One type of term life insurance that is gaining popularity is called “no medical exam” life insurance. Just as the name indicates, this policy requires no medical examination or testing prior to being accepted for coverage. A list of medical and family history questions will be asked during the interview, and insurance companies calculate premium rates based on the answers to those questions. Although it may be tempting to be less than truthful to obtain a lower rate, it is very important to be completely honest. If deception were discovered, the insurance policy would be cancelled due to fraud.
Some possible questions that the insurance company might ask are:
- What is the name and address of your regular doctor?
- Do you take any prescriptions regularly?
- Do you use tobacco products? Have you ever, and how long ago did you quit?
- Are you HIV positive?
- Have you been diagnosed with an immune system disorder?
- Have you lost or gained weight in the past year?
- Do you have a family history of heart conditions, high blood pressure, diabetes, cancer or kidney disease?
- Are you currently pregnant?
- Have you had surgery in the past five years?
- Have you ever entered treatment for drug or alcohol abuse?
- In the past five years, have you ingested PCP, LSD, amphetamines, heroin, mescaline, cocaine or crack cocaine?
- Have you experienced or been diagnosed with cancer, allergies, hepatitis, chest pain, high blood pressure, anxiety, anemia, emphysema, stroke, sciatica or gout?
Generally, term life insurance with no medical exam is a bit more expensive than other plans. Insurance companies determine premium rates according to their risk. Because none of the medical information provided will be verified by a doctor, premium rates will be higher. Often, this type of life insurance plan is used to supplement existing life insurance for a specific cause, such as to pay funeral costs. These plans are also good for people who are uncomfortable with doctors, blood tests and physical exams.