A Complete Guide To Instant Decision Life Insurance

Table of Contents

The internet has made it possible to complete all kinds of different transactions instantly. Things that used to take weeks or months to get done can now be completed within the same day.

Face-to-face appointments can be made using video chat platforms like Zoom, and the days of snail-mailing paper forms have been replaced by sending a quick email. These instant methods of doing things online are done with just a few clicks of the mouse button.

While technology has made our lives much easier, the question you’re likely interested in is, can you also instantly get a life insurance policy?

Traditionally, the average timeline for a life insurance approval is four to six weeks. This accounts for completing the application, scheduling the medical exam appointment, completing the medical exam, the time it takes underwriting to review lab results, approval, and then finalizing the actual policy. 

Fortunately, the process doesn’t have to take this long for everyone. Most life insurance companies are doing an excellent job keeping up with the digital age we live in and adjusting their products and underwriting methods to offer a streamlined process for insurance shoppers to conveniently get life insurance coverage online and without the need for a medical exam.

This is all done by utilizing advanced technology, obtaining data from major consumer databases, and information from other third-party vendors to help speed up the underwriting process. Faster underwriting means it is possible to get life insurance instantly.

That means many people who need life insurance coverage can get a policy with a high amount of coverage without leaving their home or waiting several weeks to receive a response regarding approval. 

Instant decision life insurance policies are a convenient way to get coverage without the traditional 4-6 week average timeline to get life insurance coverage. However, they are not the best choice in all situations, and not everyone will qualify for instant approval when applying for a life insurance policy.

Here at No Medical Exam Quotes, we love putting together in-depth guides for our readers covering different insurance topics. This article is all about what you need to know about fast instant decision term life insurance approval.

Keep reading to learn more about how these policies work, who will benefit the most when applying, and which life insurance companies can offer instant approval term life insurance.

Make sure your coverage is backed by a strong life insurance company
Compare rates and apply for term life insurance coverage with the top A.M. Best rated life insurance companies instantly.

The Basics of Instant Decision Life Insurance

Instant decision life insurance policies are the fastest way to start a life insurance policy. As the name implies, you’ll get a decision if you have been approved for life insurance coverage nearly immediately after completing an application. 

The entire application process takes about 10 minutes and is done completely online and often without the need for a life insurance agent. That means you can receive your quote for coverage and easily transition to filling out the actual life insurance application from the comfort of your home and without the need for a medical exam.

Despite the non-traditional speed of the applying process, instant decision policies are still the same coverage offered with traditional term life insurance policies that would require a medical exam.

Rates and coverage amounts are just as competitive, and many instant decision policies also include some of the same policy riders available with traditional term insurance plans.

So how does it work?

When you apply for instant decision life insurance, your application goes through a unique process known as accelerated underwriting. Much of the accelerated underwriting process relies on advanced technology combined with the help of third-party data sources to process and underwrite life insurance applications for rapid approval.

Once an application for life insurance coverage has been submitted for an instant decision, that is when the algorithmic underwriting process alongside third-party data requests work together to evaluate the overall risk to make a quick decision for approval.

The data received from these third-party sources and the responses to the application questions are used to determine your level of risk of insurability without having to go through any medical exam requirements.

Remember that your insurability is how the insurance company views your overall risk of dying during the term of your policy when it comes to life insurance. It’s calculated from information about your health, job, lifestyle, and even your driving history. 

The insurance company will only obtain data when consent has been provided, which would occur during the initial application stage and after all disclosure forms have been electronically signed off by the proposed insured.

Third-party data sources

The data from the third-party data sources used to underwrite an instant-issue life insurance policy will vary depending on the company. However, there are few sources that almost every life insurance provider will use to evaluate eligibility for coverage. Many of these sources, if not all, are the same used in helping to underwrite non-instant issue plans also.

When applying for an instant decision life insurance policy, the data received from the following sources will need to come back in good standing. If there are discrepancies within the reports, it is unlikely that the insurance company will offer instant approval.

Instead, you may be required to apply for a policy that requires full medical underwriting so the insurance company can get a clearer picture of your lifestyle habits or medical history. 

Below are third-party data sources used by nearly all life insurance companies to help process and underwrite life insurance applications. 

