We offer life insurance products from over 40 companies in the US. We like to provide company reviews for consumers on many of the companies that we work with. In this blog we will be discussing Foresters Financial. The company has been around for many years and has an excellent reputation for taking care of its clients. We will give a brief background of the company and discuss two of its popular life insurance products; Your Term Life Insurance and Plan Right Whole Life product that is designed to help with final expenses. Here is our Foresters Life Insurance Company Review.
Stents have become quite common these days to treat cardiovascular disease. In fact, almost 1 million stents are placed each year in the US. If you’ve had a stent or multiple stents placed, you probably think that you can’t get life insurance. The good news is that you may qualify for affordable life insurance rates if you’ve had a stent procedure. But before you apply for life insurance with a stent, make sure you understand exactly what the life insurance company needs to know in order to make a decision on your case. Here is everything you need to know about life insurance for people with stents.
SBLI Accelerated Underwriting Term Life Insurance Review
Fully underwritten life insurance can take months for approval in many cases. SBLI has created one of the strongest accelerated underwriting term life insurance products on the market today. SBLI’s accelerated underwriting term life insurance product offers a simple application process which is fully underwritten but offers quick approval time and rates that are competitive. If you are looking for life insurance coverage of $500,000 or less and you want a simple application process, you really need to give serious consideration to SBLI’s accelerated underwriting term life insurance. Here is our SBLI accelerated underwriting term life insurance review.
Most life insurance applicants know that life insurance underwriting involves many health related questions as well as an abbreviated medical exam. After all, your overall health is the major determining factor of your health class rating. Did you know that in addition to your overall health, life insurance companies will review many more factors such as your occupation, hobbies and even your driving record? The goal is to better determine if you’re a risky applicant. In this post, we will focus on how your driving record affects your life insurance rates.
According to the American Cancer Society, one in six men will be diagnosed with some form of prostate cancer. The good news is that prostate cancer is one of the most treatable forms of cancer and has a very high survival rate. When you are shopping for life insurance with prostate cancer, it is important to understand how life insurance companies will rate your case. They will look at factors such as your age of diagnosis, stage of cancer, treatment received, your PSA and any other health factors. Here is what you need to know about life insurance with prostate cancer.
Honesty on Your Life Insurance Application is the Best Policy
When you apply for life insurance, a good part of your life is put under the microscope during the underwriting process. Insurance companies will look at everything from your health to your hobbies. Life insurance companies leave no stone unturned when determining your health class rating so it is best to always tell the truth on your application. If the life insurance company feels that you have lied or misrepresented yourself on your application, they could refuse to pay your death benefit if you pass away. Here’s why Honesty on your life insurance application is the best policy.
Life Insurance with Elevated Liver Function
Liver function tests are commonly administered when you apply for fully underwritten life insurance. Elevated liver function can signal specific health issues or impaired liver function. If you have elevated liver function, the good news is that you may still qualify for ‘Preferred’ health class ratings with some life insurance companies. If you’ve been declined for life insurance or received a substandard health class due to elevated liver function, it definitely makes sense to get a second opinion. Here is what you need to know about life insurance with elevated liver function.
Life Insurance for Smokeless Tobacco, Vape, Pipe and e-Cigarette Users
If you didn’t already know it, life insurance coverage for tobacco users costs much more than coverage for those who do not use tobacco. In most cases, it will be more than double the cost. But how do life insurance companies define “tobacco use”. Most of the companies out there are very strict when it comes to underwriting applicants who use tobacco. They only offer smoker rates for applicants who use ANY kind of tobacco. The good news is that there are a handful of life insurance companies out there that will allow non-smoker rates for those who use smokeless tobacco, pipes, vapes and e-cigarettes. Here is what you need to know about life insurance for smokeless tobacco, pipe, vape and e-cigarette users.
How to Choose the Right Life Insurance Company
How to Choose the Right Life Insurance Company
With so many life insurance companies to choose from, finding the right company for your situation can be a bit overwhelming. It is important to choose the right life insurance company considering the fact that you will most likely have your life insurance policy for a long time. Choosing the wrong company could lead to paying higher premiums than necessary and other problems the down the road. We’ve outlined some improtant factors to consider that will help make the decision process easier when determining how choose the right life insurance company.
