What does successful completion of the medical exam lead to in life insurance?

Successful completion of the medical exam typically leads to final approval of the insurance application. This process is crucial in the underwriting phase of acquiring life insurance. The medical exam provides underwriters with valuable information about the applicant's health status, allowing them to assess the risk associated with issuing a policy. If the results indicate that the applicant is in good health and fits the insurer's risk profile, final approval is granted, and the policy can be issued according to the terms outlined in the application.

Other options do not accurately represent the outcome following a medical exam. Increased premiums would generally depend on the applicant's health status and risk assessment, rather than being an automatic consequence of passing the exam. Permanent exclusion from future coverage would be an extreme measure not typically taken based on a successful medical exam. Lastly, immediate payout of benefits is not a result of completing the medical exam; benefits are paid out only after the policy is in force and the insured event occurs, such as the death of the insured.