Comprehensive Principal No Exam Life Insurance Review [2019 Update]

Written by Heidi Mertlich

Principal, a highly rated life insurance company, offers Accelerated Underwriting (a kind of no exam life insurance, so to speak) for some of their term life insurance products.

Term life insurance can offer you the financial protection you need down the road, so you can focus on living your best life now. – Principal

What exactly is Accelerated Underwriting? Principal’s Accelerated Underwriting is their multistep process to streamline life insurance applications. For many, it will mean you get to skip the medical exam portion of your life insurance application.

How is Accelerated Underwriting different than unequivocal No Exam life insurance? Principal’s Accelerated Underwriting is different than a true no exam life insurance product because you have to qualify for the option to skip the medical exam.

You’ll want to be knowledgeable of Principal’s life insurance products and process before making a purchase.

Here’s why – Each no exam life insurance company has unique policy features and each company uses their own process to underwrite (assess risk) applications. Familiarize yourself with the top-rated no exam life insurance companies to verify you’re selecting the best policy to fit your needs.


Table Of Contents

  1. Company History
  2. No Exam
  3. Application Process
  4. Quotes
  5. Bottom Line
  6. Apply

Principal Life Insurance Company Historyprincipal

Established in 1879 and headquartered out of Des Moines, Iowa, Principal Life Insurance Company has an impressive history of providing life insurance coverage to Americans.

Edward Temple, a banker from Chariton, Iowa and Principal’s founder, originally named the company, Bankers Life Association. In 1985, their name was officially changed to The Principal Financial Group.

Interesting fact – Initially, Principal only offered life insurance to healthy men between the ages of 22 – 55.

Today, Principal is a member of the Fortune 500. They have been named one of the World’s Most Ethical Companies and one of America’s Best Employers (as defined by the Ethisphere Institute and Forbes, respectively).

With over $600 billion of assets under management, the company’s financials represent strength and growth.

Financial Strength Rating: A+ (A.M. Best)

Overview Of Principal’s No Exam Life Insurance

Let’s consider the most important aspects of Principal’s no exam life insurance:

principal

*Policy features subject to change. Availability may vary by state.

Put the following questions at the top of your list for comparing no exam life insurance products:

  • Wait time – How long do you have to wait for your life insurance to be issued after you’ve submitted your application?
  • Issue ages – What is the age range of applicants the life insurance company is willing to insure?
  • Policy amount – How much life insurance can I purchase?
  • Policy length – How many years can my policy last?
  • No Exam – What is the company’s no medical exam underwriting process?

So, how does Principal measure up?

Wait Time

Principal accepts electronic applications, like most no exam life insurance carriers.

Your wait time could be as little as 48 hours for life insurance approval. Think of this as a best-case scenario.

If you do not qualify for Accelerated Underwriting, your wait time can increase to weeks.

Issue Ages

Principal offers no exam, term life insurance coverage to applicants between the ages of 18 – 60 years old. This age range is fairly standard for no exam policies.

Policy Amount

Principal’s no exam policies start at $50,000 and cap at $1,000,000.

In fact, Principal is one of the few life insurance companies that offer million dollar no exam life insurance.

Policy Length

Principal’s no exam, term life insurance can be purchased for policy lengths of 10, 15, 20 and 30 years.

Also – Consider Available Riders

What are life insurance policy riders? Riders are provisions to your life insurance contract that provide additional benefits.

For an additional cost, you may add on the following riders to your Principal term policy:

  1. Accelerated Benefits: The option to accelerate a percentage of your death benefit should a qualifying need arise.
  2. Children’s Term: Allows you to add term life coverage for your child onto your policy.
  3. Waiver Of Premium: If a qualifying need occurs, the ability to keep your policy in force while stopping premium payments for a specific period of time.

No Exam 

In essence, no exam life insurance is life insurance issued without the medical examination of the applicant.

No exam means you skip:

  • Nurses
  • Needles
  • Liquid samples

Concerning Principal, you must qualify for the opportunity to skip the medical examination (they call it Accelerated Underwriting).

Let’s examine their application process to find out the likelihood of you qualifying for their Accelerated Underwriting

Principal Term Life Application Process

About 50 – 60% of applicants will qualify for Principal’s Accelerated Underwriting, meaning that they get to skip the medical examination.

Here are the steps to determine if you qualify:

principal

*Subject to change

Let’s break down these steps:

1st – Electronic Application

Your life insurance application will be submitted electronically (almost all life insurance carriers accept electronic applications). Collaborate with an independent life insurance agent.