Now is the Best Time to Buy Term Life Insurance
There has never been a better time to buy term life insurance. It seems almost every month we are getting a notice that some company has dropped its rates. Most companies are trying their best to provide the most competitive rates in order to get more market share. This is great news for consumers as term life insurance rates have never been lower. Not only that, many life insurance companies have tried to streamline their application and underwriting processes to make the process of purchasing life insurance easier for consumers. Here is why now is the best time to buy term life insurance.
Uninsurable Medical Conditions for Life Insurance
Life insurance underwriting has come a long way over the years. As medicine and medical technology in general have improved over time, it has become somewhat easier to get affordable life insurance rates with moderate health issues. That’s the good news. The bad news is that in certain instances, you will automatically be declined for life insurance if you have certain medical conditions. Before you consider applying for life insurance, it is important to know if your medical condition makes you uninsurable. Here is a list of some medical conditions that could make you uninsurable for life insurance.
Life Insurance and Bankruptcy
Filing for bankruptcy is sometimes the best and fastest way for a debtor to recover from a financial hardship. Most people don’t know that a bankruptcy on your credit report could make you uninsurable in certain cases when it comes to life insurance. It really depends on the type of bankruptcy and whether or not it has been discharged. If you have a bankruptcy on your credit report, you need to know your options when applying for life insurance. Our post will explain the important factors you need to know about life insurance and bankruptcy.
Life Insurance and Alcoholism
If you’re a recovering alcoholic and you are looking for life insurance coverage, the good news is that coverage is available in many cases. The bad news is that life insurance companies are pretty strict in how they view alcohol usage. Not only are there health risks associated with heavy alcohol usage, but there are also lifestyle risks as well. The key is to find the life insurance company that will be the right fit for your particular situation. If you regularly use alcohol or you are in alcohol recovery, you should be aware of your life insurance options. Here is what you need to know about life insurance and alcoholism.
Top 10 Best Life Insurance Companies
According to Archstoneinsurance.com
At ArchstoneInsurance.com, we have access to over 40 of the top life insurance companies in the industry. Although we consider all of these companies quality insurers, over time we have isolated our list of top 10 best life insurance companies. We considered a number of different factors such as cost, underwriting strengths, product features, product offerings and financial strength. Below is a list our list of top 10 best life insurance companies and the pros and cons to working with each. Keep in mind that each company has its own particular strengths, so our list below is in no particular order.
Life Insurance With Multiple Sclerosis
If you have multiple sclerosis, you might think that it is difficult or impossible to get life insurance. The good news is that you can get life insurance with multiple sclerosis. Your final health rating will ultimately depend on the severity of your multiple sclerosis. Since each life insurance company has its own underwriting guidelines, it is important to shop your case to find the company that will give you the best rating for your particular situation. Here is what you need to know about life insurance with multiple sclerosis.
Term Life Insurance with Living Benefits
One of the biggest knocks on term life insurance is that it only offers a benefit if you die. In other words, there are no living benefits while the policy is in force. Although that is the case for many term life insurance policies on the market today, there are some companies that offer term coverage that also includes benefits should you become terminally ill, chronically ill or suffer a critical illness. If you are looking for a term life policy with more comprehensive coverage, a policy with living benefits might make sense. Here is a general overview of term life insurance with living benefits.
Life Insurance if You Already Have an Existing Health Condition
Some people might be apprehensive about applying for life insurance coverage if they already have existing health condition. Many feel that their condition will make rates too expensive or that they are uninsurable altogether. The good news is that in many cases affordable life insurance rates are attainable even if you have a pre-existing health condition. Life insurance companies have come a long way in underwriting applicants with chronic illnesses, but it is important to know how you will be evaluated. Here is what you need to know about life insurance if you already have an existing health condition.
Still Don’t Have Life Insurance? What Are You Waiting For?
