Which type of insurance requires medical underwriting?

Medical underwriting is a process where an insurance company assesses an applicant's medical history and health status to determine their risk profile and eligibility for coverage. Term life insurance typically requires medical underwriting because it is designed to provide coverage for a specific term (e.g., 10, 20, or 30 years) and the insurer wants to understand the health of the applicant to appropriately assess the risk associated with offering that coverage.

In the context of bestowing term life insurance, insurers evaluate various health factors, such as existing medical conditions, lifestyle choices, and family medical history, to decide premium rates and coverage terms. This thorough assessment ensures that the insurer can maintain a sustainable business model by accurately pricing the insurance based on the risk involved.

Guaranteed issue life insurance, on the other hand, does not require medical underwriting, as it is designed to provide coverage without health questions or exams, making it accessible to individuals regardless of their health status. Meanwhile, pre-existing condition insurance specifically focuses on covering individuals with existing health issues, often with limitations, and may not involve traditional underwriting processes. Universal life insurance, while it may involve some forms of assessment, often has flexibility in premium payments and could offer guaranteed coverage under certain conditions, thereby not consistently requiring medical underwriting similar to term