What is a defining characteristic of underwriting group coverage?

The defining characteristic of underwriting group coverage is that it is typically issued without medical underwriting. This means that, for most group insurance plans, individuals do not need to undergo extensive health examinations or provide proof of insurability to obtain coverage. Instead, the insurance is usually offered to all members of the group, such as employees of a company, regardless of their individual health status. This approach is intended to make insurance more accessible and affordable for groups, as it avoids the complexities and potential exclusions that might arise from assessing individual health risks.

In group coverage, the risk is pooled among all members, which allows the insurance provider to spread the risk more broadly and manage it effectively, often leading to lower premiums for participants. This also contrasts with individual insurance policies, which typically require detailed medical underwriting to assess the risk associated with each applicant.