Still don’t have life insurance coverage? The good news is that now is an excellent time to get covered. We were recently notified that American General reduced the price of its already affordable Select-a-Term product. Other companies have also cut rates on term life insurance over the past year as well, including SBLI and John Hancock. The fact is that term life insurance rates have never been more affordable. A simple level term policy could help your loved ones replace your income and pay necessary expenses in the event that you are not around to provide for them. Still need convincing? Take a look at the statistics below. How would your loved ones cope with these obligations?
Life Insurance with Crohn’s Disease
If you suffer from Crohn’s disease and are in need of life insurance, you should be happy to know that affordable rates are available. Ultimately, your rate will depend on the severity of your particular condition. Life insurance companies focus on a few key factors when it comes to determining your health class rating for Crohn’s disease. The key to finding the best life insurance rates for Crohn’s disease is to shop your case to find the company that will view your particular situation most favorably. Here is what you need to know about life insurance with Crohn’s disease.
Life Insurance with Bipolar Disorder
According to the National Institute of Mental Health, roughly 5.7 million people in the United States suffer from bipolar disorder. Bipolar disorder can be a debilitating mental health issue if left untreated. But for those who are being treated for bipolar disorder, it can mean a normal, productive life. If you are looking for life insurance with bipolar disorder, you will be happy to know that affordable coverage is available in many cases. Your final health rating will depend on a number of factors surrounding the severity of your particular situation. In this post we will discuss what factors life insurance companies focus on when assessing applicants with bipolar disorder and what rating you can expect for life insurance with bipolar disorder.
Guide to Buying Life Insurance Online
The life insurance industry has evolved quite a bit over time. In the past, the process of buying life insurance usually meant visiting a local agent’s office and buying whatever product their company offered. In other words, your choices were limited in terms of advice and products. The internet has completely changed the landscape for buying life insurance – in a good way. The internet has now given consumers online tools to educate themselves and comparison shop before even speaking to an agent. This post will show you what to consider when buying life insurance online.
Is the Federal Employees’ Group Life Insurance Plan (FEGLI) Worth It?
Federal Employees’ Group Life Insurance plan or FEGLI for short is the largest group policy in the world, covering 4 million Federal employees and retirees, as well as many of their family members. Like other group policies, it allows employees to enroll in life insurance coverage without a medical exam. Group policies can be tempting because of the limited underwriting and the convenience of having premiums deducted right from your paycheck, but in most cases an individual policy will always be a better bet. In this post, we will help you decide if the Federal Employees’ Group Life Insurance Plan (FEGLI) is Worth It.
Converting Your Term Life Insurance Policy to Permanent Coverage
Most people overlook the importance of the conversion provision in their term life insurance policy. The conversion provision allows the term policyholder the opportunity to convert their term coverage to permanent coverage without proof of insurability. You might be wondering why you would ever need to convert your term coverage to permanent coverage. The fact is that there are several situations where a conversion would make a lot of sense. Here is what you need to know about conversion provisions and the process of converting your term life insurance policy to permanent coverage.
Life Insurance with Sleep Apnea
Sleep apnea affects more than 18 million people in the US, according to the National Sleep Foundation. It can cause serious health issues if left untreated. Underwriting life insurance with sleep apnea can be tricky, with health ratings ranging from the best available to being declined coverage altogether. Life insurance companies are very specific about what they look for in applicants with sleep apnea. If you are looking for life insurance with sleep apnea, it is important to work with an agent who knows which companies will rate your sleep apnea most favorably. Here is what you need to know about life insurance with sleep apnea.
Life Insurance and the Medical Information Bureau
If you’ve applied for life insurance in the last 7 years, the Medical Information Bureau (MIB) most likely has a file on you. You probably didn’t know that such a file existed or that the MIB existed for that matter, but the MIB plays an important role in the life insurance industry. It allows member insurance companies to exchange underwriting information between one another in an effort to prevent loss due to fraud or omission. But how does the MIB help the industry and consumers?
