This article continues in our series to provide reviews about final expense insurance from the various insurance companies we proudly represent.
Many policies are purchased as a result of continuous television advertising from insurance companies like Globe Life, Colonial Penn, and Lincoln Heritage. Although this advertising brings a lot of attention to insurance policies for seniors (a good thing), many consumers do not understand that policies offered directly to the consumer, are in most cases, very expensive and contain waiting periods.
Here, we’ll review final expense insurance from Prosperity Life insurance and illustrate that their final expense insurance rates are generally much more affordable and you’ll receive help and advice from an experienced independent insurance professional.
Prosperity Life Insurance is a leading insurance provider in the U.S. and offers a comprehensive portfolio of insurance products for financial protection and annuity products for wealth accumulation.
Currently, Prosperity, which consists of SBLI USA Life Insurance, S. USA Life Insurance, and Shenandoah Life Insurance, operates from the company’s headquarters in Austin, Texas.
Although the company offers life insurance, annuities, and Medicare Supplement insurance, the purpose of this article is to focus on Prosperity’s Final Expense whole life insurance
Even though most life insurance shoppers look for the lowest insurance rates, it’s vitally important that consumers understand the financial stability of any company they choose to do business with.
After all, in most cases, a life insurance policy is a promise to pay in exchange for your premium and this promise must be kept for a lifetime.
A.M. Best, the most well-known insurance rating service in the U.S. rates Prosperity Life Group and it’s subsidiary companies A- (Excellent) which means the company is financially stable and they can respond to policyholder claims and operating expenses going forward.
Prosperity Life Group takes final expense life insurance for seniors very seriously. And as such, the company provides three policy types to make certain that every eligible applicant has the opportunity to secure valuable life insurance protection. The plans they currently offer are:
Prosperity’s Level Plan is whole life insurance that offers level premiums and first-day coverage. There is no waiting period and the premiums are the most affordable of three plans offered.
Eligible ages are 50 to 80-years-old with face amounts of $1,500 to $35,000. Premium modes are Direct Bill (monthly), Quarterly, Semi-Annual and Annual. Applicants can elect the Accidental Death Benefit rider if age 74 or younger at the time of application (rider available for all three plans).Here actual sample rates for a male and female non-smoker in good health. This sample if for a $15,000 final expense policy.
|Applicant Age||Male Non-Smoker||Female Non-Smoker|
Although Prosperity offers competitive rates for level benefit final expense insurance, they are especially competitive for 70-year-old females. Remember, level benefits and first-day coverage.
Prosperity’s graded plan (Golden Promise) is designed to accommodate applicants who do not medically qualify for the level plan. Issue ages for the graded plan are 50 to 75 with face amounts from $1,500 to $35,000. This plan has a graded benefit as follows:
If death occurs in the first year of coverage and is the result of natural causes, the beneficiary would receive 30% of the death benefit.
If death occurs during the second year, the beneficiary would receive 70% of the death benefit.
After the second year of insurance coverage (beginning in month 25), death from natural causes would be 100% of the death benefit.
Death resulting from accidental causes will be paid the full benefit from the fist-day of coverage.
The modified plan is designed for applicants with severe or multiple health issues who are unable to medically qualify for the level or graded benefit plans. Insurance coverage is available for applicants who are age 50 to 80 with death benefits of $1,500 to $35,000. The modified plan pays the following modified death benefit.
During the first year, if the insured dies as a result of natural causes, the beneficiary would receive 110% of all premiums paid into the policy
During the second year of coverage, if the insured dies as a result of natural causes, the beneficiary would receive 231% of all premiums paid into the policy.
From the 25th month of coverage and after, the death benefit would be 100% of the face amount of the policy.
It’s important to note that the death benefit, whether graded, modified, or full, are paid to the beneficiary or beneficiaries listed on the policy and are non-taxable.
All three plans will pay the full death benefit if death is the result of an accident from the first day of coverage.
All three plans include at no additional charge an Accelerated Death Benefit. This benefit provides for the insurance company to pay up to 50% of the death benefit to the insured if he or she is diagnosed with a terminal illness. Here is the policy language regarding this benefit:
Receipt of the accelerated death benefit may affect eligibility for public assistance programs and may be taxable. There is no separate premium charge for this benefit. However, upon election, the benefit is discounted because it is an early payment and a one-time processing fee of $150 is deducted.
Seniors who want the peace of mind provided by final expense insurance should call us today to find out if Prosperity Life Insurance is the best solution for covering final expenses and not leaving this burden to surviving loved ones. Prosperity Life Group offers three different plans that will accommodate applicants who are healthy and those who have severe or multiple illnesses. Click here to review Prosperity Life Group’s Final Expense Whole Life Insurance Fact Sheet.