Buying life insurance without being asked medical questions. is a good deal?
The advertisements of certain financial institutions are so focused on the purchase of life insurance without examination on the Internet (and in a fast way! ) that the consumer almost comes to believe that it is more complicated to have a pizza delivered than to get life insurance!
Here are some of those advertisements:
- Buy life insurance for as little as $4.80/month!
- Buy your life insurance online in less than four minutes!
- You are automatically insured after just three medical questions!
- No question about your health up to $1,000,000!
- Buy $500,000 life insurance for as little as $15/month, plus critical illness protection!
- Life insurance with guaranteed acceptance for only $5/month!
What’s behind these ads
It’s well known: the fewer questions you ask, the more it costs and the more you are at risk. And this observation does not only apply to life insurance. Think about it for a moment…
Since 2001, we have helped hundreds of thousands of Quebecers and Canadians find their insurance products at the best price.
Concerning life insurance, it is not us who will have to complete the death claim but rather our beneficiaries. This is when the financial institution will verify our application for insurance without medical examination, an application that we had of course completed before. And that’s when our beneficiaries will know if we have unfortunately omitted to answer an important question that, required a sub-question… We also wonder why there is mention of a false declaration clause on his health since almost no questions were answered!
Willful error and omission. what does that mean, exactly?
Consider the following example:
- Your doctor mentions that you have the onset of diabetes and he, therefore, prescribes medication for this purpose. You decided to pay attention to your diet and therefore stopped taking the medication without your doctor’s advice. To the question “Do you have diabetes”, you answer honestly in the negative sense, in your opinion, you do not have diabetes.
Upon your death, the clause entitled “Error and omission” (voluntarily or not) will apply.
Another example :
- 10 years ago, you had a cerebrovascular accident (or CVA). Your doctor tells you that there is nothing to worry about, that everything is 100% settled. You are like a young man! So you buy life insurance, and you’re asked, “Have you ever had heart disease?” Of course, your answer is negative without hesitation.
Once again, the clause entitled “Error and omission” (voluntarily or not) will apply upon your death.
One last small example:
- Your doctor advises you that you will have to undergo various tests when possible. You take out life insurance, and you are asked the following question: “Have you had any medical tests or are you awaiting medical tests? Again, your answer is negative.
Yep, you guessed it… the “Errors and Omissions” clause (intentionally or not) will apply upon your death.
But what exactly does the “error and omission” clause mean?
Failure to report information is not necessarily a sign of dishonesty. When you apply for life insurance, you are generally acting in good faith. Only then, some facts may seem trivial to you and this means that you don’t even dare to talk about them, or that you naturally forget to talk about them. For the insurer, however, it’s a whole different story.
Here is a typical case:
With the cash register or the bank, you take out loan insurance on your mortgage for disability and death.
But you didn’t even think of declaring the chiropractic treatment you take once a month for your back pain. No need to mention it, you say, since this treatment is purely preventive.
Unfortunately, you are injured soon after and it is then that you learn that your disability claim regarding the mortgage payment has been denied. You are of course offended, but you can’t do anything about it since your insurer had applied the “error and omission” clause, whether voluntarily or not…
In conclusion: to avoid disappointment in the event of disability and to avoid a financial disaster for your loved ones upon your death, agree to answer in good faith the various medical questions that the insurer will ask you.
You are certainly not obliged to hastily sign in a hurry…they will ask you no less than 25 questions during a claim! Instead, agree to answer the full questionnaire before accepting the contract. This way, no one will have any unpleasant surprises in the event of a disability or death. It’s that simple!
And you, what are you waiting for to request a quote for any type of life insurance, all without commitment and, above all, without pressure? Do not hesitate any longer and call us or make your quote request. It’s been free since 2001 and it will always be!