Life Insurance with High Blood Pressure
If you have high blood pressure and are afraid that you can’t get affordable life insurance, we have good news for you. Not only can you still get life insurance if you have high blood pressure, but in some cases you can even qualify for the best health rating. It will really come down to how well you are managing your blood pressure and if it is coupled with any other health issues. The key to getting the best rate for life insurance with high blood pressure is finding the company that will view your particular case most favorably. Here is what you need to know about life insurance with high blood pressure.
Product Review – John Hancock Vitality Program
John Hancock has teamed up with Vitality to introduce a new innovative life insurance program in the U.S. that integrates wellness rewards with life insurance coverage. The Vitality Program from John Hancock offers policyholders the opportunity to earn rewards for travel, entertainment, shopping and fitness as well as the opportunity to reduce premiums by simply living a healthy lifestyle. If you’re looking for more out of your life insurance coverage, John Hancock’s Vitality Program could be a good fit for you. Here’s how it works.
Life Insurance for Smokers
If you’re a smoker in need of life insurance, it is important to know that each life insurance company has its own criteria for rating smokers. Some companies are no nonsense and will view all applicants who use any type of tobacco products as smokers, while others will be more lenient. In fact, some companies out there will allow the “occasional” tobacco user, non-smoker rates. Smokers will pay much more for life insurance than nonsmokers – usually 3 to 5 times more. The key to finding the best life insurance for smokers is to use an agent who knows which companies view smoking most favorably. Here’s what you need to know about life insurance for smokers.
State Farm Term Life Insurance Review
When you think of State Farm, you probably think of the catchy slogan “like a good neighbor, State Farm is there” or those funny commercials featuring Aaron Rodgers. The fact is that State Farm is one of the most respected names in the industry when it comes to most personal insurance coverage. But we wanted to compare how State Farm’s rates for term life insurance compare to other companies out there. If you are considering buying life insurance through your local State Farm agent, read this blog first. We are going to take a look at how State Farm’s term life insurance stacks up to the competition.
What to Do If You’re Declined for Life Insurance
In our last post, we discussed common reasons for being declined life insurance. In this post we are going to discuss what to do if you’re declined for life insurance. Being declined for life insurance can be a stressful situation for most people. After all, how will you be able to financially protect your loved ones without life insurance? It is important to know that just because you were declined coverage by one company, that doesn’t mean another company won’t approve you. So if you’ve been declined for life insurance and aren’t sure what to do next, don’t panic. Read on and find out what you need to do if you’ve been declined for life insurance.
Common Reasons for Being Declined Life Insurance
Life insurance companies are very thorough in their approach to reviewing fully underwritten applicants. They look at many different factors from your health to your hobbies to determine your overall health class rating. If a life insurance company views you as too much of a risk to insure, it will will simply decline your application. It is important to know some of the more common reasons why a life insurance company might decline your application.
Life Insurance with Asthma
Affordable life insurance is an option for those who suffer from asthma. In some cases, those with mild asthma can qualify for preferred best rates. Ultimately, your health rating with the insurance company will depend on the severity of your asthma along with all of your other relevant health factors. Every life insurance company has its own underwriting guidelines for how it rates applicants with asthma. It is important to use an independent agent that can shop your particular case to multiple carriers to find the company that will best rate your asthma situation. Here is what you need to know about life insurance with asthma.
Is AICPA Life Insurance Worth It?
Like many other member associations, the American Institute of Certified Public Accountants (AICPA) allows its members the opportunity for group rates on various life insurance products. It might be tempting to go the group rate route for most people since it is usually easier to apply and requires less underwriting than traditional fully underwritten policies, but most group policies have drawbacks such as increasing premiums and limits on coverage. In fact, if you are willing to take the time to apply for a fully underwritten policy, you could save thousands over the life of your policy. Here is a look at how the AICPA’s term life insurance plans stack up against fully underwritten individual policies
What Personal Information is Required When You Buy Life Insurance?
When you apply for life insurance, you are required to provide quite a bit of personal information. While you are filling out the application, you might find yourself asking questions like “why do they need to know my social security number?” or “what does my driving record have to do with life insurance?”. As you can understand, the life insurance company is taking a risk whenever it provides coverage, so it will want to make sure that it has as much information as possible on you before it makes a decision on your health risk rating. This post will discuss the information a life insurance company will need from you in order to process a fully underwritten application and explain why certain personal information is needed.