Medical Information Bureau Database (MIB): An MIB report contains information on any previously submitted insurance applications that have been underwritten within the past seven years. An insurance company would utilize the information provided on the MIB report to look for any fraud or misrepresentation to the current life insurance application questions.

For example, if you said you were a nonsmoker on your life insurance application but a previous application for, let’s say, health insurance disclosed that you were a smoker, the insurance company would question why the life insurance application was marked non-tobacco use.

Since instant issue life insurance plans do not require a medical exam, the insurance company would likely not offer coverage under instant issue guidelines. They would require further information on past tobacco use. Instead, you may be given the option to go through full medical underwriting so they can view lab results for any nicotine in the lab results.

LexisNexis Report: LexisNexis is a company that collects consumer data and compiles it for insurance companies and other businesses to evaluate risk on a potential client.

Whereas MIB looks for potential application fraud from information on prior insurance applications, LexisNexis compiles data such as financial details like any history of bankruptcy, liens and judgments, criminal history, professional licenses, property ownership, and any other public data to create an insurance score.

Your insurance score is similar to a credit score. It represents a view on how risky LexisNexis feels it would be for the life insurance company to offer you a policy based on their collection of data. A low insurance score tells the insurance company that there is a degree of risk to offering coverage.

Prescription Database: Also known as an Rx Check, is a report that provides a detailed history of any prescribed medications. The report generally contains information on the prescribed medication, the amount of medication prescribed, the last prescription refill date, and the doctor who prescribed the medication. 

Motor Vehicle Report: The MVR will provide the insurance company with a history of speeding tickets, reckless driving, license suspensions, or DUI/DWI history. A negative MVR report could raise your rates or even lead to denial of coverage.

Criminal Record: The insurance company will review public records to look for any recent arrests, convictions, felony, or misdemeanor charges that would result in a denial for an instant issue life insurance policy.

The insurance company will run all of this data through algorithms and give you an instant answer. If you’re approved, your policy will be active as soon as you sign your paperwork and pay your first premium. This means the entire process can take less than 10 minutes.

Eligible ages

Most instant issue term insurance plans offer coverage to eligible applicants between the ages of 18 and 65. Applicants over age 65 are likely to require a medical exam to qualify for term life insurance coverage.

If you are over 65 and are looking for a non-medical life insurance policy and require less than $50,000, consider looking into a burial insurance policy.

A burial insurance policy is a form of whole life insurance coverage designed for seniors focused on covering small final expenses. Medical exams are not required, and approval can often be made within 24-72 hours.

Contract lengths

Instant decision term insurance offers contract lengths from 10, 15, 20, or 30-year durations. When you choose a contract length, your premiums will remain the same price until the end of the last policy year.

While there are several different contract lengths to choose from, your options will be limited depending on your age when you apply for coverage. Younger applicants will generally have a wider range of contract lengths to choose from, while older applicants will be limited to fewer options. 

Coverage amounts

Generally, coverage amounts on instant decision term insurance plans will range from as low as $25,000 to as high as $1,000,000. Older applicants may be limited to lesser amounts than younger applicants.

For example, an applicant between 18 and 50 may be eligible for coverage up to $1,000,000. In contrast, an applicant between the ages of 51-65 may be limited to a maximum amount of $500,000.

Minimum and maximum coverage amounts will depend on the life insurance provider guidelines, which we will provide examples a little later in this article.

No medical exam

If you qualify for instant decision approval, there will be no medical exam requirements needed. The third-party data combined with the application questions will have been enough for the insurance company to consider you a non-high-risk applicant for life insurance coverage. 

Depending on the provider, if you do not meet the underwriting guidelines for instant decision approval, you could be provided with the option of full underwriting, which would require a medical exam.

Other instant decision life insurance providers will underwrite coverage based on an accept or reject basis, meaning if you do not meet the underwriting guidelines for a policy, no offer for coverage will be made, and the application will be closed out.

If provided with the option of taking a medical exam, it will be your choice. The insurance provider provides the medical exam at no cost. An examiner will contact you to work out a date to visit and complete the medical exam. Most medical exams take about 20-30 minutes and will consist of:

  • Review of medical history
  • Height and weight measurements
  • Blood pressure check
  • Collection of urine and blood sample

Approval is instant

Accelerated underwriting is ridiculously fast. Most applications take 10 minutes to complete, and a decision is made within minutes of applying. If approved, you will have the option to review your coverage, make changes, and then accept your policy if you are satisfied with the price.

