You probably remember the feeling of sweating through a final exam in school that would impact your grade for an important class. Now imagine taking a test that can help determine whether or not you qualify for life insurance, and how much it will cost.
Life insurance rates can be partially determined by the results of a medical exam. If certain health risks are identified during your exam, your life insurance premiums may be higher-than-average, or the insurance company may even deny you coverage altogether.
This doesn’t have to be a scary process. Follow the tips below to learn how you might want to prepare for a life insurance medical exam.
Before getting into how to prepare for a life insurance medical exam, let’s first take a look at the test itself. In most situations, the insurance company uses a medical underwriting process to help gauge their risk of insuring you. The process typically begins with a written health questionnaire where you are asked about your own medical history, as well as that of your family. They inquire about your family to understand if there are any diseases that may be common such as heart disease, cancer, etc. The questionnaire may also ask for your height and weight, your history of tobacco use, whether you have been diagnosed with any medical conditions, and if you currently take any prescription medications.
The questionnaire may also cover areas relating to your lifestyle. For instance, whether you partake in any dangerous activities such as skydiving or rock climbing. You might even be asked about past DUI’s, speeding tickets, felonies and drug or alcohol abuse. This is another part of the insurance company doing their due diligence to assess the chance that they may pay out death benefits on your policy.
It’s in your best interest to be honest when completing the questionnaire, even if you believe your answers may increase your policy cost. Your answers to the health questions will likely be double checked by the physical exam (if one is required), and the insurance company may access your criminal and driving records to confirm your answers for those sections of the test. If it’s discovered that you were dishonest in your answers, the insurance company may deny you coverage.
Additionally, many life insurance policies include a contestability period, which is typically 1-2 years, beginning as soon as the policy takes effect. If you were to die during this time, the insurance company may conduct a thorough investigation of your lifestyle and medical history to see if there were any discrepancies in your answers on the health questionnaire. If so, the insurance company may reserve the right to reduce or deny the claim.
Some life insurance companies may send a nurse or medical professional to your home to perform the underwriting medical exam. Here’s what you can likely expect:
If a medical exam is required as part of your life insurance application, here are some tips that may help you prepare:
None of these tips should be considered medical advice, and you should always be truthful and honest during the life insurance underwriting process.
Guaranteed issue life insurance is a type of policy that requires no health questionnaire and no medical exam. All applicants of a given age will be approved for coverage, and they will all be approved under the same rate (Coverage is subject to receipt of payment and verification of identity as required by law and is effective upon receipt of policy.). Guaranteed issue life insurance can also be a good option for people who are uncomfortable with medical exams and who wish to obtain life insurance coverage without undergoing any underwriting.
AIG Life Insurers offers whole, term and guaranteed issue life insurance to help ensure applicants of all ages and health conditions can apply for the coverage they need.
Call 1-888-428-8870 to speak to an AIG-appointed life insurance agent and learn more about how you may benefit from guaranteed issue life insurance.
*Please visit http://www.aig.com/individual/insurance/life/variable-universal-life for more information on variable life insurance.