Options When Your Level Term Premiums are About to Expire
When you buy a term life policy, you pay level premiums for the duration of the term such as 10, 15, 20, 25 or 30 years. You might think that your coverage simply runs out at the end of the chosen duration, but that is actually not the case for most term policies. Most term policies will allow you to continue coverage to age 95, but your premiums will increase annually after the level premium duration expires. If you are coming up on the expiration date of your life insurance policy and you still need coverage, you have a few options. Here’s what you need to know if your level term premiums are about to expire.
Life Insurance with COPD
If you are living with chronic obstructive pulmonary disease (COPD), you are not alone. According to the National Heart, Lung and Blood Institute, more than 12 million Americans have been diagnosed with COPD. It is estimated that another 12 million are thought to have undiagnosed COPD. COPD is a pulmonary disorder that ranges in severity. If you need life insurance but are suffering from COPD, you might think that life insurance coverage is out of the question. The good news is that depending on the severity of your COPD, you might be able to qualify for standard rates. Here’s what you need to know about getting life insurance if you have COPD.
Life Insurance with Anxiety Disorder
For those of you who have anxiety, the process of getting life insurance might seem a bit daunting. First off, you probably do not like to talk about your condition no matter how mild or severe it might be even though anxiety disorder is quite common. The other reason is that you might think it could prevent you from getting coverage or make coverage unaffordable altogether, so you don’t even bother applying. The fact of the matter is that those with mild anxiety can get preferred rates and even those with moderate anxiety can still qualify for standard rates. Your health class will ultimately depend on the severity of your anxiety and how it impacts your daily life. Here’s how it breaks down.
United of Omaha’s Fit Program Can Save You Thousands
On our blog, we always talk about how we can save people with health impairments money on their life insurance coverage. We know which life insurance companies are most flexible when underwriting certain health issues. We also know which companies allow credits that will improve your final health rating which is important in determining your premium. Through United of Omaha’s Fit Program, you can improve your health rating by two table credit ratings if you have a health impairment but are otherwise healthy and exhibit positive lifestyle habits. This could lead to thousands of dollars in savings over the life of your policy. Here’s how it works.
Sagicor No Exam Term Life Insurance Review
Do any of these scenarios apply to you? You need life insurance but you don’t want to deal with being poked with a needle. You need immediate life insurance coverage and you don’t have the time to wait through the full underwriting process. You need life insurance and you don’t have time to take a paramedical exam. If any or all of these scenarios apply to you, Sagicor’s Sage non-medical term product could be the right option for you. It offers affordable term coverage up to $500,00, an easy application process and no medical underwriting. Here’s how it works.
How We Get Our Clients with Health Issues the Best Rates
Most people with health issues think that they will be declined for life insurance coverage or that they won’t be able to afford the higher rates. This thinking usually discourages them from even inquiring about coverage. In some cases they have trusted an agent who simply sent in an application to one company without a true understanding their case and were declined. If you have medical issues, wouldn’t it be nice to know what you are up against before you even fill out an application? Our process allows us to give our clients with health issues an understanding of their potential rating and premium cost before they even fill out an application. Here’s how we do it.
Why Do Men Pay More for Life Insurance Than Women
When it comes to life insurance coverage, men pay more than women. It’s nothing personal, just statistics. Men as a statistical group are riskier to insure than women. The main difference in life insurance rates between men and women comes down to life expectancy. Women have a longer average life expectancy of almost 5 years when compared to men. There are several key factors to why women have a longer life average expectancy than men. Here’s how it all breaks down.
Life Insurance for Diabetics
You might think that life insurance is too expensive or even out of the question if you have diabetes. Not true! You can get affordable rates if you have diabetes, but it will depend on a number of different factors. Here are some of the most important factors that are taken into consideration when an insurance company looks at an applicant with diabetes.
