We're commonly asked for life insurance with no questions asked (guaranteed issue life insurance). There's a few things you should know before pursuing one of these policies.
First of all, you need to understand that there's going to be at least a 2 year waiting period before the full death benefit is paid out known as the "graded" period. ALL life insurance applications that don't ask any health questions will have this graded period.
During this 2 year (some are 3 year) waiting period, if you pass away - your beneficiaries will receive either a refund of the premiums you paid in + interest OR a percentage of the death benefit. So you won't receive the whole death benefit if you pass away during the graded period, but your beneficiaries will receive something.
How Does a No Questions Life Insurance Policy Work?
It's a whole life insurance policy that's guaranteed level for the rest of your life. In other words your premiums will stay the same (with most life insurance companies).
You are limited in the amount you can purchase. Most companies have maximum coverage amounts of $10,000-$15,000. However, you are able to purchase multiple policies from different companies. We call this "stacking" and many people do this since the death benefit limits are so low.
Also, you need to be over the age of 45 to qualify for guaranteed issue life insurance coverage.
Who Should Buy No Questions Asked Life Insurance?
Keep in mind there is a difference between a "guaranteed issue" policy and a "graded policy". A guaranteed issue policy doesn't have any health questions and is more expensive than a graded life insurance policy which has some health questions. However a "graded policy" is less expensive that a guaranteed issue policy.
The reason I explain this is many people who have severe health issues think they can only qualify for one of these "no questions asked" guaranteed issue life insurance policies. In many cases, they can qualify for a graded policy that's much less expensive by answering just a few health questions.
Our advice is to let your independent life insurance agent know your health situation because they might be able to secure something less expensive for you.
If this is all confusing to you, that's ok - I know it's a lot of industry jargon. Just give us a call and we'll provide the information.
Applying for No Questions Asked Life Insurance
With us it's simple. We'll find the best rates available for you and work within your budget.
As soon as we find the lowest cost option we'll email or fax you the short application form.
There won't be any health questions, but you have to provide all your personal information like social security number, beneficiary information and payment information for the life insurance company to draft.
Depending on the company that's the least expensive, we can do an e-signature application which we'll walk you through or we can email you an application for you to sign and send back. Most carriers have e-signatures and it's very easy (don't let that deter you).
If you're interested in applying for a life insurance policy with no health questions, please feel free to contact us and we'll provide you with best options available.