Health risks are a big consideration in life insurance underwriting. If an individual seeking a policy does not exercise regularly or suffers from chronic health conditions, the rate they get may be higher than what other consumers see.
Why? Because the risk involved in issuing a policy to that individual is higher for the insurer.
One might then assume that healthy people would be able to translate their lower risk into greater savings, but that’s not often the case.
Health IQ was founded on the principle that healthy people are paying more than they should for life insurance.
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What Is Health IQ?
Health IQ life insurance utilizes an advanced underwriting system that the company says more accurately measures and analyzes health-related risk, allowing it to offer substantial cost savings to people who maintain active lifestyles and good health.
The Silicon Valley startup combines technology and customer experience to offer customers quality policies and service.
How Does Health IQ Work?
Health IQ does not provide the insurance policy directly to the consumer — i.e. it would not pay out claims. Rather, Health IQ is a broker that connects buyers and insurers, selling policies from more than 30 highly rated companies such as Prudential, Assurity, SBLI, and Ameritas.
Individuals can buy life insurance, disability insurance, and health insurance through Health IQ. The value is in its underwriting and pricing services, which deliver the savings to healthy consumers. For this, Health IQ has garnered mostly positive feedback from customers; it also boasts accreditation by the Better Business Bureau.
Policy Options with Health IQ
It helps healthy-conscious people get the best rate by factoring in their active lifestyles and shopping its underwriting to insurer partners. Consumers have a few different insurance options when purchasing through Health IQ. They can find the following policies:
- Life insurance: Health IQ life insurance can help you protect your family from financial troubles if you pass and they can no longer count on your income. This is important if you have a mortgage, car loan, or high-interest debt to pay. Health IQ does not indicate what life insurance policies it offers — term, whole, universal — but inquiring with their agents can clear it up for consumers.
- Life insurance for well-managed diabetes: Diabetes is one chronic condition that often leads to higher rates or rejected applications for life insurance. Health IQ offers individuals with the disease an option for finding coverage as a cost-effective rate.
- Disability insurance: If a workplace accident leaves you unable to work for an extended period of time, that means lost income. Disability can help cover short-term costs until you are able to return, but is not intended for those with permanent disabilities.
- Health insurance: Health IQ allows consumers on its site to shop through health insurance policies and rates to find coverage with the right benefits and doctors in-network.
Health IQ Life Insurance Riders
Life insurance riders are adjustments to the base coverage that you can obtain to either extend your coverage or accelerate a death benefit. Other riders include discounted access to services or other value-adds.
There are many common riders available to policyholders, but Health IQ does not include information on such options, likely because it is only the broker that sells policies from other insurers. However, contacting a Health IQ agent to inquire about rider availability can’t hurt.
Company Ratings & Financial Strength
Financial strength is important to consider an insurance provider. The whole reason you have insurance is so that your family will not undergo financial difficulty after you pass. However, if the provider is not stable, it may struggle to pay out claims.
There are several rating companies that assess financial strength of organizations and institutions, like Moody’s, Standard and Poor’s, and AM Best, which specializes in the insurance industry. Health IQ is not rated by these companies, but the insurers it works with are.
Health IQ has a strong reputation for customer service despite being a relatively young company.
It has been accredited by the Better Business Bureau since the year it started, 2016, and receives a letter grade of A+. Reviews of the company on Trustpilot reinforce the general positive feeling consumers have toward the business and brand: 98% of consumers rated their experience with Health IQ as excellent or great.
Health IQ Life Insurance Quotes
Consumers can get a free quote online from Health IQ after inputting some basic information like area, age, and sex. The application and qualification process, however, are more involved, since it involves proving that you are as healthy or active as you indicate in your answers.
The way Health IQ works is it offsets traditional risk factors in underwriting by ensuring an applicant’s healthy lifestyle, which in turn earn the consumer credits to lower the cost of insurance.
The Health IQ life insurance application process is three-part:
- Evaluate your health: This includes answering questions to evaluate your current health. You can complete the medical exam in your own home free of charge.
- Test health literacy: Part of the formula for Health IQ’s underwriting is factoring in your knowledge of healthy behavior. To test this, you’ll need to complete a Health IQ quiz and Healthylifestyle IQ quiz.
- Verify lifestyle: To ensure applicants are as healthy as they say they are, Health IQ will require you verify your healthy lifestyle. This will depend on what lifestyle you pursue, as Health IQ rewards people for swimming, cycling, running, vegan eating, yoga practice and other activities. You may be asked to run a mile or compete in a swim meet.
Similar to riders, discounts on life insurance policies are often made available. Sometimes, a large insurer may offer consumers a discount if they bundle together policies across various lines of insurance, such as home, auto, and life. Health IQ does not have information on discounts that consumers can, but does include various evidence and examples for how it can deliver cost savings to consumers through its health-focused underwriting.
- Homepage URL: https://www.healthiq.com/
- Company Phone: (800) 549-1664
- Headquarters Address: 2513 Charleston Rd #102, Mountain View, CA 94043