Most Common Questions and Answers about Paramed exams

Often times my clients have asked me what happens when you have a paramed exam and a related question when would I need a doctors exam or an ECG?

For most people time is money, so they want to know how long does a paramed exam take?

Answer: Usually 15-30 minutes.

What is the paramed going to do?

Answer: They will at a minimum take your blood pressure, height weight, urine sample and also draw a blood sample which may or may not require you to fast for 12 hours before the exam. They also will ask you a series of medical questions about your family history and your personal medical history. (Don't lie to the examiner the test will show any conflicts) If you are applying for a larger face amount you may have to also have an ECG done which the examiner will have a portable machine to do that for you.

When do you need a doctors exam?

Answer: Similar to the ECG requirement it is usually required for people who are older or for clients requesting large face amounts of insurance.

How much does this cost?

Answer: he exam cost nothing to have done and you will get all the results back which you can then share with your doctor.

Why do I need to get this done?

Answer: Bottom line the insurance company doesn't want to take on any unnecessary risk, and frankly you don't want them to either because if their funds run short, claims take longer, the company's customer service suffers, and they may go out of business all these things are not good. Underwriting and the exam will allow the insurance company to rate you and if you are in shape and healthy that will result in lower premiums.

Where can the exam be done?

Answer: The exam can be completed either at home or at work often times the examiner may be able to see you Monday through Friday between 7am and 8pm or even on Saturdays.

Hopefully that cleared up some things for you folks out there. Medini Financial strives to provide insurance and financial answers in Ephrata and Lancaster County. Check us out on facebook and become a fan just search Medini Financial.

What is the difference between the insurance policy with only a few questions and no exam versus the policy that requires an exam?

Recently, I have received an email from someone in Lancaster looking for insurance who asked what is the difference between companies who just ask few medical questions with no exams versus going through underwriting and possibly an exam.

You may have gotten in the mail or have heard commercials both on the TV and the Radio about life insurance with no exams just answer a few medical questions and mail back in your check and you get life insurance. Some of these companies even offer guaranteed policies. What they don't want you to know is that you may be guaranteed insurance but only if you have an accidental death and there may be several caveats where you are not covered under a guaranteed issue policy that may or may not have medical questions.

The next type of policy discussed earlier is the one that all you have to do is answer some questions and you may or may not be offered coverage while these are often times more appropriate for a client there is a price you for the convenience of not having a medical exam. Here the main difference when you forgo the medical exam and blood work the life insurance companies are taking a larger risk on an individual who may be in poor health and who is a higher risk. So in order to leverage against the risk what they do is charge often charge 4-6 times the normal rate you may have paid had you gone through underwriting. By charging more you receive a policy relatively quick and easy, however in the eyes of the insurance company a person they must assume that you are a bigger risk even if you are not. What these companies often do is offer lower amounts of insurance with no exam as not to expose themselves to a high risk. It is also beneficial because 25,000 dollars worth of insurance at 4 times the going rate may come out to 20 dollars a month versus listing 100,000 dollars worth of insurance at 4 times the going rates can easily cost over a $100 dollars a month with no exam.

Often times people will actually opt for the smaller amount of insurance to save them self the time with an exam. What you are really doing is similar to eating out versus cooking at home. You are paying more money each month in exchange for convenience however on a large scale. Depending on your situation it may be beneficial to just answer the questions and pay more to get that peace of mind right away. on the other hand you may want to go forward with a policy that requires an exam. Financial the policy with the exam cost several times less. You get a free exam that will let you know your cholesterol if you are pre-diabetic etc. The main thing here is that you can get a lot more insurance for your money going through underwriting. Similar to how car insurance companies charge people more for having bad driving records they also charge smokers and people in poor health more for their insurance. If you have a clean bill of health you pay less the same way you would for car insurance with a clean driving record. The main difference here is that when you answer the questions without the exam you are often paying for one size fits all underwriting which often the same as paying the same car insurance premium as someone with a bad record. In some cases having a blanket premium may be cost effective if your health is not the best it could be. However if you are young and healthy; underwriting and exams may be the way to go.

Next post will answer another popular question I have been asked which is "What does the exam entail?



Medini Financial recommends each person evaluate their individual circumstances and to speak with an insurance or financial professional before making any decisions for or against a policy. This information is for educational purposes. Medini Financial is licensed with the Pennsylvania Dept of insurance.