8. Mandatory in Person Medical Exams as Further Means to Verify Identity and Consent
Medical examination requirements ushered in evidence-based underwriting, with decisions based on verified medical data, not just applicant statements. Insurers also established medical underwriting departments, staffed with physicians and analysts trained to evaluate health risk profiles. They review applications and medical records to ensure accuracy and detect red flags, such as signs of terminal illness or inconsistent medical histories.
Mandatory exams also made it more difficult to insure someone without their knowledge. Insurers now require applicants to appear in person for medical assessments, which helps verify identity and consent – another safeguard against the kind of fraud seen in Malloy’s case. Sparked by the failures exposed in the Malloy case, these reforms created a more secure and ethical insurance process, protecting both insurer and insured from exploitation.