$1,000,000 of Life Insurance with No Medical Exam
That is not a typo. Through Principal Financial’s Accelerated Underwriting Program, you can get up to $1,000,000 of coverage with no medical exam if you qualify. The program is available for all of Principal’s life insurance products and is perfect for applicants who are in good health and would like to potentially avoid taking a paramedical exam. Even if you don’t qualify, you might still be able to get preferred rates. Here’s how it works.
Life Insurance if You Have High Cholesterol
If you have high cholesterol, you might think getting life insurance could be difficult or unaffordable. Life insurance companies use different criteria for determining how they will rate applicants with high cholesterol. The good news is many life insurance companies will give you their best rating if you are currently being treated for high cholesterol but are within the normal range. If you have high cholesterol and are not on any medication, you may still be able to get a decent rate if you shop around. Here is what you need to know about life insurance if you have high cholesterol.
Life Insurance That Pays for Long Term Care
Most people think that life insurance only serves its purpose at death. That is not necessarily the case. In many instances, life insurance can offer plenty of benefits that you can use while you are alive. One thing that life insurance can cover is long term care expenses. When you purchase a life insurance policy with a long term care benefit rider (LTC rider), you are able to use the policy to pay qualified long term care expenses. If you never use the long term care benefits, your policy will still allow you to leave a tax-free death benefit to your heirs.
How Much Life Insurance Do You Really Need?
You realize that you need life insurance. Congratulations! Now the question is…how much do you need? The last thing you want to do is leave your loved ones short-changed if you pass away unexpectedly. There isn’t a perfect method for determining how much life insurance you need as life brings many changes which could impact your needs. It’s been best described as “trying to hit a moving target”. Taking a simple approach such as a multiple of your income or just enough to cover your debts could leave your family financially vulnerable if you weren’t around to provide for them. So what method should you use?
How Expensive is Life Insurance if You’re Overweight?
You need life insurance but consider yourself overweight. You think that life insurance is going to be unaffordable, so you decide to wait until you lose 20 or 30 pounds before you apply or you don’t even bother applying at all. This scenario occurs often but what people don’t realize is that life insurance companies are forgiving when it comes to your weight as long as it does not come with additional health issues. So if you are interested in life insurance but are waiting until you lose those last few pounds before you apply, you should know there is a good possibility that you could qualify for affordable rates right now.
How Does Traveling or Living Abroad Affect Life Insurance Rates
Insurance companies are careful about underwriting applicants who plan on living or traveling abroad in the future. With everything going on in the world today, it is no surprise that certain countries pose a higher risk to travelers and residents. Insurance companies generally classify countries on a scale that will determine if any additional underwriting consideration will be required. If you are planning on traveling to a foreign country to visit or reside, it is best to know how it might impact your rates.
Is Mortgage Life Insurance Worth it?
Buying a home is a major life event that should make you consider buying life insurance if you haven’t already done so. At some point during your home purchase, you will probably be presented with an opportunity to buy mortgage life insurance. It may be by the lender or it could be by an outside company that solicits you because they know that you just bought a house. But is buying mortgage life insurance worth it?
Is Your Agent Willing to Go the Extra Mile for You
During the field underwriting process, your agent should gather as much information about you as possible so that the insurance company can make the most informed decision about your health rating. For those that are healthy, the process of buying life insurance can be quick and simple. But for those who have health issues, the process can be lengthy and frustrating unless you have an agent that is willing to go the extra mile for you. What are some things your agent can do make the overall experience of buying life insurance better for you?
Life Insurance for Marijuana Smokers
Marijuana is legal for medical use in 20 states and Washington D.C. and legal for recreational use in 2 states as of this post. Both numbers are expected to increase in the future. Because of this, life insurance companies have had to seriously address marijuana use by applicants when underwriting policies. The good news is that not only can you can get life insurance if you smoke marijuana, but you can possibly get preferred nonsmoker rates.
Tips for a Successful Paramedical Exam
If you are purchasing life insurance that is being fully underwritten, you will most likely have to take a paramedical exam. A paramedical exam is an abbreviated medical exam paid for by the insurance company that is administered at your home, office or an examination center. The results of your paramedical exam are important in determining the health class rating that will ultimately be given to you by the insurance company, so it is very important to get the best results possible on your exam. Here are our tips for a successful paramedical exam.
