Insurance

How Instant Issue Life Insurance Works?

Life is a riddle. Life is sudden and impulsive. Life is fragile and unpredictable.

Surprising us with the most unexpected of events, one thing we are damn sure about is one day ‘It WILL End’. How, when and where is a matter, best left to time!

It’s indeed a morbid fascination to ponder over, but if  you are the sole breadwinner of your family or if there is anyone out there whose life will affect as you leave for heavenly abode, then its high time, you pay heed to purchasing an Instant Life Insurance Coverage. Like, any other Insurance, it is a safe valve protection for your loved ones against the uncertain.

Instant Issue Life Insurance Works

What is Instant Issue Life Insurance?

An Instant Issue Life Insurance is a mutually decided agreement (without the need of taking any medical exam) between its policyholder and the insurance company  where the holder pays a premium as part of the contract to the company on a regular basis whereas the company is liable to pay a lump sum figure to the beneficiaries after the death of payee to provide for their necessities. The fixed amount has to be paid monthly, quarterly, annually or even for the entire lifetime as per the signed contract.

How it Works?

Thereafter, Instant Issue Life Insurance companies invest these premiums in their quest to make profits so as to earn more revenues than what they actually need to pay the beneficiaries as part of the death claim. Customers who stop paying premiums are of equal importance as the company profits from their invested money- even though their agreement has lapsed.

Important Considerations while Selling and Purchasing the Instant Issue Insurance Policy

Risk calculation is a big loophole for the Instant Insurance company to fill. For this end to achieve, the buyer will be expected to undertake a comprehensive medical examination, present credit histories and driving records, fill questionnaires related to their lifestyle, hobbies and travelling routine so as to evaluate whether the applicant should be approved or rejected for the policy. And more importantly, what amount of premium must he/she be charged if approved- which also relies greatly on the age, sex and family size of the buyer.

However, in today’s contemporary world, an innovative concept of INSTANT ISSUE Term Life and Whole Life Insurance has emerged  using state-of-the-art technology-  to save you the hassle of undergoing the conventional, exhausting procedure. (For more info visit

It is also essential to note that the claim for death benefits made by the beneficiaries can be denied under certain circumstances by the Company, like where the insurer has committed suicide, or the provision of false information at the time of application (for instance, fake medical reports) or even when the company is sceptical of the claim being illicit or deceitful.

Similarly, certain significant parameters needs to be considered on the buyer’s end as well while shopping for instant life insurance. Purchasing the policy certainly relies on factors like your number of heirs or dependents, number of lifelong dependents (disabled children or parents),  your income, your overall financial stability, your unpaid mortgage figure, your debt amount and the interest payable.

The Bottom-Line

All in all, buying an instant issue life insurance is a widely used practice now throughout the globe as it provides financial safety to your dependants after your demise which they can tactfully spend on funeral costs, mortgage payments, educational expense, house rent or any other expense, as they depart on their independent journey to a prosperous life. At the same time, the role of Life Insurance as a prime driving force of your Savings Vehicle, can not be ignored.