Payment for coverage is often made via credit card, with an electronic copy of your life insurance policy emailed to you. The entire process is very impressive and changing the old-school ways of applying for life insurance.

How Instant Issue Life Insurance Underwriting Works

Underwriting is the process of looking at data from an application and other sources to help with the approval or denial of an application. Many things you apply for are underwritten, including car insurance, loans, and mortgages.

Life insurance underwriting is traditionally a long process because it considers many factors such as your health, finances, lifestyle habits, and more. However, technology has allowed this process to speed up significantly.

You might see the terms automated underwriting or accelerated underwriting when you’re comparing life insurance policies. These underwriting terms refer to a computer being able to handle the brunt of the underwriting process rather than a human.

So, when you submit an instant decision life insurance application, there typically no agents or underwriters at the insurance company reading it line-by-line. Instead, your application is run through a computer made up of algorithms and cross-checked with third-party data like LexisNexis and MIB to approve or deny your application instantly.

Medical information and other details required for an instant decision life insurance policy

Instant decision life insurance applications ask many of the same questions as traditional life insurance applications. You’ll still need to provide information about your health, hobbies, job, and other lifestyle factors.

Since there is no medical exam required, you’ll need to be prepared to answer questions about any medical conditions when completing the application. Be prepared to answer questions regarding any diagnosis of any medical conditions, any medications you currently take, and any family history of serious medical conditions that would have lead to death before age 60. 

Specifically, you’ll be asked if you’ve ever been diagnosed with any of the below medical conditions. It will be doubtful that you will be able to qualify for instant approval if you have been diagnosed with one of the following medical conditions:

  • Anemia
  • Anxiety
  • Anorexia or bulimia
  • Asthma
  • Brian and spinal conditions
  • Cancer (including leukemia, tumors, or melanoma)
  • Chest pain
  • Chronic pain
  • Diabetes – insulin-dependent
  • Depression
  • Eye, throat, or ear conditions
  • High blood pressure – not under control with medication
  • High cholesterol – not under control with medication
  • Immune deficiency
  • Obesity 
  • Ulcers

You’ll need to provide additional information about any diagnosis you have, including the medications you take for it and how long you’ve had the condition.

In addition to health questions, the application will ask you about:

Your finances – You’ll need to list some basic information about your income. Life insurance is meant to be income replacement, so the insurance company will want to ensure the amount of coverage you’re applying for is supported by your income. 

If you have a high-risk job – Some jobs are considered higher risk than others. These are jobs that are more likely to put you in physical danger. This includes firefighters, police officers, farmers, loggers, and fishermen.

If you have high-risk hobbies – Just like some jobs are more dangerous than others, some hobbies carry a definite risk. This generally includes any hobby that takes you far off the ground, like piloting private planes, parachuting, or bungee jumping. Other high-risk hobbies include most kinds of racing, mountain climbing, and deep-sea diving. 

Tobacco use – Smokers always pay more for life insurance. Smoking has been proven to increase your risk of cancer, stroke, diabetes, heart disease, and many other diseases. 

Alcohol consumption – When it comes to alcohol, insurance companies are more concerned with how much you drink than whether you drink at all. Most companies will consider your drinking to be high risk if it’s above current CDC guidelines. That means no more than 2 drinks a day for men and no more than 1 drink a day for women. Drinking heavier than this has been shown to increase your risk of multiple serious conditions. 

Illegal drugs – Any illegal drug use will increase your risk to insure and increase your rates. This includes using prescription drugs that were not prescribed to you or for purposes that are not what they were prescribed for.

Criminal record – Most insurance companies won’t grant policies to anyone who has had a felony conviction or has been incarnated within the last five years. Older criminal charges will likely not prevent you from getting a policy.  

Driving violations – A few parking tickets or a speeding ticket won’t affect your life insurance rates. However, if you’ve been charged with reckless driving or a DUI, you could have trouble securing a policy. Just like your criminal record, insurance companies are mostly concerned with your driving record from the last five years. Older violations won’t be counted against you.

It’s always recommended to answer these questions as accurately as possible and to provide details when you can. For example, let’s say a man named Marcus has a history of high blood pressure being managed by his doctor and is well controlled with medication.

