If you have lost a loved one too soon, you know that along with the emotional and physical pain, there is a financial loss too. If you learn How To Get Cheap Life insurance no Medical Exam and finally gets it, it protects the ones you love from financial hardship should you die unexpectedly.
Buying life insurance is thought to be a complicated process or too expensive. However, the cost of a term life insurance policy is often overestimated by 3 times its actual price.
The best time to buy life insurance is when you’re young and healthy. With term life insurance, you can lock in a low rate and your premiums won’t increase the entirety of your policy.
It’s often assumed that life cover is only for the ‘older generation’ and is not worth getting while you’re still young, but this certainly isn’t true for everyone. When considering Life Insurance it is important to think about your priorities not only now, but in the coming years.
How To Get Cheap Life insurance no Medical Exam
The good news is that it’s possible to get life insurance to provide financial support for your surviving family members regardless of whether you are in perfect health or not. That’s because certain insurance companies offer coverage without requiring medical exams.
With guaranteed issue whole life insurance, you can avoid having to undergo a medical exam as part of your insurance application process. This type of coverage, available through AIG insurance companies, does not require a medical exam or a coverage waiting period.
No medical exam life insurance is a convenient option if you do not have the time to deal with the hassles of getting a medical exam or may not qualify for traditional life insurance due to your health history. However, the coverage can be limited—the highest coverage amount on this list is up to $100,000—and the rates vary depending on the coverage you get and the type of plan you choose. If you are a healthy individual who wants a higher coverage policy, you will be better off going with a policy that requires a medical exam, as you’re more likely to find better rates and a greater range of options.
Benefits of Getting Cheap Life Insurance for Young Adults
1: Rates stay the same for the life of the policy
- You can secure this valuable life insurance for young adults at a fixed rate.
- Unlike many types of term life insurance that raise rates each year, you will pay the same premiums for as long as you and your teenager own the policy.
2: Coverage doubles during age 18
- Coverage doubles during age 18 automatically.
- For example, a $10,000 policy doubles to $20,000, a $15,000 policy doubles to $30,000 and so on – with no increase in your monthly premium.
3: Coverage that is there when you need it
- You guarantee permanent protection for your teen, regardless of future changes in health or job choices.
- A Young Adult whole life policy has a guaranteed cash benefit, helping protect you and your family if the unexpected occurs.
How To Get Cheap Life Insurance for Young Adults
1. Buy a Term Life Insurance Policy
You have two main options when it comes to buying life insurance: term life insurance and permanent life insurance. A term policy will provide coverage for a certain period of time, such as 10, 20 or 30 years. Two companies Banner Life and Protective Life—offer 40-year term life policies.
A permanent policy, on the other hand, will provide lifelong coverage.
A term life policy can provide cheap life insurance for a period when you need it most, such as the term of your mortgage or until your kids graduate from college. Plus, most term life policies offer the option to convert to a permanent life policy. It’s a way to switch to lifelong coverage down the road, especially if you develop health conditions that would make it difficult to buy a new life insurance policy.
2. Buy Sooner Rather Than Later
Your age and health are two key factors that insurers consider when determining the rate you’ll pay for life insurance. The younger and healthier you are, the less you’ll pay for coverage. So if you want to get cheap life insurance, buy sooner rather than later. You will lock in cheap life insurance for the term length of your policy.
Don’t make the mistake of thinking you have time to make more room in your budget or get in better health before buying a policy. The cost of coverage will only go up each year you wait to apply. Plus, you risk developing more health issues as you age. For example, a Haven Life term policy with $500,000 coverage for 20 years would cost about $19 for a 30-year-old woman in excellent health. The cost of that same policy for a 40-year-old woman in excellent health would be almost $31 a month.
3. Create a Ladder of Term Policies to Get More Coverage for Less
One of the factors that influences how much you pay for life insurance is the amount of coverage you buy. The larger the face amount, the higher the premium. To be clear, you don’t want to skimp on coverage just to save money. You need enough life insurance to protect those who depend on you for financial support.
Once you know how much life insurance you need, you can keep down the cost of coverage by using a strategy called laddering.
When you build a life insurance ladder, you buy several smaller policies that expire at different times rather than one large policy to cover you for several decades. “You can definitely save money by laddering.
It can allow you to have more coverage initially—perhaps when your children are young or when you owe more on a mortgage—then taper off with time as your life insurance needs decrease.
For instance, rather than buying a 30-year term policy with a $600,000 benefit, you could buy 10-year, 20-year and 30-year term policies with $200,000 worth of coverage each. During the first 10 years, you’d have combined coverage worth $600,000. The amount of coverage you have will decline as your term policies expire, but the amount you pay also will drop over time.
4. Avoid Unnecessary Riders
When you buy a life insurance policy, you typically have the option to get additional features called riders. You can add life insurance riders that allow you to waive premium payments if you become disabled, to add coverage for your children, and the list goes on.
Although the extra coverage might be appealing, you can get cheaper life insurance by avoiding riders you don’t necessarily need.
5. Avoid Simplified Issue Life Insurance
Traditionally, if you wanted to get a life insurance policy, you had to get a medical exam. However, it is possible to skip the medical exam with certain types of life insurance policies. One is called simplified issue life insurance. This type of policy might seem ideal because it usually requires only filling out an online application with a handful of questions about your health and lifestyle and getting approved (or denied) for coverage within a matter of minutes.
However, if you’re healthy, a simplified issue policy can cost twice as much as a policy that requires more thorough underwriting—the process insurers use to gather information about applicants. These policies cost more because insurers take on more risk when they have limited information about applicants.
If you’re in good health, there are fast life insurance options that are competitively priced, thanks to technology that quickly assesses your personal information. Companies such as Bestow, Ethos, Fabric, Haven Life and Ladder offer accelerated underwriting term life policies.
Still, some policies require a life insurance medical exam in order to offer you cheap life insurance.
Reasons to Buy Cheap Life Insurance for Young Adults
As a young 20- or 30-something, it’s an ideal time to buy life insurance if you have the need. A need for life insurance comes about if you have anyone depending on your income or if someone would feel financial hardship upon your death. Here are a few reasons why buying life insurance as a young adult is a good idea:
1. You get the lowest rates
Life insurance rates are determined by age and health, among other factors. The closer you are to average life expectancy, the higher the odds are that the insurance company will need to pay a death benefit. Age also increases the likelihood of developing certain diseases and conditions.
Those issues can increase the odds of passing away earlier and needing to make a claim on the policy. If you buy coverage when you’re still young and healthy, you’ll have lower monthly premiums than if you wait.
2. You may not need a medical exam
Many life insurance companies offer no-exam policies if you meet certain criteria. Being young and having no medical conditions increases your chances of not needing an exam.
3. Less risk of your loved ones dealing with financial issues
Whether it’s for your parents who help you pay your student loans or a spouse helping raise your children, buying a life insurance policy now provides protection and peace of mind.Life insurance is not legally required, so it’s easy to push it off. Don’t get into the mindset that you have plenty of time to buy life insurance. You never know what tomorrow will bring.
4. Less worry about future insurability
Many term life insurance policies automatically come with a conversion option free of charge. With this option, you can convert your term policy into a permanent one if done so before the option expires. Conversion expiration dates vary by company. Some insurance companies only allow conversions during the first couple years and some allow you to convert at any time within the term.
Converting a term policy into a permanent policy increases your premiums significantly, but if you’re diagnosed with a serious—or even terminal—illness, this option can be a lifesaver for your family. You are guaranteed the option to convert to lifelong coverage no matter your health status