Prudential Term Essential and Term Elite Review
Prudential’s Term Essential and Term Elite products are two term life insurance products that are similar in many ways except for a couple of features. The Term Essential product is considered a simple term product for those who need affordable level term coverage that is convertible to permanent coverage in the future. Term Elite also offers affordable level term coverage but is geared for those who are going to convert to permanent coverage by offering a conversion credit if converted within the first 5 years. Let’s take a closer look at these two products and how they compare.
Does Your Job Impact Your Life Insurance Rates?
In one of our previous posts, we addressed how dangerous hobbies might affect your life insurance premiums. Did you know that insurance companies also take a close look at your occupation as well to determine if it is considered high risk? High risk occupations will often require a flat-extra amount to be added to the regular premium. In a previous blog post about dangerous hobbies, we talked about how a flat-extra works. Simply put, it is an extra amount per $1000 of coverage added to the base insurance premium. Here are some examples of high risk occupations and the flat-extra amounts that might be required. Actual amounts may vary depend on the actual details of your situation.
Bridging the Gap to Retirement with Term Insurance
Many people are finding that the term coverage they purchased years ago is expiring at a point when they still need coverage. This usually happens to people turning 60 who still need coverage until they retire. When they originally purchased their term policy, they probably felt that coverage to age 60 would be long enough to cover them until retirement, but as we all know life doesn’t always go according to plan. Many continue to work longer than originally anticipated because they might have lingering financial obligations that they are trying to take care of like a small mortgage balance or they need to save more money for retirement. Purchasing term coverage could offer the protection needed to bridge the gap to retirement or longer if necessary.
Life Insurance with No Medical Exam
There are several different types of life insurance products that will allow you to get coverage without a medical exam. This might sound great to those who don’t want to go through a paramedical exam but is it worth it? There are two main tradeoffs for not having to go through the medical exam – higher rates and lower coverage amounts. Because the insurance company gathers less information about you, they consider you a higher risk than if you went through the full underwriting process. Here are some important facts you should know before you consider no exam life insurance.
Is Employer Sponsored Life Insurance Worth it?
Every year when you renew your benefits at work, you are probably offered life insurance through your group plan. You might even be given a certain amount for free such as an amount equal to your salary or a flat amount of $50,000. Obviously, it is worth taking any amount that is free but what if you are offered the opportunity to purchase more coverage through your group plan? Group life insurance might be a good idea for some but you should understand all of the important facts about these plans before making your decision.
Dangerous Hobbies and Life Insurance
The process of underwriting does not just involve a review of your medical information. Life insurance companies also look at the lifestyle choices you make such as hobbies. These are usually called non-medical impairments or avocations. Obviously, some hobbies are considered more dangerous than others and will require an additional “flat-extra” premium amount per thousand of coverage. For example, let’s say a 20 year term policy for $500,000 of coverage costs you $750 in premium per year based on your health class. If you engage in a dangerous hobby, an insurer could impose an additional $3.50 flat extra per $1000 of coverage. So if you had $500,000 in coverage, it would result in an extra $1,750 (500 x $3.50) in premiums per year. Your yearly premiums would then be $2,500 ($1,750 + $750) for $500,000 of coverage. So which hobbies are considered dangerous and how much extra will it cost you? It really depends on the insurance company, which is why it is smart to shop your coverage with an independent agent. Here are some examples of flat-extra amounts that you might see for some of the more popular hobbies.
How do Life Insurance Health Class Ratings Work
Your health class rating is of the utmost importance when determining how much you will pay in premiums your life insurance coverage. An insurance company will determine your health class rating when the underwriting process is complete. They will use tools such as: the medical questionnaire included in the application, paramedical test results, information from the Medical Information Bureau, DMV records and possibly your medical records to determine your health class rating. They will also consider the lifestyle choices you make such as smoking, alcohol consumption, any high risk hobbies you engage in or if you travel to any countries that are considered dangerous. Insurance companies are very thorough in their underwriting approach so that they can adequately determine the risk you pose as a policyholder.