Conversely, Anna is also applying for life insurance but has a history of high blood pressure and is not on any medications to keep it under control.

Although Marcus and Anna both have high blood pressure, insurance underwriting will look at them very differently. Marcus will likely get much better rates because he has taken steps to see a doctor, leading to him keeping his blood pressure well controlled.

That’s why it’s important to put the details on your life insurance application.

The importance of honesty on your life insurance application

It can be tempting to lie on a life insurance application. After all, your rates are based on your risk of dying. So some people think that presenting that risk as lower than it really is will save them money. This can seem like a smart move, especially if you know you won’t be taking a medical exam. You might think it’s not a big deal, not to mention a diagnosis or leave out the reckless driving charge. 

It is a big deal, and it’s never a good idea. The insurance company will look into your medical history, and they’re likely to uncover your lie.

How?

First, your records with the MIB will show any conditions you’ve listed on previous life insurance applications. They’ll also show your applications for health and other types of insurance, making it even more likely the insurance company will spot information you left out.

Plus, many insurance companies check prescription databases. If you have a prescription for a condition you didn’t disclose, the insurance company will notice.

The same rules apply to your driving and criminal history. The insurance company will check public data sources such a LexisNexis, which contains information about criminal history. Any lies could cause your application to be rejected. A rejected application will show up in your MIB file. That means other insurance companies will see the denial and the reason why. This could make it very hard to get coverage.

Even if you don’t get caught during the application process, lying on an insurance application is dangerous. If the company finds out later, your policy could be canceled. If the company finds out after your death, the payout could be denied, especially if the death has occurred within the two-year contestability period.

For example, let’s say you didn’t disclose your drinking on your life insurance application. If you die of liver failure caused by alcohol a year later, the insurance company can refuse to pay the death benefit to your beneficiary. This could leave your family unprotected.

So, no matter what type of policy you’re applying for, it’s always important, to be honest on your application.

We work with the top A.M. Best Providers
Compare life insurance rates from the top AM Best rated life insurance companies.

How to Apply for an Instant Decision Life Insurance Policy

Most instant decision term life insurance plans allow applicants to apply for coverage through a 100% online application process and without the assistance of an agent. The process makes it extremely convenient for busy families looking for an affordable option to get life insurance coverage on their own time and without the need for a medical exam.

A few life insurance providers will require applicants to apply for their coverage with the assistance of an agent, but the application process is still as easy and quick as if you were to do it on your own.

Below is a breakdown of what you can expect when applying for an instant decision term life insurance policy from start to finish. 

Initial quote

The first part of the process will be determining the right amount of life insurance coverage you will need. You will generally have a dropdown box located on the website to choose from different coverage amounts and contract lengths.

If you are unsure about your life insurance needs and how much coverage you may require, we highly recommend using the help of a life insurance needs calculator, which works as a question-and-answer style form based on financial needs that would require the help of life insurance.

As you fill in the question with dollar amount responses, the life insurance needs calculator will compute your answer to provide a suggested amount of coverage. Another option would be to work with an agent before applying for coverage.

Once you have your death benefit amount, you will need to choose a term length. Remember, term insurance is temporary life insurance coverage based on a contract with an end date.

For example, most term insurance plans come in contract years of 10, 15, 20, or 30-year plans. If you choose a 10-year contract length, your premiums will be locked in for the next 10 years, but the rate will increase after the 10th policy year if you choose to continue the coverage.

After you have selected a coverage amount and contract length, you will need to provide a few extra pieces of information such as gender, birth date, height and weight, tobacco use, and the state you reside in for rates to display for the coverage and contract length you have chosen.

It’s important to understand that the initial rates are only an estimate until you have applied, have gone through underwriting, and have been approved. If your application was approved as applied, your estimated rates should be the same as your approved rates. 

Completing the application

Instant decision term life insurance is supposed to be fast, so rather than filling out multiple paper forms, applications are completed 100% online. From receiving an initial quote, you easily go right into filling out an application to apply for coverage.

