1) How do I apply for Life Insurance?
Start by simply filling out the Life
Quote Request Form. We can handle the whole process over the phone if
there are any unanswered questions. The completed forms will be sent to you
for your review and signature. We will provide you with a pre-addressed,
stamped return envelope.
2) Will I need a medical exam to qualify?
An exam is required. It will be done at the expense of the insurance company,
at a time and place convenient for you - right in your home or office. The
exam is conducted by a licensed paramedic or medical doctor, and generally
involves a blood test, urine specimen, blood pressure reading, height and
weight measurement, and a series of questions about your health history.
The entire process will take about 20-30 minutes.
3) When does my coverage begin?
When the policy has been approved by the insurance company. If you're replacing
existing coverage, you should never drop your existing coverage until your
new policy has been approved, and your first premium has been paid.
4) Do I need to send a check with the
application?
If you remit the first premium along with your application, most insurance
companies will provide limited temporary conditional coverage during the
application/underwriting process. However, there is no requirement that you
submit a check with your application. The premium can be paid once the policy
has been approved.
5) What companies will you show me?
We only use insurance companies with a proven track record of financial strength,
integrity, performance, and claims-paying ability. Before we use any company,
we require that it have a rating of A, A+, or A++ by A. M. Best, the nations
leading independent evaluator of insurance companies since 1899. We will
provide you with a financial profile of the companies quoted and it will
most likely be a name you are already familiar with.
6) What about coverage on my spouse and/or
children?
Most families have coverage on both spouses. There are many financial pressures
on a family after the loss of either parent. Beyond the obvious final expenses,
the financial strain on a family after the loss of a spouse can be significant,
even if the deceased spouse wasn't working. Often the surviving spouse will
take time off work, or change jobs in order to spend more time with the children.
Coverage for children is also available to cover final expenses and/or to
guarantee insurability for the child’s future.
7) What is the difference between standard
and preferred rates, and how do I qualify for preferred rates?
Although the qualifications for preferred rates vary from company to company,
generally you must be in excellent overall health. There are strict limits
on height, weight, cholesterol, blood pressure, and you must not have a history
of any significant health impairments. You also cannot use tobacco in any
form. You must have no history of drug or alcohol abuse, and you cannot be
engaged in any hazardous activities. The specific criteria for preferred
rates differ widely among the various insurance companies, and it is not
uncommon for an individual to be classified as standard at one company and
preferred at another. The key is finding the right company. We keep up the
ever changing insurance industry to find you the best rates for you, based
upon your specific situation.
8) What if I smoke cigarettes?
Rates for smokers are higher than for non-smokers. In order to qualify for
non-smoker rates, most life insurance companies require that you be smoke-free
for at least one year; some require longer periods. We do have companies
that will give smokers non-smoker rates for up to four years. (Subject to
change.) We have found that certain insurance companies treat smokers much
more favorably than others.
9) What about other tobacco use?
Most insurance companies treat all tobacco use including Cigars, Pipes and
Chewing Tobacco in the same category as cigarettes. However certain companies
allow pipe, cigar, and chewing tobacco to qualify as non-smokers. This one
difference alone can save you up to 50% on your premiums. We know which companies
will do so, and will recommend only those companies when appropriate.
10) What happens if I become disabled?
Most insurance companies offer a rider called "waiver of premium" which provides
that in the event you become totally disabled for a period of six months
or longer then the insurance company will pay your premium for you until
you are no longer disabled. This rider is optional and available at an extra
cost, and must be chosen at the time of your application. The rider is generally
not available for purchase after age 55 (60 in some cases) and, even if elected,
will automatically be removed from most policies at age 60 (65 is some cases).
However, if your disability begins while the rider is part of the policy,
most policies provide that premiums will be waived for as long as your disability
lasts, even if that period lasts beyond the age in which the rider would
have been removed.
11) Will my policy ever be cancelled because
of health reasons?
No. Your policy will never be cancelled because of a change in your health,
and you will not be asked to provide evidence of good health in order to
renew your policy each year. Your policy can only be cancelled due to non-payment
of premiums. You have the right to cancel your policy at anytime.
12) After the initial period of guaranteed
premiums, what will my insurance cost?
Each product, if renewable, has a contractually guaranteed maximum renewal
premium which can be illustrated, and which is shown in your policy. This
amount is the most you'll have to pay to renew the coverage.
Most insurance companies also illustrate current renewal rates, which represent
the expected future renewal rates, which are lower than the maximum renewal
rates. These rates are not guaranteed, and can be higher or lower than expected,
but never higher than the guaranteed maximum renewal premium discussed above.
After your initial guarantee period ends, you can re-apply for new coverage
and, if you qualify, you can begin a new period of guaranteed rates (in effect,
a new policy), which will generally cost less than your current or maximum
renewal rates. This process is referred to as 're-entering,' or 're-entry.'
Since your future good health is not guaranteed, the ability to 're-enter'
is not guaranteed. And, although re-entry premiums are often attractive,
to illustrate such 're-entry' rates without showing the current and maximum
renewal rates, and in the absence of a complete explanation (as if to imply
that they are the same as renewal premiums) is universally condemned as unethical
and deceptive.
13) Is there a money-back guarantee?
Yes. If, at any time during the application process, you change your
mind for any reason whatsoever, you will receive a full refund, no questions
asked. This guarantee continues until ten full days after your policy is
delivered to you.
