FREQUENTLY ASKED QUESTIONS
This life insurance policy means that if the person who the policy insures dies, the beneficiary of the policy will receive a payment of the insurance amount (subject to the terms of the policy.)
What is this policy used for?
The benefits of this policy can be used for any purpose you choose. Because of the high cost of a person’s Final Expense – those costs related to funeral & burial – that average $10,000-15,000 – and the maximum amount of insurance that can be purchase from us of $25,000, many people buy this policy to make sure their family can pay for their final expense and the memorial service.
I have life insurance from work. Why do I need another policy?
Having life insurance from work is a great benefit to have. However, when you leave the work, at your own choice or not, the policy does not follow you. The day you leave is the day the coverage stops. Since most of us will live past retirement age the policy from work won’t help to most of us.
In addition, some employer policies covers also certain cases such as accidental death only.
Having a final expense now will make sure you have protection in any case and at a lower monthly premium than in the future, since you are younger and in better health.
How long will the policy last?
That depends on the type of policy you buy. A Whole Life policy will last for as long as you live. A Term Life policy will last 10 or 20 years, depending on the specific term policy you buy.
Who are the parties in the policy?
Each policy has 3 parties:
The Owner of the policy – the person who owns the policy and can make changes in it.
The Insured – the person you buy insurance on. In many cases the Owner and Insured are the same person.
The Beneficiary – the person who will get the benefits in case the Insured dies. This person is usually spouse, child, or parent.
I have a term life insurance policy. Do I need a final expense policy?
Term policies are very good policies, but you face two main risks with them. The first is that at the time policy expires your health condition may have changed and you will not be able to get a new term policy. The second is that as we get older the premium on the new policy will increase very quickly.
That is why we recommend that with your term policy you should consider buying a final expense policy. It will last forever and the premium will never increase, regardless of changes in you health or you age.
Do I get full benefits from the first day of the policy?
The whole life policy and the term policies have full immediate benefits. That means that you get 100% of the benefits from the first day of the policy on almost all of our policies.
There are two cases (the limited pay policy and the modified rates on our whole life policy) in which the benefits in the first two years will be less than the full face amount of the policy. Make sure you fully understand your policy and if you have any questions just call us at (855) 966-1111.
How would we get the benefits?
If a death occurs you will have to submit a claim form to us. Once the claim is approved we will send you a check for the benefits amount.
How long does it take to get the benefits?
We usually process the claim within less than a week from the time we receive all the information needed. You can find a claim form on our website.
Can you decline a claim and not pay the benefits?
If death occurs within the first two year of the policy (called the contestability period) we have the right to check if the information on the policy was accurate. If material information was inaccurate – such as a response to a health question – we may decline the claim and not pay the benefits.
Would the premium increase as I get older or my health changed?
Once your policy is issued the premiums remains the same and never changes. Even as you get older or my encounter health issues, you can be sure the premium on your policy will not increase.
Would the benefits change?
Like the premium, once the policy is issued the benefits will always remain the same and will never change from the amounts stated when the policy was issued.
Can you cancel my policy?
Once your policy is issued we cannot cancel it unless premium is not paid on time or if we found health information that was not disclosed on the application.
Would you be able to pay the benefits?
We are very strong financially and substantially exceeds all financial strength requirements required by regulations. We fully expect to be able to pay your benefits whenever you are entitled to receive them.
How long will it take to get the policy?
We do our best to issue policies within 24 business hours of receipt of application. We will then email you a copy of the policy followed by a copy in the mail.
When does my coverage start?
You coverage start as soon as your policy is issued and your first premium has been paid.
Will I need to talk to anyone or meet anyone to get the policy?
You do not need to talk to an agent or representative of the company, or meet anyone to complete the online application. We do call some clients to verify the information and make there was no inappropriate use of their identity. You always have an option to meet with one of our agents and we can have an agent that live in your area call you to set an appointment.
I can’t afford it and don’t need it right now. Why should I buy this policy?
You should never buy a policy that you will not be able to keep for the long term. Buy what you can afford now to give your family protection. For example, a 50 year old female can get a final expense policy for only $13.05 a month. If, in the future, you will be able to afford larger coverage and payment you can always purchase additional insurance.
This approach will protect you from three things that may happen – first, you purchase a policy for a lower price than you would in the future because of you are younger and premium increase with age. This premium will never go up. Then, if you become uninsurable in the future due to change in health condition (cancer, heart problems, diabetes, accident, etc) you already have some insurance in place. And finally, in case of an untimely death your family is already protected.
Is there a medical exam?
No, we do not require a medical exam to get a policy.
How much coverage can I get with your policy?
You can purchase insurance up to $25,000 of coverage.
Would I have to pay taxes when benefits are paid?
No, the benefits you receive will be tax free. However, if you have a special tax situation we suggest contacting your tax accountant.
Can I cancel my policy?
Yes, you can cancel your policy at any time and you will not be charged any further premium. If you cancel your policy within the first 30 days, you will get your first premium payment back.