Whole Life Insurance Rates

I have recently be working with many folks who have past time medical complications yet would like to see if life insurance is still available for them. The purpose of this blog is to discuss the difference in cost and benefit regarding life insurance policies that require and exam and life insurance policies that do not require an exam.

 

In our industry many folks who look for what we call Guaranteed Issue Life Insurance policies are headed down that particular road for a reason. They either have a preexisting condition or have something in their past disqualifies them from a Non-Guaranteed policy (NG).

 

Most of the public does not realize the enormous difference in cost between the policy types. Did you know there are three types of basic structure when referring to risk classifications with life insurance? The first program is Non-Guaranteed ( Underwriters for this plan require a detailed list of medical history questions, and medical exam including a blood and urine sample). The second type is Simple Issue ( This policy is less dependent on medical questions and requires no exam, though the insurance company may request your medical history records from your doctor. Lastly Guaranteed Issue policies (These types of policies do not require an exam or any medical questions to be asked, you simply pay the premium and receive the insurance).

This is especially true for direct clients of FinishLine insurance, those looking for Life Insurance  in Sacramento and Life Insurance in Orangevale

 

What does this mean with regards to your pocketbook, well you see the more an insurance company is allowed to know about you, the more they can accurately gauge you as a potential risk. The non-guaranteed plan allows the insurance company full disclosure of ever aspect of your life and therefore if approved, you stand to receive the most cost effective life insurance policy. The Simple Issue policy is the second runner up, it is not as popular as the NG because not many carriers offer it but it is certainly priced more competitively than the guaranteed Issue. Simple Issue policies do of course issue simply, one can normaly be delivered within 48 hours.

 

Basically a guaranteed issue policy holds the best value when the insured lives past two years from the time of issue but less than ten. The premiums to these policies are very high in cost and will normally not pay the entire death benefit until after the policy reaches two years in maturity. Prior to that point, if the insured were to pass away the premiums would be refunded in full, including a marginal interest rate close to around 5%.

 

Ok so now to give you some of the finer points to watch out for in making sure you pick the product right for you. Call us immediately if you feel you may not be accepted by an insurance carrier for a non-guaranteed policy. While the polciy is going through the underwriting process the opportunity to apply to other companies may still be available to receive an offer before the possiblity of receiving a decline on your MIB report. This is crucial.

 

If you have a preexisting condition and you still want to apply with a non-guaranteed issue policy than you need to realize that not all underwriting amongst companies is the same. There are certain companies that are much, much, more flexible than others, when they are considering your specific circumstances and health issues. This would result in the savings of hundreds of dollars or an unnecessary decline. Really people! Thousands.

 

The reason I right this is because I have met so many people who do not know that Simple Issue policies exist and they throw away hundreds of dollars a month on guaranteed issue policies. Moreover people qualify for non-guaranteed issue policy but the company they are with holds them in a higher risk class than they could be offered with a different company.

 

I have specific companies that rate as the industries most competitive in the following categories:

1. Obesity
2. Tobacco chewers and cigar smokers
3. Drug Rehabilitation
4. Resent Gastric Bypass Surgery
5. Insuring between ages 80-85

 

Now most of the time these Simple issue and Guaranteed Issue policies are for people who have seen some health issues or had a circumstance in their life that prevents them from receiving a non-guaranteed life insurance policy. That is why you should contact us for advice before applying for a life insurance policy with an agent that may not have the experience we do. My sincere thanks for reading.

 

Other Life Insurance Articles

• The No Medical Exam Life Insurance Policy
• Advantages and Disadvantages of Guaranteed Acceptance Life Insurance for Seniors
• Life Insurance – Am I Eligible?
• AIDS/HIV – Implications For Life Insurance Coverage
• Senior Life Insurance – Affordable Life Insurance For the Elderly With No Medical Exam