Is No Medical Exam Life Insurance a Scam?

Answer 1

If you have spent any time browsing the internet for life insurance you have likely come across an ad for “no medical exam life insurance.” Perhaps it piqued your interest, but in all likelihood you believed it too good to be true and were afraid to try it. After all, why would any insurance provider be willing to take the risk of giving you insurance without examining you first? Well, the truth is, there are providers which offer life insurance without the need for a medical exam and there are many reasons for providing such a service.

Insurance providers may offer to provide life insurance with no medical exam to earn consumer trust. By offering insurance without requiring much effort from the consumer, it makes the insurance company seem benevolent and concerned with their client's well-being. Furthermore, the policies which require no medical exam are typically small in value. If, for example, someone were to get one of these polices and then come down with cancer, the insurance company is only required to pay up to the amount of the policy, which is typically very small. For this reason, insurance companies can afford to take the risk. Additionally, if your medical history has been recently updated, they will likely see no reason for you to receive another medical exam. Insurance companies want you to choose their business so they will likely work with you as best as possible to ensure you select them.

However, just because a company offers no medical exam life insurance, doesn't mean you should jump at the opportunity. Choosing the best deal you can find in regards to insurance is likely never the best approach. You want to choose a provider with a strong history that you know is solvent and will be able to pay. Research which companies offer life insurance without requiring a medical exam and thoroughly research them before choosing. If you don't discover any that you feel comfortable with it may be best to opt to take the medical exam. It is important that your provider be a trustworthy source, otherwise you run the risk of losing your money. Insurance is typically a “you get what you pay for” product, so you won't likely want to be looking for cheapest available option. Furthermore, even if a provider does promise no medical exam, you will likely be asked to answer a series of questions to see if you qualify first.

Finding no medical exam life insurance is an appealing goal. Finding a provider who can be trusted that also provides this may be difficult. Try not to limit your options by insisting on insurance with no medical exam. If you find a trusted provider that requires no medical exam, feel free to jump at the opportunity. But as with any other major purchase, be cautious in your search.