.
Ameritas offers no-exam term life insurance up to $300,000 of death benefits, which is slightly lower than the competition. However, they do offer a 25-year and 30-year term policy, which not all no-exam life insurance companies offer. Additionally, they have extended no-exam underwriting to select applicants up to age 70!
Ameritas also allows term conversions into their industry leading index universal life insurance policy. This allows clients the ability to exchange their term policy for a permanent one without having to requalify. This is a huge planning advantage later on in life.
Ameritas will only offer up to $300,000 without a medical exam, but they do offer a 25-year term and 30-year term. They are still perfecting their e-platform, but the process will be 100% electronic from application to policy delivery.
Phoenix Life standouts out for having not one but two no-exam life insurance policies (Safe Harbor Term and Safe Harbor Term Express). Phoenix Safe Harbor Term is a no-exam term life insurance policy that the underwriter reserves the right to order your medical records.
Having medical records allows Phoenix the flexibility to underwrite case that other no-exam companies will not while still offering a hassle-free customer experience! Their Safe Harbor Term Express is designed for healthier people who need coverage quick (average express approvals are within 24-72 hours).
Phoenix will cover death benefits of $500,000 with no-exam for their Safe Harbor Term contract and up to $400,000 of death benefits with their no-exam Safe Harbor Term Express. Phoenix also will consider no-exam term life insurance coverage for people over the age of 70 at reduced death benefit amounts $25,000-150,000, which is extremely rare in the life insurance industry.
Phoenix also has multiple rates and health classes depending on which no-exam term life insurance option you select. The Safe Harbor Term Express is a pass-fail application. You are either approved at their standard rate or you are declined. The good news is the policy was built to incorporate minor health impairments, such as obesity.
Phoenix’s Safe Harbor Term starts at standard but can offer up to 8 substandard rates to offer no-exam coverage to people with more serious health concerns. While Phoenix cannot take on the same high-risk conditions that a fully-underwritten life insurer can, this options will make allowances for greater risks like type-2 diabetes.
Phoenix also includes built-in critical illness, chronic illness, and terminal illness riders at no additional cost. There living benefits allow you to accelerate the death benefit while you are still alive under certain circumstances. For example, we always offer living benefits for diabetics due to the renal failure accelerated benefit feature.
Also, Phoenix’s safe harbor term series includes an unemployment rider that waives six months or premiums for you if you are unemployed for over 4 weeks! This can keep your coverage in force in a pinch if you lose your job and free up money for other bills.
Fidelity Life has the RAPIDecision series, which provides no-exam term life coverage in death benefit amounts up to $250,000 for ages 18-65. Fidelity has name-brand recognition in the financial services industry that people trust and an e-application that is built for speed.We see approvals typically within 48 hours of the application submission. In some cases, people are approved instantly for coverage!
Fidelity Life has multiple versions of the RAPIDecision series:
Rapid Decision Life
The first is their hybrid no-exam term life product. You can be approved for 50% or 100% of the life insurance death benefit with no medical exam. If you are approved for 50%, then your remaining 50% will be accidental death coverage. You do have the option to take a medical exam within 6 months though and Fidelity will consider changing the accidental death to full life insurance based on the results.
Rapid Decision Life Express
Rapid Decision Life Express is Fidelity’s true express no-exam term life option. This option is a brief online application and you will know if you are approved for up to $250,000 of death benefits or denied. It is that simple. This option is for the person who truly wants to get covered with as minimal of a hassle as possible for the full death benefit on the first shot.
Fidelity has one standard rate that is conservatively priced. However, we have experienced that Fidelity is more lenient on what risks that they will accept. We have seen approvals with Fidelity recently that other no-exam life insurance companies were not accepting.
Rapid Decision Senior Life
Rapid Decision Senior Life is Fidelity’s senior life insurance option. It is designed to offer express issue term life insurance coverage to seniors ages 50-70. Term lengths and death benefits vary depending on your age, but Fidelity will offer seniors up to $150,000 death benefits for qualified applicants.
The Rapid Decisions Senior LIfe health questions are limited, which makes this no-exam term life insurance coverage easy to qualify for. However, the death benefits are limited in the the first three years to a graded death benefit of accidental death coverage or return of premiums + 5% for medically-related deaths.
The full death benefit is paid in year 4 to the end of the term period for both accidental and medically-related deaths. After, the term period is over, you can keep your coverage to age 95 with a one-time reduction in death benefits by 50%, which offres some flexibility later on in life for things final expenses.
While Fidelity Life offers some creative solutions to the age old problem of securing affordable life insurance coverage with no medical exam, some of their RAPIDecsion line can be complex and confusing to the consumer. Therefore, we generally as an agency suggest people use their express issue life insurance option since it is straightforward and easy to understand.
Mutual of Omaha
The Mutual of Omaha is another great no-exam life insurance company. The Mutual of Omaha offers no-exam term life insurance up to $300,000 in death benefits. Also, the Mutual of Omaha offers coverage in 10-year, 15-year, 20-year, and 30-year term periods.
The Mutual of Omaha’s no-exam term life insurance policy is stacked with a ton of value. The Mutual of Omaha’s Term Life Express policy was designed to protect debts, like mortgages, quickly and comprehensively.
Mutual of Omaha’s Term Life Express contract includes built-in riders for chronic, critical, and terminal illness at no additional premium. In addition, Mutual of Omaha includes a built-in residential damager rider and unemployment waiver of premium rider as well. These riders are designed to waive your life insurance premiums if you become unemployed or suffer $25,000 of damage or more to your primary residence.
Mutual of Omaha also built-in a common carrier death benefit provision at no additional premium. This built-in rider provides for an additional death benefit equal to 100% of the original death benefit if you die in an accident while a fare paying passenger on a common carrier (e.g., airplane, train, bus, etc.).
Term Life Express has your usual optional riders for disability waiver of premium, children’s term, and accidental death that can be added on for additional premium. However, Mutual of Omaha has two unique add-on riders that not many life insurance companies offer.
Mutual of Omaha allows the add on of a return-of-premium (ROP) rider and a disability income rider. These optional riders offer flexibility when insuring large debts. If you outlive the coverage, the ROP feature allows you to recover all your premiums paid into the policy. If you become disabled but do not die, the disability income rider will provide you with monthly payments up to $3,000 per month to meet your obligations.
The Final Word
No-exam term life insurance is a specialized area of the life insurance market. When you are looking for the best no-exam life insurance companies for 2019, you need to focus on the companies that have a long history of underwriting with no medical exam.
Our agency has spent countless hours helping individuals just like you secure affordable no-exam term life insurance coverage. Each no-exam life insurance company has slightly different opinions on underwriting. Therefore, it is important to work with a knowledgeable agent who understands this marketplace.
Thank you for reading are article about the best no-exam life insurance companies for 2019. If you looking for no-exam term life insurance, don’t hesitate. Request a free no-obligation quote or give one of our veteran agents a call today!
Joe is a lifelong learner with a passion for sharing what he has learned with others. Joe has publicly spoken on life insurance in the past to both colleagues at industry conferences and to consumers in educational settings and as a contributor to industry blogs. Additionally, Joe is studying for certifications such as the CFP, CLU, and RICP to further his professional knowledge.