low cost life insurance rates

Is it possible to get a low cost life insurance without medical exam?

It is possible to get life insurance no exam policies that guarantee coverage just for answering few medical questions. Unlike in other policies the insurer will not require the applicant to take medical tests to confirm the health declarations. Usually the life insurance no exam policies carry lower death benefits, higher life insurance rates, and higher premiums compared to policies with exam. They are available in three forms

1. Simplified Issue- You need to verbally declare some medical information
2. Guaranteed Issue- No medical questions or tests
3. Graded- Mainly for people over 50 years of age

Simplified issue might be little cheaper compared to guaranteed issue since you will be answering medical questions. Since there is no medical information being verified for such insurance, the risk for the insurer is high and hence they charge higher life insurance rates. However they might work out to be a cheaper or only option for many with health problems. Some, who want a faster policy without having to undergo all the process in getting a regular low cost life insurance policy, prefer the life insurance no exam policy.

What happens during the medical exam for insurance?

Usually during the application process the companies collect details like age, health history, gender and other health related questions. During the medical examination they take your weight, height, urine and blood sample and blood pressure. All these factors are considered together to determine what class of whole or term life insurance rates
you fall under. The insurance provider or the insurance agent will be able to discuss with you on the different classes for whole or term life insurance rates and the criteria that would fall under each. You can increase your chances of landing preferred whole or tem life insurance rates by maintaining a healthy lifestyle, an ideal body weight, quitting smoking, and keeping up the regular medications.

What is the cheapest life insurance policy?

If the purpose of your insurance were to pay for your funeral expenses or pay off a particular debt or leave a reasonable amount of money for family, then a straight term life policy would be a good option. In such a policy you get cover for a particular term and you can choose the benefit to be as low as $10,000 (with lower premiums) with no extra riders like return on premium. This is the most affordable and cheapest way to have coverage for basic needs. By doing this you will be giving up on the cash value that you get with a whole policy or even the no medical option that you get with a no exam policy, however, if cost is the main issue then it works out well.

Is it possible to have several policies at the same time?

It is definitely possible to own more than one policy with the same or different providers. In fact many who have existing whole life policies would still go for an affordable term life policy for additional coverage for temporary life changes or needs such as childbirth or education or mortgage etc. Sometimes if you are applying for more policies than what you need the insurers might enquire about your intentions.

If you have the required amount of coverage in couple of different policies, on your death all those policies will pay out the death benefits provided you were current on your premium payments. Usually you get a grace period of 30 days to make the premium payments. Failing the grace period in a permanent policy would cause your insurer to derive that from your accumulated cash value. In term life the policy lapses. If the failure to pay was due to disability, the Waiver of Premium rider kicks in. This means that until you remain disabled you are waived premium payments.