The life insurance application process is a necessary part of getting coverage. However, a typical life insurance application can take about four to six weeks to process. That time period creates a gap between when you need life insurance coverage and when your coverage officially starts or is in force.
But there are ways to protect your family financially during this waiting period. Temporary life insurance coverage and policies with a quicker turnaround time for application decisions offset the risk of a coverage gap.
Key takeaways
The waiting period for a standard life insurance application is four to six weeks on average, but it can be longer.
Temporary insurance pays out to your beneficiaries if you die during the waiting period.
Accelerated underwriting and final expense life insurance policies offer almost immediate coverage.
What is the waiting period in insurance?
The waiting period in life insurance is the time between when you initially apply for a policy and when your life insurance coverage begins.
The waiting period happens because insurers need to evaluate your background and health profile to determine how much you’ll pay for your policy.This evaluation process is called underwriting.
During this waiting period, you don’t have life insurance coverage and if you die, beneficiaries won’t receive any life insurance money.
Once you’re approved for coverage, you’ll need to pay your first policy premium and sign your life insurance policy for the waiting period to end. At that point, your coverage will be active and if you die, your beneficiaries will receive the payout.
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How to avoid the waiting period
You can get a life insurance policy without undergoing the waiting period — here’s how:
Purchase temporary coverage while you wait for your actual policy to become active. The cost of temporary coverage is based on your quoted premiums. So, if you were quoted $30 per month for your policy, you’d pay $30 for temporary coverage.
Buy a no-medical-exam life insurance policy that skips the medical exam, which speeds up the application process.
Get a policy with no waiting period by purchasing accelerated underwriting life insurance, which offers an application decision almost immediately.
→ Learn more about how to buy life insurance
The waiting period for insurance payouts
The waiting period also can refer to the time between when your beneficiaries submit a death claim form and the time they receive the actual payout. Processing the death claim can take as little as two weeks and as long as two months, after which the life insurance company will pay out the death benefit.
Most payouts happen less than 30 days from when you file the claim. If your family will need immediate financial support, consider creating a contingency plan, like a savings account they can immediately access, while they wait for the funds.
The life insurance waiting period can have some serious consequences for your beneficiaries, but you can take steps to ensure that your family is financially protected.
If you choose to get temporary life insurance during the application process or opt for a no-medical-exam policy, your coverage will begin much more quickly.
More about the life insurance application process
Questions to expect from a life insurance phone interview
What is evidence of insurability (EOI) for life insurance?
Why do life insurance companies need my Social Security number?
What are life insurance classifications?
Everything you need to know about the life insurance medical exam
What is the MIB?
Why does a life insurer need an attending physician statement (APS)?
Should you backdate your life insurance policy?
What do I do if my life insurance application is declined
What is a modified life insurance offer or approved other than applied?
How to pay for life insurance
Does your credit score affect your life insurance premiums?
How to lower the cost of your life insurance premiums
What is the free look period?
What happens if you lie on your life insurance application
Types of life insurance fraud
Buying life insurance and disability insurance at the same time
How to buy additional life insurance
What does a life insurance agent do?
How do life insurance companies make money?
Frequently asked questions
What is the meaning of waiting period in insurance?
The waiting period in insurance is the time between applying for coverage and getting that coverage in force. You do not have insurance coverage during this waiting period.
Why do companies have a waiting period for insurance?
The waiting period is in place so the insurance company can conduct a thorough evaluation of your background. This allows the company to determine the risk of insuring you before they make you a formal offer.
How long does it take for benefits to start?
Depending on the policy you apply for, your life insurance coverage can begin immediately after you apply. For some companies, it can take six weeks or more for you to receive an offer of coverage.
Can I get life insurance with no waiting period?
There are life insurance policies available that offer coverage without a medical exam or waiting period. These policies have different eligibility and coverage parameters than typical life insurance policies. A licensed advisor can help you determine your eligibility.
Authors
Senior Editor & Licensed Life Insurance Expert
Nupur Gambhir is a licensed life, health, and disability insurance expert and a former senior editor at Policygenius. Her insurance expertise has been featured in Bloomberg News, Forbes Advisor, CNET, Fortune, Slate, Real Simple, Lifehacker, The Financial Gym, and the end-of-life planning service Cake.
Associate Editor & Licensed Life Insurance Agent
Tory Crowley is an associate editor and a former licensed insurance agent at Policygenius. Previously, she worked directly with clients at Policygenius, advising nearly 3,000 of them on life insurance options. She has also worked at the Daily News and various nonprofit organizations.
Editor
Associate Content Director
Antonio helps lead our life insurance and disability insurance editorial team at Policygenius. Previously, he was a senior director of content at Bankrate and CreditCards.com, as well as a principal writer covering personal finance at CNET.
Expert reviewer
Certified Financial Planner
Kristi Sullivan, CFP®, is a certified financial planner and a member of the Financial Review Council at Policygenius. Previously, she was a regional consultant at Fidelity Investments for nine years.
Questions about this page? Email us ateditorial@policygenius.com.
I'm Nupur Gambhir, a licensed life, health, and disability insurance expert with a deep understanding of the life insurance application process. My expertise has been acknowledged by major publications, including Bloomberg News, Forbes Advisor, and Fortune. Having served as a senior editor at Policygenius, I've provided valuable insights into the intricacies of insurance.
The article you provided addresses a critical aspect of life insurance—the waiting period between application and coverage initiation. This waiting period, typically lasting four to six weeks, stems from the necessary underwriting process. Insurers evaluate your background and health profile to determine the risk and premium for your policy.
During this waiting period, beneficiaries are without coverage, and if an unfortunate event occurs, they won't receive the life insurance payout. The article suggests several strategies to bridge this coverage gap. Temporary life insurance coverage, which pays out if you pass away during the waiting period, can be purchased. Additionally, policies with accelerated underwriting or final expense coverage provide almost immediate protection.
To delve further into the waiting period, it's important to understand that it refers not only to the time between application and coverage initiation but also to the period between submitting a death claim and receiving the actual payout. This secondary waiting period can last anywhere from two weeks to two months, with most payouts occurring within 30 days of claim submission.
The article emphasizes the potential consequences of the waiting period for beneficiaries and suggests proactive measures. Creating a contingency plan, such as a readily accessible savings account, can provide immediate financial support while waiting for the insurance funds.
For those looking to avoid the waiting period, the article suggests purchasing temporary coverage based on quoted premiums or opting for a no-medical-exam life insurance policy. Accelerated underwriting processes offer quick application decisions, ensuring coverage begins almost immediately.
In addition to the waiting period, the article touches on various aspects of the life insurance application process, including topics such as types of insurance fraud, the significance of an attending physician statement (APS), and questions to expect during a life insurance phone interview.
To sum up, the waiting period in life insurance is a crucial phase, and understanding how to navigate it is essential for ensuring financial protection for your beneficiaries. Whether through temporary coverage, accelerated underwriting, or other strategies, proactive measures can mitigate the risks associated with this waiting period.
