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I’m going to run over my 60 seconds in this video, it’s a little too much to cover in just 60-seconds. I’m going to talk about the various definitions of no medical exam life insurance policies. Now, consumers will traditionally categorize life insurance policies either into medical exam policies or no medical exam policies. But in practice, it’s much more nuanced than that. You really got to watch when someone says it’s a no-medical exam policy because that’s a little bit iffy these days.
So on one end, is a true no-medical exam life insurance policy. In the industry it’s called a guaranteed issue, there’re no medical questions and everybody qualifies. Unfortunately, these policies have limited coverages, generally, it’s $50,000, they’re very high premiums and they’re limited to accidental death only in the first 2 years of the policy, so it’s barely even life insurance in the first 2 years.
Next up, is also called a no medical exam life insurance policy, but there are actually medical questions. The insurance company will ask you 15 or 20 medical questions that you answer either yes or no to, it’s very black and white, and if you answer them all no, then you qualify for the coverage and if you answer one of them yes, then you don’t qualify for the coverage. So, there is really a medical exam because there is a qualification there. These policies are generally more expensive, the benefits and features in the policies are generally severely restricted and the real danger here is that if you answer one of those questions incorrectly, the insurance company can deny your claim after you pass away and these policies do have a reputation for doing just that.
I’m going to jump ahead to the fourth type, this is the type of life insurance a typical consumer will perceive as being a true medical exam policy. These policies come with 2 aspects. One is a full medical questionnaire, generally done with a paramedical visiting your home, plus the addition of a urine and blood test. Now, that was very common practice pre-COVID, but with COVID when nobody wants anybody in their home, the insurance companies had to get rid of these urine and blood tests and they did that.
And we’re left now with the third type of no medical exam policy, again these policies are often categorized as no medical exam insurance. These are the types of policies we offer at thetermguy.ca. We don’t bill them as no medical exam life insurance policies because, in my opinion, they’re really not. These policies consist of strictly a telephone medical history interview with a paramedical. Nobody comes to your home, there is no urine, there’s no blood test. If the insurance companies need more information than they can get through the medical history interview, they’ll reach out to your doctor.
So again, there are 4 types. True no medical exam insurance coverage. The second type is no medical exam, but there’re qualifying questions that are yes or no. The fourth one which isn’t really used these days involves a urine and blood test. And the best type which doesn’t involve a urine and blood test, but has a paramedical interview you over the phone, is the type of policy we offer at The Term Guy. This structure, where you do the telephone interview, and then they reach out to your doctor for any additional information, allows you to get the best premiums, the highest coverage amount, and the best policies in terms of coverage. And again that’s why we offer these policies at thetermguy.ca.