Life Insurance without Medical Questions

Life Insurance without Medical Questions

It’s been a while since I have written a blog, things have been very bizarre for me this year. Losing my mum, now being responsible for my dad and his care, three kids and a poorly cockapoo – it sounds like the start of a bad joke! I’m now more on top of things and looking forward to sharing my insights from the protection insurance industry.

Many people assume that applying for life insurance means answering lots of medical questions or having a medical examination. While this is often the case for traditional life insurance, there are options available where little or no health information is required.

If you have a pre-existing medical condition, or simply want a quicker application process, life insurance without medical questions may be an option worth considering. But, it’s very important to watch out, as this route often comes with exclusions that you might not be expecting.

Can you get life insurance without medical questions?

Yes, depending on your circumstances, there are a couple of ways to arrange life insurance without completing a detailed medical questionnaire.

It’s also worth bearing in mind that a traditional life insurance application won’t just ask you medical questions, it’s also going to ask about your occupation, travel and sports activities too.

The right option will depend on whether you are applying for personal life insurance or have access to an employer sponsored group life insurance scheme.

Personal life insurance without medical questions

Some insurers offer guaranteed acceptance life insurance, where they accept your application for life insurance without asking you about your health, work, travel or sports.

With this type of policy, you are not required to answer medical questions during the application process. As the insurer is not assessing your health, there will normally be a maximum amount of cover available. This can be less than what you need. As an example, the insurer might say that their policies can offer a maximum £100,000, which might be fine for you. However, if your mortgage is £275,000, you can find that you’re not getting the full protection that you need.

It is important to understand that these policies often include restrictions. Many insurers offering this type of life insurance, will not pay a claim if death is related to a pre-existing medical condition during the first two years of the policy. Some policies may exclude claims relating to pre-existing conditions for the entire policy term.

Pre-existing condition definitions might be a bit confusing. You might no longer have the condition, or be experiencing symptoms, but it can still be excluded if you are receiving treatment or even just routine follow-up appointments.

Because of these limitations, guaranteed acceptance life insurance is not always the best option, but it can provide valuable cover for people who may struggle to obtain standard life insurance.

A really good example of this that I have come across before was a person that had been diagnosed with bowel cancer 10 years ago. Through traditional insurance routes the cost of their life insurance as far outside of their budget, costing hundreds of pounds each month. With a guaranteed acceptance policy, they were able to get some life insurance at an affordable premium, and there were no exclusions for the cancer as they were outside the timeframes that the insurer considers.

Group life insurance without medical questions

Another option is group life insurance.

Many limited companies can arrange a group life insurance policy for their employees, often without the need for individual medical underwriting.

Typically, this is available where:

• The business is a limited company

• There are at least two employees

• Employees are paid through PAYE

Depending on the insurer, there may be no medical questions at all. Some insurers may ask a small number of health questions, such as whether anyone has been diagnosed with cancer or experienced a heart attack or stroke within the last 12 months. Others will not ask any medical questions when the policy is first arranged.

Group life insurance can often provide an excellent solution for business owners looking to protect their employees while avoiding lengthy medical applications. It’s a fantastic employee retention tool and does make an employer more attractive to applicants.

Is life insurance without medical questions right for you?

Life insurance without medical questions can be a useful option if:

• You have a pre-existing health condition that is causing big premiums through traditional routes
• You want a simple application process
• You need cover quickly

However, these policies can have lower maximum levels of cover and may include exclusions or waiting periods that should be carefully considered before taking out a policy. In most cases you get better value for money and a more tailored life insurance policy to meet your needs, if you apply for traditional life insurance. There is definitely a time and place for both traditional life insurance and guaranteed acceptance plans, getting advice is a great way to make sure that you are getting the best option for you and your loved ones.

Our award winning advisers arrange life insurance, critical illness cover and income protection insurance every day and know the best ways to protect you.

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