Is Guaranteed Life Insurance Worth It?
Guaranteed life insurance can be the best option for those having trouble securing other life insurance policies. It’s popular for its non-discriminatory nature, the ease of application, and the debts it can relieve. Here are some important things to know before enrolling.
How Do I Get Guaranteed Life Insurance?
Unlike other life insurance policies, all you have to do is sign up. There’s no medical exam. There aren’t even medical questions. It is life insurance with no questions asked, which is why its enrollment process is the fastest.
Why Should I Get Guaranteed Life Insurance?
Whether you should get guaranteed life insurance depends on your personal circumstances and preferences. Individuals who have difficulty acquiring other life insurance policies are ideal candidates for guaranteed life insurance. Those who have other options may choose this type of policy due to the desire for smaller coverage.
Why is Guaranteed Life Insurance Good For Those In Poor Health?
Health can be a barrier to getting life insurance. Those with serious medical conditions are considered a higher insurability risk due to the likelihood of passing away shortly after enrolling in a policy. But guaranteed life insurance handles this differently because health isn’t disclosed, and the death benefit is typically no more than $25,000, so it is not as much of a potential loss to the insurer.
What Factors Into Costs?
Age and gender are the primary determining factors for monthly rates. While guaranteed life insurance typically accepts applicants up until the age of 80, age still impacts cost. Rates are based on your age when you signed up for the policy. With gender, women have lower rates than men because of having a higher life expectancy.
How Can the Death Benefit Be Used?
Since the death benefit is often between $10,000 and $25,000, its uses are limited. Beneficiaries typically use these funds to cover final expenses, such as funerals. However, your beneficiaries will be able to spend the death benefit to cover their personal expenses.
What Could Be Potential Downsides?
Despite having lower premiums than other forms of life insurance, guaranteed life insurance has comparatively higher rates when considering cost versus death benefit. That’s not to say it isn’t affordable – in fact, it’s a great option for those having trouble affording other policies. It is just less than optimal.
Another downside is the chance that your loved ones won’t get the full death benefit. This is an especially strong possibility for older individuals with serious health conditions. Policies will only refund premiums to your loved ones if you pass away two to three years after enrolling. The exception is if you die as a result of an accident. In that case, your loved ones will get the full death benefit.
Find a Life Insurance Policy Today!
At FiduSure Financial, we guarantee your satisfaction when it comes to enrolling in guaranteed life insurance. We will get you a great policy that fits you best and at a low price. Call us today at (647) 567 4702.