Usaa Life Insurance: Underwriting Process And Timeline Explained

USAA offers a range of life insurance policies, including term, whole, and universal coverage. The company caters to military personnel and their families, but its life insurance products are available to the general public. While most USAA life insurance policies require a medical exam, the company also offers a no-medical exam policy for final expense coverage. The underwriting process for USAA life insurance typically involves a medical exam, which helps determine the applicant's health classification and, consequently, their premium rates. This process can take a few weeks, and faster approval is possible for deploying military members.

The underwriting process can take a few weeks

There are a few things you can do to speed up the underwriting process. Firstly, try to schedule your medical exam as soon as possible. The exam can be done at a provider's facility or at your home or workplace. You can also prepare the details of your medical history, including recent doctor's visits, the reason for your visit, and the doctor's name and office information.

Another factor that can affect the underwriting timeline is lab work or medical records. If your policy requires lab work or medical records, it will likely take longer than a policy that doesn't require these additional steps.

It's important to note that USAA typically waives the medical exam requirement for deploying military members to expedite their coverage. Additionally, USAA offers a no-medical exam policy for a final expense policy with a maximum benefit of $25,000. This option is available for individuals between the ages of 45 and 85 (50 to 75 in New York).

A medical exam is required for most policies

A medical exam is required for most USAA life insurance policies. The company offers term, whole, and universal policies, with some policies restricted to certain states.

USAA's Level Term V insurance is available until the age of 70 and offers coverage ranging from $100,000 to $10 million. This policy can be converted to permanent coverage after one year without a medical exam. The company's Essential Term insurance policy does not require a medical exam but is only available to those aged 21 to 35 and expires when the policyholder turns 39. The maximum coverage for this policy is $100,000.

USAA's Simplified Whole Life insurance policy is available to applicants up to the age of 85 and offers coverage ranging from $25,000 to $10 million. This policy requires applicants to answer a health questionnaire and undergo a free medical exam. The company's Guaranteed Whole Life policy is available to those aged 45 to 85 and provides coverage ranging from $2,000 to $25,000. This policy does not require underwriting and generally pays within 24 hours of death.

USAA's Universal Life Accumulator policy is available to applicants up to the age of 85 and requires a health questionnaire and medical exam. This policy is not available in New York.

While a medical exam is typically required for USAA life insurance policies, there are alternative options available in the market for those who wish to skip the medical exam. No-medical exam life insurance policies may be suitable for those with serious health conditions or for healthy individuals who want a faster application process. These policies tend to be more expensive than traditional policies with medical underwriting.

The exam includes basic tests and questions

The medical exam for USAA life insurance is simple and non-invasive, and it usually takes less than 30 minutes. The exam includes basic tests and questions. The tests sometimes include measuring height and weight, blood and urine samples, checking pulse and blood pressure, and administering an electrocardiogram (EKG).

The insurance company will also ask questions about your medical history and any health conditions you may have. This may be done by the examiner or during the application process. These questions are necessary to determine your Body Mass Index (BMI) and cholesterol levels, whether you have HIV or other immune disorders, and identify risk factors such as elevated glucose or blood sugar levels, or heart disease.

Lifestyle questions, such as your occupation, driving record, and dangerous hobbies, are also part of the underwriting process to understand the risks involved in insuring you.

The results of the medical exam determine the premium rate

The results of a medical exam are crucial in determining an individual's premium rate for life insurance. The exam provides an in-depth analysis of the applicant's health status, which helps insurers assess their risk class and set the cost of coverage. While it is not a pass-or-fail situation, the healthier an individual's lifestyle is, the lower their premium is likely to be.

The medical exam typically consists of two parts: a medical questionnaire and a physical examination. The questionnaire covers an individual's medical history, including medications, family medical history, and recent hospitalisations. The physical examination includes measurements of height, weight, pulse, and blood pressure, as well as blood and urine samples. Additional tests, such as an electrocardiogram (EKG) and treadmill stress test, may be required for older applicants or those seeking a large amount of life insurance.

The blood and urine samples are screened for various health conditions, including high cholesterol, diabetes, HIV/AIDS, nicotine usage, recreational drug use, prescription drug use, sexually transmitted diseases (STDs), liver disease, and kidney disease. These conditions can impact an individual's life expectancy and, consequently, their insurance premiums. For example, high cholesterol can lead to heart disease and may result in higher premiums. Similarly, both Type 1 and Type 2 diabetes can affect an individual's approval and risk rating, influencing the cost of their life insurance.

Insurers use the medical exam results, along with other information such as an individual's application, medical records, prescription history, and personal characteristics, to determine their underwriting classification or risk class. This classification plays a significant role in setting the premium rates for life insurance policies.

While it is possible to obtain life insurance without a medical exam, these policies typically have lower death benefits and higher premiums. Simplified issue, guaranteed issue, and final expense life insurance are types of policies that do not require a medical exam but rely on detailed applications and health questionnaires to determine eligibility and risk class.

Preparing for a life insurance medical exam is important. Individuals are advised to schedule the exam for the morning, drink plenty of water, wear comfortable clothing, and make healthy lifestyle changes in advance. Following these tips can help achieve more favourable exam results and potentially lower premiums.

USAA waives the medical exam for deploying military members

USAA provides insurance and financial services to US military members (including reserves), veterans, and their families. Its term and other life insurance products are available to the general public.

USAA offers term, whole, and universal life insurance policies. The company's Level Term V insurance is available until the age of 70, with coverage ranging from $100,000 to $10 million. This policy can be converted to permanent coverage after one year without a medical exam. Active-duty military personnel receive additional benefits, including $25,000 for expenses after a severe injury and guaranteed insurability if they leave the military.

USAA's Essential Term insurance policy does not require a medical exam but is only available to those aged 21 to 35 and expires when the policyholder turns 39. The coverage is capped at $100,000.

USAA typically waives the medical exam requirement to expedite coverage for deploying military members. This is part of the company's goal to make it easier for military personnel to obtain coverage.

The company's Simplified Whole Life policy is available to applicants up to the age of 85. Payments do not increase, and the policy value remains the same. Coverage ranges from $25,000 to $10 million. Applicants must answer a health questionnaire and undergo a free medical exam.

USAA's Guaranteed Whole Life policy does not require underwriting and is available to individuals aged 45 to 85 (50 to 75 in New York). This policy generally pays out within 24 hours of death, and the payments and coverage do not decrease.

The company's Universal Life Accumulator policy is available up to the age of 85. It is a form of permanent coverage that accumulates tax-deferred cash value, which the policyholder can borrow against. Applicants must answer a health questionnaire and undergo a medical exam.

USAA offers extra perks for military personnel. When service members leave the military, they can buy extra coverage to replace their group life policy without a medical exam. Service members preparing for deployment can get policies approved faster and remain covered during wartime.

USAA's final expense policy is the only policy that does not require a medical exam. It is issued through Mutual of Omaha and is available to individuals aged 45 to 85 (50 to 75 in New York).

Frequently asked questions