For individuals with health issues, which type of plan would be considered?

• A. Group
• B. Individual
• C. Annuity
• D. Universal life

Answer: (A)

When people have health issues, the way life insurance is underwritten matters a lot. Group life insurance works through a master policy owned by an employer or association and covers many individuals under that single contract. Because the coverage is issued to the group rather than each person individually, the underwriting is less strict on a per-person basis. Many group plans guarantee eligibility up to a set amount and require little or no medical exam or health questions, which makes them more accessible to someone with health concerns.

In contrast, an individual life policy is underwritten medically on the person seeking coverage, so health problems can lead to higher premiums or even denial. A universal life policy is a type of individual life insurance with flexible premiums and cash value, but it still undergoes individual underwriting. Annuities are retirement-linked products that don’t function the same as life insurance protection.

So for someone with health issues, a group plan is the most suitable option among the choices.