Why it matters
Full underwriting takes longer, but it can give the lowest rates and the highest coverage amounts for healthy applicants. The insurer places the applicant in a risk class, such as preferred or standard. Results depend on age, weight, tobacco use, medical history, and family history. Applicants with health issues may get a rated policy or a decline. Because each carrier weighs risks differently, agents often shop several carriers to find the best fit.
Source: naic.org