A guaranteed issue life insurance policy is, as its name suggests, guaranteed. It is a policy that will provide coverage for anyone that applies for it, with few questions asked. But, there are details regarding this type of life insurance coverage that you should know about. Here are the basics: what it is, who it’s for, and whether or not it’s right for you.
What is Guaranteed Acceptance Life Insurance?
Guaranteed issue life insurance is a policy that provides cash benefits to a beneficiary upon the death of the person who is insured. The insurance company will offer this policy to any applicant regardless of their past or present health concerns.
Who is Guaranteed Issue Life Insurance For?
Guaranteed issue life insurance is typically for people over the age of 50—up to senior citizens who have roughly 10 years or less to live—or individuals with current or previous medical problems. It is oftentimes a last resort for individuals who can’t qualify for other types of life insurance policies because of their health issues and/or who don’t have the option to purchase life insurance through their employer.
The Positives and Negatives of Guaranteed Issue Life Insurance
If you are looking for a quick life insurance policy without the hassle of delving into your medical history, a guaranteed issue life policy might be right for you. As a general rule, guaranteed issue life insurance policies:
- are much easier to get than other types of life insurance policies,
- they don’t involve medical questions or exams,
- and they usually take days instead of weeks to approve.
Those positives can be expected to be offset with some negatives, however. Because the insurance company doesn’t know much about your health history, you will usually find that:
- you can’t purchase as much coverage as other types of life insurance,
- and it’s typically more expensive than other policies.
Plus, one thing to be particularly aware of with a guaranteed issue life insurance policy is the return on your investment. Because of the typically higher premium cost and the smaller amount of coverage, you could end up paying more for your premiums over time than your beneficiary will see in the resulting death benefits. And, if you die shortly after you buy a guaranteed issue life insurance policy, your beneficiary will receive only the premiums paid and possibly some interest, depending on the company that issued the policy.
True Blue Life Insurance can help you navigate through the confusion with budget-friendly premiums and Graded Death Benefits.
Once you select the amount of coverage you need, affordable premiums are guaranteed for as long as you hold the policy. Even if the cost of living keeps rising, you can be confident knowing that you will be paying the same premium rate—10, 20, even 30 years down the road.
If you are a U.S. citizen or a permanent legal resident between the ages of 50 and 80, you can receive Graded Death Benefits for the first two years of coverage. If death occurs within the first two years of your policy for any reason other than an accident, all premiums plus 10 percent interest shall be paid to your beneficiary. If death is due to accidental causes, the full death benefit will be paid. After the two-year Graded Death Benefit period, if you die for any reason, the full face amount of the policy shall be paid to your beneficiary.
When Does it Make Sense to Buy Guaranteed Issue Life Insurance?
If you have a health condition that simply prevents you from purchasing another type of life insurance policy or you need to get coverage quickly, a guaranteed issue policy might be right for you.
The form on this page will allow you to get an instant quote, evaluate your options, and apply for a guaranteed issue life insurance policy.
The application process is simple. No medical exam is required and there are no health questions to answer. Your acceptance—regardless of your health—is guaranteed. Plus, your spouse, if he or she is between the ages of 50 to 80, can get up to $20,000 in guaranteed benefit protection, too.
If you still have questions or concerns, however, you can contact True Blue Life Insurance at 1-866-816-2100 to have a licensed insurance professional help find the best options available to you.