Completing an online life insurance application can often be broken into four different parts:

  1. As with any life insurance application, the first part generally starts with filling out basic identifying information. This would include your full name, SSN, home address, telephone number, email, employer info, etc.
  2. Part two of the application is where you will often be asked about any potentially dangerous hobbies you may partake in, lifestyle questions, and multiple questions related to your health. If you answer yes to any of these questions, be prepared to provide details.
  3. The third part of the application will consist of filling out beneficiary details. Your beneficiary would be the person or persons that would receive the death benefit if you were to pass away during the term period.
  4. The fourth part pertains to payment details. Remember, everything about instant issue term insurance is fast, including your coverage being active upon approval. Most providers will allow you to pay for coverage via credit cards as well as automatic bank drafts.

Approval and finalizing coverage

The process of finalizing an instant decision life insurance policy is also quick and easy. You’ll generally need to sign your final documents electronically. Your final documents will detail your premiums, your term length, your coverage amount, and any riders you’ve selected. Make sure you look over all the details carefully before you sign.

You’ll also need to pay your first premium at the time of approval. Once your policy documents are signed and your premium is paid, your policy will be active. There’s generally no waiting period before an instant decision policy will payout. Your coverage will begin immediately.

When a medical exam may be required

Some instant decision life insurance companies only use accelerated underwriting with no optional medical exam alternative. Other companies will use accelerated underwriting but might ask you to take a medical exam if you do not meet the programs underwriting guidelines for instant approval.

If your application requires a medical exam, the insurance provider will notify you that one is requested. This doesn’t mean your application is denied or that you should expect high rates. It just means the insurance company needs more data, and the medical exam will help provide a clearer picture to help assist in approving coverage. 

It is completely your choice to continue with the application by completing the medical exam. You may choose to stop the application entirely if you do not want to take a medical exam. 

If you continue with the application, the medical exam will be ordered by the provider and scheduled with you around your schedule. The medical exam is provided at no additional charges, and you will have access to the lab results for your own personal records.

When You're Not Approved For An Instant Decision Policy

Instant decision policies have the same underwriting standards as traditional life insurance, if not even stricter. In fact, because accelerated underwriting is based on algorithms, some people will have more trouble getting an instant decision policy than a traditional policy. 

However, despite the name, not all instant decision policies are instantly approved or even denied. In some cases, depending on the provider, your application may be referred to an underwriter for further review. 

This is exactly what it sounds like. It means the algorithm couldn’t come to an instant conclusion on your application, so it’s sent to an underwriter to have the application looked over closely.

The underwriter may even reach out to you for additional information on specific application questions if further information is needed. Your final approval or denial will depend on the underwriter.

If you are declined for an instant approval policy, you should seek the help of a licensed insurance agent. An agent or agency will learn about the reasons for your decline and shop your coverage with the other providers they are contracted with to see what other potential options are available with those other insurance providers.

Top 6 Fastest Instant Decision Life Insurance Providers In 2021

Instant decision life insurance is a great way to get coverage fast. Some of the fastest options to getting term life insurance right now are coming from digital online brokers that have partnered with at least one major life provider to issue an instant decision life insurance policy.

These direct-to-consumer online brokers are backed by some of the biggest investors and have spent millions on perfecting the online life insurance buying experience from how you are quoted, the ease of filling out the actual application, and how the algorithmic underwriting process occurs quickly.

If you have spent some recently shopping for term life insurance, you have also likely seen a few of these providers pop up as well. 

To help you learn more about your instant decision term life insurance options, we at No Medical Exam Quotes have put together a list of the top online life insurance broker offering the fastest term life insurance coverage.

  • Best choice for the easiest application and fastest process: Bestow
  • Best choice for coverage options: Ethos
  • Best choice for additional benefits and policy features: Fabric
  • Best choice for coverage from a financially strong company: Haven Life
  • Best choice for high coverage amounts: Ladder Life
  • Best choice for overall life insurance shopping experience: Policygenius

Bestow

Bestow Instant Decision Term Life Insurance
Company:Bestow
Insurer:North American Company for Life and Health
Type of Coverage:Term Life Insurance
Contract Lengths:10, 15, 20, 25 and 30-Years
10-Year Plan:
15-Year Plan:
20-Year Plan:
Ages 18-60
Ages 18-55
Ages 18-50
25-Year Plan:Ages 18-45 (non-tobacco)
Ages 18-38 (female tobacco)
Ages 18-37 (male tobacco)
30-Year Plan:Ages 18-40 (female non-tobacco)
Ages 18-39 (male non-tobacco)
Ages 18-31 (female tobacco)
Ages 18-30 (male tobacco)
Coverage Amounts:Minimum - $50,000
Maximum - $1,500,000
Policy Riders:None
Conversion Option:None
Medical Exam Potential:No medical exam required at all
Application to Decision Time:9 Minutes
State Availability:All states except NY
See just how easy applying for life insurance really is!
Click the below button to learn more about Bestow term life insurance, compare rates and apply online.

