Guaranteed issue life insurance provides coverage regardless of your health history. Acceptance is guaranteed even if you have medical issues such as cancer or other health conditions that would normally make you uninsurable. No need for a medical exam and no health questions will ever be asked.
How does it work?
Since guaranteed issue life insurance provides guaranteed coverage regardless of your health history, you won't ever have to answer any health related questions or be required to undergo a medical exam. You just have to be between 50 and 80 years old to qualify. However, since this type of insurance is more suited for those who are high-risk with medical issues, the premiums are typically higher than a traditional policy.
There is also a probation period for the first 2 years where if you pass away during this period due to natural causes, you will only receive a refund of the premiums paid, plus 10% credited interest. This may not be the best outcome for some people, but if you have medical issues and need coverage, guaranteed issue life insurance may be the only option if you have already been declined coverage in the past.
- In some cases, policies can be issued on the same day depending on the product.