Why? Independent agents are not held captive to a particular carrier. They will have your best interest at heart.

2nd – Phone Interview

Expect a 20 – 30 minute phone conversation.

You will be asked specific questions about your health, occupation, and lifestyle as a screening process for their Accelerated Underwriting.

Specifically, you will want to be able to answer, “No” to the following questions in order to qualify:

  • For ages 18 – 44, is your BMI (body mass index) below 18 or above 29?
  • For ages 45 – 60, is your BMI below 18 or above 30?
  • Do you have a major medical condition, including, but not limited to:
    • Alcoholism, drug abuse, heart disease, cancer, multiple sclerosis, rheumatoid arthritis, lupus, stroke, ulcerative colitis, hepatitis, kidney disease, hypertension, Parkinson’s disease?
  • Is your blood pressure more than 134/84?
  • Is your total cholesterol more than 240? Is your cholesterol/HDL ratio more than 4.5?
  • For non-tobacco rates, have you used a tobacco product within the last 24 months?
  • Has a parent or sibling died before the age of 60 as a result of cardiovascular disease, stroke, or diabetes?
  • Has a parent or sibling died before the age of 60 as a result of breast, colon, ovarian or prostate cancer?
    • Note – Disregard for cancers of a family member of the opposite sex, except for colon cancer. Disregard if cancer pertains to only one family member and you have had regular check-ups that focus on early diagnosis.
  • Have you filed for bankruptcy within the last 5 years?
  • Have you used marijuana within the last 5 years?
  • Have you been issued a DUI within the last 5 years, a reckless driving citation within the last 2 years, or more than 2 moving violations within the last 3 years?
  • Have you been convicted of a felony within the last 10 years?
  • Have you had life, health or disability insurance declined, ridered, or rated?
  • Have you made an informal request to Principal within the last 24 months?

If would answer, “Yes” to any of the above questions, you will almost certainly not qualify for Principal’s Accelerated Underwriting.

3rd – Underwriter Review

Your underwriter (their job is to evaluate risk) will review the primary components of your application:

  1. Electronic application
  2. Phone Interview
  3. Records:
    1. Department of Motor Vehicles (DMV) – your driving record
    2. Pharmacy database – a history of your prescriptions
    3. Medical Information Bureau (MIB) – records of previous insurance applications

4th – Decision

Based on their review, your underwriter will make one of two decisions*:

  1. Approved – You are approved for Accelerated Underwriting and your policy is issued
  2. Medical Underwriting – Your application indicates that you will need to participate in a paramedical exam before your policy can be issued.

*Note – Sometimes, during steps 1 – 3 of the application, it will be determined that you do not qualify for Principal’s term life insurance. If so, we can explore other life insurance options for you.

Bottom line – Principal’s no exam term life insurance works best if you are quite healthy. If you are not in excellent health, and are committed to not being poked with a needle, there are a number of no exam life insurance companies for you to consider.

Principal Term Life Quotes

Principal does not distinguish between their Accelerated Underwriting and fully underwritten term life insurance products in pricing.

Let’s consider some sample quotes:

principal

*Monthly premiums. Quotes provided are based on limited input. Quotes are for informational purposes only. Your rates may vary.

principal

*Monthly premiums. Quotes provided are based on limited input. Quotes are for informational purposes only. Your rates may vary.

Quotes displayed are for healthy individuals who qualify for the Preferred Plus (lowest cost) health class.

Bottom Line

Principal’s Accelerated Underwriting program can be a good fit for some.

Typically, Principal works best for someone:

  1. in excellent health
  2. wanting a large no exam term policy (up to 1 million)

Keep in mind – While Principal’s rates are competitive, you will need to qualify for the ability to skip the medical exam.

How To Apply

Plan to do two things to apply for life insurance without a physical:

  1. Partner Up – collaborate with an independent life insurance agent (that’s us). That way, your best interest is at heart. An independent agent will have access to the top-rated life insurance companies to find the best policy to fit your needs. They’re not held captive to a particular carrier.
  2. Prep – be ready to complete your application by having your important information readily available. You will want to write down your medical history, occupation information, and any lifestyle information that would affect underwriting.

To get started, simply fill out our instant quote.

About No Physical Term Life
About No Physical Term Life

We’re an independent life insurance agency that specializes in no exam life insurance. We’re licensed in all 50 states and can help you directly over the phone or even by email if you’d like (just fill out a quote form and you’ll get an email from us).

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