Ethos

Ethos Instant Decision Term Life Insurance
Company:Ethos
Insurer:Banner Life
Ameritas
TruStage
Type of Coverage:Term Life Insurance
Contract Lengths:10, 15, 20, and 30-Years
10-Year Plan:
15-Year Plan:
20-Year Plan:
30-Year Plan:
Ages 20-65
Ages 20-65
Ages 20-60
Ages 20-50
Coverage Amounts:Minimum - $5,000
Maximum - $1,500,000
Policy Riders:Term insurance plans issued by Banner Life will include a free Accelerated Death Benefit Rider that allows for a portion of the death benefit to be taken while alive if diagnosed with a terminal illness.
Conversion Option:Not available on plans issued by Banner or Ameritas. TruStage simplified issue plans are convertible to whole life insurance coverage if elected by age 80.
Medical Exam Potential:Coverage over $1M will require medical exam. Some applicants that do not meet the accelerated underwriting guidelines may be give the opportunity to take a medical exam.
Application to Decision Time:10 Minutes
State Availability:All states except NY
See just how easy applying for life insurance really is!
Click the below button to learn more about Bestow term life insurance, compare rates and apply online.

Fabric

Fabric Instant Decision Term Life Insurance
Company:Fabric
Insurer:Vantis Life
Type of Coverage:Term Life Insurance
Contract Lengths:10, 15, and 20-Years
10-Year Plan:
15-Year Plan:
20-Year Plan:
Ages 21-60
Ages 21-60
Ages 21-60
Coverage Amounts:Minimum - $100,000
Maximum - $5,000,000
Policy Riders:None
Conversion Option:Conversion option to switch from term to whole life insurance is available and can be elected any time prior to the policy anniversary following the insured’s 65th birthday.
Medical Exam Potential:Coverage over $1,000,000 is likely to require a medical exam. Those that do not meet underwriting requirments for an instant descision approval may also be given the opportunity to complete a medical exam including coverage amounts under $1,000,000.
Application to Decision Time:10 Minutes
State Availability:All states except MT and NY
See just how easy applying for life insurance really is!
Click the below button to learn more about Fabric term life insurance, compare rates and apply online.

Haven Life

Haven Life Instant Decision Term Life Insurance
Company:Haven Life
Insurer:MassMutual
Type of Coverage:Term Life Insurance
Contract Lengths:10, 15, 20, and 30-Years
10-Year Plan:
15-Year Plan:
20-Year Plan:
30-Year Plan:
Ages 18-64
Ages 18-64
Ages 18-64
Ages 18-49
Coverage Amounts:Minimum - $100,000
Maximum - $3,000,000 / $1,000,000 (Ages 60-64)
Policy Riders:Accelerated Death Benefit - Included
Haven Life Plus - Included
Waiver of Premium - Optional
Conversion Option:None
Medical Exam Potential:Medical exams are likely to be required. Some applicants will qualify for immediate coverage who are under the age of 60 and are applying for $1,000,000 or less in death benefit coverage.
Application to Decision Time:10 Minutes
State Availability:All states
See just how easy applying for life insurance really is!
Click the below button to learn more about Haven Life term life insurance, compare rates and apply online.

Ladder Life

Ladder Instant Decision Term Life Insurance
Company:Ladder Life
Insurer:Fidelity Security Life - Primary
Allianz - New York Residents
Type of Coverage:Term Life Insurance
Contract Lengths:10, 15, 20, 25, and 30-Years
10-Year Plan:
15-Year Plan:
20-Year Plan:
25-Year Plan:
30-Year Plan:
Ages 20-60
Ages 20-55
Ages 20-50
Ages 20-45
Ages 20-40
Coverage Amounts:Minimum - $100,000
Maximum - $8,000,000
Policy Riders:None
Conversion Option:None
Medical Exam Potential:A medical exam would be needed if the total amount of coverage being applied for is over $3,000,000 or an applicant does not meet the underwriting guidelines for instant decision coverage.
Application to Decision Time:10 Minutes
State Availability:All states
See just how easy applying for life insurance really is!
Click the below button to learn more about Ladder term life insurance, compare rates and apply online.

