While there are many insurance companies today that advertise their services as ‘no medical test’ term plans. It is nothing but a false notion because to acquire a term plan in India; you need to go through a medical test. Or in some cases, having a health issue will force you into a policy that requires additional medical testing. Melissa Thompson of Diabetes 365 mentions ” most people who have a type of diabetes will need to complete a paramedical exam in order to obtain life insurance coverage. Life insurance providers will want to see the level of control a person has over their diabetic coverage before determining the exact rates. Life insurance for diabetics is a little more complicated compared to those who do not live with a chronic illness”
If you are wondering why you need to go through the medical test while taking a term plan, then you are in the right place. Following are the reasons that you need to take compulsory medical tests while taking term insurance plan –
Insured Amount
The sum assured is the total amount of money that nominees are paid in case something unfortunate happens to the insured person. The medical tests for the term plan assist the insurance companies in verifying your medical conditions. Based on the status of your health. If you are relatively healthy, you will receive higher coverage. When you do not get a medical test, then the assured sum is lower and probably not sufficient to cover your family financially.
Premiums You Pay
The main goal of the insurance companies is to identify the premium amount that you must need to pay for the term plan. The premium is determined based on the risks involved. Therefore, it becomes vital for the insurers to determine your medical condition prior to deciding the premiums. A physically healthy person would have to pay a lower premium as opposed to a person who suffers from any pre-existing medical conditions.
Lower Coverage
If you are investing in an online term plan without a proper medical checkup, then you are likely to get lower coverage. By providing lower coverage, the insurer compensates for the risk associated with a lack of medical evidence to support your well-being.
Rejection of Your Claim
A reliable insurance provider would not give you the coverage that you need without conducting a medical test. In fact, most of the insurance companies reject claims if they determine that the insured person’s death was caused by certain pre-existing medical conditions.
What Is Included In The Medical Test Of The Term Plan?
The most basic medical test procedure involves weight and height measurement, urine tests, and blood tests.
Urine tests determine whether or not the cotinine level is within an appropriate range, thereby supporting the claim of you being a smoker or non-smoker. The basic weight measurement of the body assists in identifying BMI and whether or not you are prone to health risks.
A blood test is another important criterion, and it contains the following profiles –
- Bio
- Overall blood count
- Various counts
- Hemoglobin
- Fasting plasma glucose
The insurance company would also be interested in knowing your family medical history and verify whether or not you also suffer from any of the pre-existing diseases.
Final Thoughts
Medical tests are a big factor in getting a term insurance plan. If you need substantial coverage to provide financial protection to your family, you will have to follow the right procedure that includes a thorough medical checkup. Without medical check-up, either you will get lower coverage at a higher premium, or your claim would be at the risk of being rejected altogether.