Simplified Issue

Full Definition

Simplified Issue (SI) is a category of life insurance underwriting that uses a short health questionnaire (10–30 yes/no questions) in place of a paramedical exam and blood work. Applications are typically approved or declined within 24 hours using MIB (Medical Information Bureau), prescription history, and MVR checks. SI is the underwriting standard for most Final Expense whole life and for a growing share of mid-market term sold digitally. Face amounts are typically $5K–$50K for Final Expense SI and up to $500K for accelerated-UW mid-market SI. Premiums are higher than fully-underwritten policies for the same face amount because SI is a looser risk pool, but issue speed and absence of an exam drive higher conversion on leads.

Example

A 65-year-old Final Expense applicant answers 12 health questions, discloses Type-2 diabetes controlled with Metformin, and is approved for a $15,000 Level whole life policy within 6 hours without a medical exam.

Related Terms

• Guaranteed Issue — Life insurance with no health questions and guaranteed approval, typically with a 2–3 year graded death benefit for non-accidental death.
• Final Expense Insurance — Small-face-amount ($5K–$40K) whole life insurance designed to cover funeral, burial, and end-of-life costs for consumers age 50–85.
• Whole Life Insurance — Permanent life insurance with fixed premiums, guaranteed cash value growth, and a guaranteed death benefit — the product behind most Final Expense sales.

Where This Applies on InsureLeads

• Medicare Leads
• Final Expense Leads
• ACA / Health Leads
• IUL Leads