Policygenius

Policygenius Instant Decision Term Life Insurance
Company:Policygenius
Insurer:Brighthouse Financial
Type of Coverage:Term Life Insurance
Contract Lengths:10, 20, and 30-Years
10-Year Plan:
20-Year Plan:
30-Year Plan:
Ages 20-60
Ages 20-55
Ages 20-50
Coverage Amounts:Minimum - $100,000
Maximum - $2,000,000
Policy Riders:Accelerated death benefit rider included at no additional costs. Advances a portion of the death benefit if diagnosed with a terminal illness.
Conversion Option:Convertible to permanent coverage after the first policy year.
Medical Exam Potential:No medical exam required at all.
Application to Decision Time:24 Hours
State Availability:All states
See just how easy applying for life insurance really is!
Click the below button to learn more about Policygenius term life insurance, compare rates and apply online.

Instant decision Life Insurance Vs. Simplified Issue Policies

You might be wondering if all no medical exam policies are instant decision policies. It’s easy to get the two confused, but they’re not the same. Many traditional life insurance companies that offer no medical exam policies will utilize either accelerated underwriting or simplified issue underwriting.

While both underwriting options will provide a quicker approval for coverage than a policy that would require a medical exam, you’re likely not to get an answer as quickly as an instant decision policy with simplified issue underwriting.

Simplified issue underwriting is a slower underwriting process but will generally never require a medical exam. This is what sets this type of non-medical underwriting apart from accelerated underwriting plans which can require a medical exam if you’re unable to meet the underwriting guidelines set by the insurance company. 

With simplified issue underwriting, approval times can vary from a few days to a few weeks. This is mainly because simplified underwriting will often require a more hands-on underwriting approach, as it is often acceptable for applicants with health conditions to apply.

Remember, instant decision policies are fast because they utilize algorithmic underwriting rather than actual human underwriters. 

So which policy type is right for you? It depends on your health and time frame. As a rule, instant decision policies will be harder to qualify for if you have certain medical conditions where a simplified issue policy may be more acceptable.

We do believe you should weigh out both options. Many of the no medical exam term life insurance plans that traditional life insurance providers offer many more policy features than what today’s instant decisions plans offer with online-based digital providers.

While the entire process that instant decisions policies offer is excellent, if you don’t need a life insurance policy instantly, traditional non-medical exam plans are still the better options in terms of overall coverage.

Instant Decision PlansSimplified Issue Plans
Could require a medical examNo medical exam required at all
Death benefits up to $1,000,000 and higherDeath benefits often limited to $500,000 or less
Applications completed 100% onlineOnline and paper applications available
Great option for healthy peopleGreat option for people with low to mild health conditions
Limited policy feature and ridersGenerally have additional features and riders that are either include or optional

Instant Decision Life Insurance Vs. Guaranteed Issue Policies

Guaranteed issue life insurance policies are another type of policy you can apply for entirely online. There is no medical exam to take, and decisions are also instant. However, these are actually very different from instant-issue term insurance plans. Differences include:

  • Applications don’t ask any medical questions at all
  • They are whole life insurance policies and not term policies
  • Coverage is often limited to a maximum of $25,000
  • Much more expensive than term insurance 
  • 2-year waiting period before the death benefit will payout

Remember that an instant decision life insurance policy is a traditional life insurance policy. The approval time is sped up, but all other aspects are the same as standard policies.

A guaranteed issue policy, by contrast, is expensive coverage designed for people who are having trouble getting a traditional policy. You cannot be turned down for a guaranteed issue policy, making it a costly coverage option.

Frequently Asked Questions About Instant Decision Life Insurance

We’ve answered a few more common questions about instant decision life insurance below.

Can I get an instant decision on a whole life policy?

Instant decision life insurance is primarily for term life insurance policies. It is not very common to find an instant issue whole life insurance policy. There are few life insurance providers out there, such as Assurity, Foresters, and Sagicor, that offer potentially fast approval for whole life insurance coverage.

