Every major health policy requires the applicant to go through a medical exam to know if they are eligible for the insurance. Many applicants are often concerned that these medical exams might affect their chances of getting life insurance. If you are worried about the same, many policies are available that do not require a medical exam. A guaranteed issue life insurance policy truly allows you to have life insurance without medical health questions. But keep in mind that the maximum amount of life insurance you can get with no health questions is $40,000. If you are looking to get a guaranteed issue life insurance policy, here are four tips that will help you.
- Know What’s Guaranteed Issue Life Insurance
Guaranteed issue life insurance is a permanent life insurance policy that doesn’t require any medical underwriting. That means you don’t have to answer any questions about your health or go through a complete medical exam to determine your coverage. If you are over a certain age and have any illness that isn’t usually covered in life insurance, you will get rejected for life insurance. That isn’t the case with guaranteed issue life insurance. The insurance underwriters do not consider your medical history while underwriting the insurance. Even if you are beyond a certain age and have any unrecoverable illness, you can still get the safety net of life insurance which wouldn’t have been possible otherwise.
- Verify Whether You Are the Right Person to Get This Insurance
A guaranteed issue life insurance policy is suitable for high-risk applicants. The high-risk applicants are individuals beyond a certain age and have critical health conditions.
The most common reason to be considered a high-risk application is your health. If you are suffering from a severe life-threatening condition like cancer, you will not get any life insurance. You’ll be considered high risk by the insurance companies.
- Know How Much Coverage You Can Get
Though guaranteed acceptance insurance is perfect for high-risk applicants, many insurance companies offer two years as graded benefit duration. If something happens to you within two years, your beneficiaries will be given an amount of all the paid premiums plus a 10% amount.
On the other hand, the maximum amount of life insurance you can get with no health questions is $40,000. That amount is enough to pay off any pending debts, pay for your funeral costs, and leave a small amount as your inheritance.
- Determine the Timeline to Get the Insurance
Guaranteed insurance policies usually take effect in less than 48 hours. Some insurance companies also issue the policy within the same day with no waiting period. The insurance underwriting process is concise and fast, as there are no medical exams or health questions asked. Hence it takes less time to process your guaranteed acceptance of life insurance. It’s also important to understand that even if the policy is issued in a day, there’s a graded benefit period during which the life insurance policy doesn’t pay the full amount of coverage but offers only 10% above the sum of all paid premiums. In the case of accidental deaths, the graded benefit does not apply.
If you face difficulties getting life insurance due to your age, weight, or high-risk profession, You must consider getting guaranteed life insurance. It could offer you the maximum sum of $40,000 without questioning any health issues or going through any medical exams.