3. Underwriting Explained

Underwriting is the process of evaluating the risk posed by a client. The insurance company will decide through underwriting:

  • whether to take on the risk
  • how much coverage will be available to a client
  • how much they will charge to take on that risk


If you’re generally healthy, underwriting is your friend. You want to be able to communicate your good health as much as possible – through:

  • health questionnaires
  • blood and urine tests
  • doctors reports, etc.


Some or all of these are what go into the full underwriting process. We have an article outlining which you should expect for your policy.


Health Complications?

If your health is below average, underwriting may still be beneficial. Instead of assuming the worst case, the insurance company may decide you are below average but far from the bottom, and your price will be reflected in that.


Instant Insurance

Instant, online insurance is not fully underwritten. Instead, risks and rates are blended together to come up with an average price to charge. For those with average or above average health, this is not a good deal. But for those with high risk factors, instant insurance may provide the most affordable price.


We offer both, instant and fully underwritten life insurance, so that everyone can get the best deal!