Other options include final expense plans and guaranteed issue policies, which can also provide an instant decision. However, as mentioned above, these aren’t standard life policies, and final expense plans are not recommended for families that require large coverage amounts to protect financial risks.

Is an accidental death policy considered instant issue coverage?

Just like guaranteed issue policies, accidental death policies are sometimes confused with instant decision policies. This type of policy is generally issued instantly, but it is not standard life insurance.

Accidental death policies don’t cover death related to illness. Instead, they’ll only pay out if death was caused by accident. If you purchase an accidental death insurance policy and pass away from a heart attack or other medical-related death, the insurance coverage will not pay out to your beneficiary.

Accidental death plans can be a good alternative if you cannot qualify for traditional life insurance coverage and need more death benefit protection than what a guaranteed issue policy can offer.

Also, many term life insurance plans offer an optional accidental death benefit rider. Adding the rider would double your death benefit payout if your death directly resulted from an accident. And since the rider is added to the life insurance coverage, your policy would still pay out the full death benefit even if an accident did not cause your passing.

Is instant decision life insurance really instant?

Most companies that offer instant decision policies will make approval for coverage shortly after completion of the application. However, some companies require a medical exam, and other companies will refer some applications to human underwriters rather than algorithms.

Read the fine print before you apply. Most companies will let you know right on the website if there is any chance your decision won’t be instant.

Are instant decision policies more expensive?

Instant decision policies have the same underwriting standards as traditional life insurance policies. So, unlike guaranteed issue policies, you can often get an instant decision policy for a great competitive term life insurance rate.

Your price will be based on the amount of coverage you choose, your term length, and your life insurance rate classification. Your rate classification is based on your risk of death as determined by your age, health, and lifestyle.

As a rule,  if you’re able to qualify for other types of term policies at affordable rates, you’ll also be able to qualify for a low-cost instant decision policy.

However, there are exceptions. As discussed above, instant decision life insurance policies use entirely algorithm-based underwriting. So if you have a complex situation, this might not be the route for you.

In some cases, you might get a high rate or denial from an instant decision policy, but be able to get a great rate at a company with underwriters who review each application.

For example, if you need to provide more information about a hobby you have or a health condition you’ve been diagnosed with, it might be better to apply for a non-accelerated underwriting policy.

You’ll have to wait longer for a decision, but you’re more likely to get approval for an affordable policy.

Final Thoughts

Instant decision life insurance policies are a great way to get fast life insurance coverage. They can help you set up a vital part of your family’s financial plan in a single evening. They’re a smart option for healthy people who don’t want a drawn-out application process. 

If you’re looking for fast coverage without an exam but aren’t sure about instant decision policies, consider a simplified issue policy that requires no medical exam. Simplified issue policies are also fast, easy to apply for, and offer way more policy features than instant issue policies.

Take, for example, Transamerica’s living benefits coverage. Transamerica offers an amazing term life insurance policy packed with policy features such as living benefits, an optional monthly disability income rider, and non-medical underwriting for amounts up to $2,000,000 in coverage.

While you might not get an instant decision with many traditional life insurance companies, you’re going to have a greater selection of coverage options, many of which offer no exams and quick underwriting. You can get instant quotes from several companies, and if you’re ready to get started, No Medical Exam Quotes can help. Just fill out our quick form to get quotes and compare policies.

Get a Quote

Instantly compare rates & apply from home

Jeffrey Manola - Life Insurance Expert

Jeffrey Manola - Life Insurance Expert

Jeffrey Manola is the founder of No Medical Exam Quotes, an online insurance broker with a strong focus on helping people shop for the perfect life insurance policy. Jeffrey is both a licensed life insurance expert and content creator for the website. Before becoming a licensed life insurance agent, he served in the United States Marine Corps. He transitioned from serving his country to helping families find affordable life insurance coverage since 2009. No Medical Exam Quotes is licensed to offer life insurance coverage in all 50 U.S. States.

Share with friends
Share on facebook
Share on twitter
Share on linkedin

Related Posts

Protective Term Life Insurance Review

Protective Life insurance company offers a wide variety of different coverage options that can suit different budgets. But are their term insurance plans right for

Compare No Medical Exam Term Life Insurance

Compare life insurance rates and apply online.