Jason Fisher Trying to find an affordable million dollar term policy can be a task in itself.
But trying to find a million dollar no exam term life insurance policy was impossible, until now.
A revolutionary new product gives Americans access to seven figures of coverage without any medicals, any needles, and ultra-fast turn around times.
You can do it all from the comfort of home.
Updated 10/31/2017: There are now multiple carriers, not just one, who offer no medical coverage up to a million. Click here to see the latest updates.
Updated 1/10/2018: Haven Life now goes up to $2,000,000! This is double the industry standard!
Updated
Now Available: Million Dollar No Exam Term Life Insurance
And it’s no wonder it’s becoming popular.
It’s faster coverage.
It’s easy to get.
There are no needles or exams, and very little underwriting which takes place.
But until now, the maximum coverage anyone could get through just one carrier was $400,000. You could get more coverage in total by applying to a handful of carriers who offer no exam policies and accepting more than one, however it begins to get cost prohibitive due to multiple policy fees.
Buying life insurance without a physical already has miniature fees built in because of higher risks to the insurance companies, too.
At least, this is how it has been done traditionally.
This mold, too, has been broken.
Old Versus New
Principal Life Insurance Company is the company who is now offering the $1,000,000 no exam life insurance. It’s the first of its kind, more than doubling the availability of death benefit previously established in the industry.
Update: Haven Life is another provider for this type of policy. You can go here to read about what their product offers, too.
But not only did Principal’s new Accelerated Underwriting Program shatter the death benefit maximum, but it comes with a few extra bonuses:
- No up-charge. Several companies who do offer no exam life insurance already have a completely separate product line they’ve created to accept the risk, and it comes with slightly higher premiums than the fully underwritten option. However, with the Principal no exam option, you get the same rates as their Preferred or Preferred Best rated clients, depending on which level you’re accepted.
- No policy type restrictions. Most providers currently approving consumers for life insurance without a medical only do so for distinct policy types, like 10, 15, or 20-year terms. As Principal entered this market, they allowed the consumer to pick from all their types, whether it be term or permanent.
- Smokers are included. Yes, even tobacco users applying for life insurance through Principal’s Accelerated Underwriting Program are eligible for Preferred Tobacco rates, a class often left out from other no exam carriers.
The application process is extremely simple.
- Complete an application with an agent.
- Complete a 15 minutes telephone interview.
- Authorize access to your Motor Vehicle Report (MVR), prescription database, and Medical Information Bureau (MIB) report.
This gets posted through their proprietary underwriting algorithm, and you get your approval fast. A representative from Principal cited more than 40,000 individual cases were uploaded to their system to evaluate your application against, and this gives them extreme accuracy at speeds a human couldn’t replicate.
If for any reason the system does not approve you, you simply get passed to an individual underwriter who can review your case and request a medical if necessary.
No Exam Life Insurance Underwriting Requirements
Of course, not everyone will get accepted. Someone who is an ideal candidate for the million dollar term life insurance policy is one who is in excellent health, has a relatively good family history, and falls within a certain age group. If you meet these conditions, you can be approved at any of their three rate classes, including Preferred, Preferred Best, or Preferred Tobacco.
So what other underwriting requirements are asked? Here’s a list of general guidelines:
- Applying for a minimum of $50,000 and up to $1,000,000.
- Insured(s) must be 18-60 years of age at the time of application.
- Must meet minimal build standards (includes height and weight, separate charts for each gender).
- No major medical conditions (ie Bipolar, Crohn’s, COPD, Diabetes, Multiple Sclerosis, Sleep Apnea, etc.).
If you fail to pass any of these four conditions, you’ll not be accepted. If you do pass the general guidelines, there are another 13 more specific questions to answer. These range from current blood pressure, cholesterol, to family history, driving history, and more.
Assuming you pass these, you should be a good candidate to apply.
Sample Cases And Premiums
So, how do the prices compare when lined up against both other no exam life insurance policies and fully underwritten ones?
This is especially curious for those who don’t need a full million in term coverage.
We ran some sample quotes to give you an idea, based on a very healthy 35-year-old male.
These numbers may or may not reflect the same differences for other age groups, and are assuming product availability in the state you live in.
| $250,000 | ||||
| 10-Year | 15-Year | 20-Year | 30-Year | |
| Principal | $12.03 | $14.00 | $15.97 | $23.63 |
| Competitor 1 | $20.44 | $21.83 | $27.36 | $58.08 |
| Competitor 2 | $26.84 | $33.00 | $40.92 | $63.86 |
| Competitor 3 | $44.87 | $48.13 | $48.35 | $75.56 |
There is no comparison on how great their product is priced, even at a lower death benefit of just $250,000. Across the board, regardless of duration, the Accelerated Underwriting Program by Principal is dominant.
Next, we up the death benefit.
Notice a few slight differences?
| $350,000 | ||||
| 10-Year | 15-Year | 20-Year | 30-Year | |
| Principal | $14.22 | $16.98 | $19.73 | $30.45 |
| Competitor 1 | $26.10 | $28.04 | $35.78 | $78.85 |
| Competitor 2 | $35.11 | $43.74 | $54.82 | $87.26 |
| Competitor 3 | n/a | $65.28 | $69.51 | n/a |
At this point, there aren’t even enough competitors to fill every spot because the availability of products based on death benefit and duration are lacking.
By increasing the death benefit by just $100,000, there are only 2-3 main competitors and many don’t have a product to meet market demands.
| $399,999 | ||||
| 10-Year | 15-Year | 20-Year | 30-Year | |
| Principal | $15.31 | $18.46 | $21.61 | $33.86 |
| Competitor 1 | $28.93 | $31.14 | $40.00 | $98.97 |
| Competitor 2 | n/a | $73.85 | $78.68 | n/a |
| Competitor 3 | n/a | n/a | n/a | n/a |
At one more small increase of just $49,999, there are virtually no competitors left, and those other carriers who still have product availability are sluggish on price, at best.
At $400,000 and up, there is no competition. Until now, this was the maximum death benefit from a single no exam policy one could get, until Principal introduced their million dollar term without a physical.
At $100,000 increments, here are sample premiums up to the million dollar no exam term cap:
| $1,000,000.00 | ||||
| 10-Year | 15-Year | 20-Year | 30-Year | |
| $400,000 | $15.31 | $18.46 | $21.61 | $33.86 |
| $500,000 | $17.50 | $21.44 | $25.38 | $40.69 |
| $600,000 | $19.69 | $24.41 | $29.14 | $47.51 |
| $700,000 | $21.88 | $27.39 | $32.90 | $54.34 |
| $800,000 | $24.06 | $30.36 | $36.66 | $61.16 |
| $900,000 | $26.25 | $33.34 | $40.43 | $67.99 |
| $1,000,000 | $25.81 | $29.75 | $39.81 | $72.19 |
Note the price breaks at the million dollar mark. It’s cheaper to buy a million in coverage than $8-900,000 in some cases.
Final Notes
If you are perfectly healthy, have little to no family medical history which might impact underwriting, and need up to one million dollars of term life insurance, consider buying it from Principal to avoid the medical exam.
You could save a few dollars in almost all cases by undergoing the medical, but for pennies on the dollar more, you don’t have to.
