- Life insurance rates remain at all-time lows despite COVID-19 anxiety
- Popularity of term life insurance plans soared in third quarter
- COVID-19 concerns have caused life insurers to tighten acceptance guidelines, especially for ages 50 and above regarding pre-existing conditions
DARIEN, Illinois (December 7, 2020) – LifeQuotes.com, the online life insurance platform that offers comparative quotes from 40 leading life insurers and allows customers to purchase from the company of their choice to achieve maximum savings, today released some handy tips for shoppers during the worsening COVID-19 pandemic.
“This is an unprecedented time of national anxiety not seen in this generation,” said LifeQuotes.com CEO, Robert Bland. “We’re proud to represent 30 leading life insurers and to see them bring enhanced purchase processes to market, which makes it easier and faster to buy life insurance. Having a proper amount of life insurance in place at a time like this makes good sense.”
Handy tips for life insurance shoppers
Michelle Zieba, vice president, remarked, “The Life Insurance Market Research Association (LIMRA) reports that the number of term policies issued in the third quarter jumped 10 percent, scoring the largest quarterly policy count growth in 18 years. We like to remind owners of life insurance that any policy review should include the policy amount, beneficiary designation, time left on the initial rate guarantee, possible term-to-permanent conversion rights and costs. Policyowners who’ve had a significant change in health since the date of purchase should also make themselves aware of the right to sell an unwanted policy should that course of action be appropriate.”
Having an adequate amount of life insurance inforce is important and everybody’s situation is unique. Here are some LifeQuotes.com guidelines:
- For people who work and have dependents, children or a mortgage: 10-15 times annual income
- For home caregivers: $300,000 minimum
- For burial-only coverage: $10,000-$25,000
Zieba continued, “We’ve witnessed a welcome increase in policy purchases by younger applicants this year. In January, 19 percent of our customers were age 30 or less; today, it’s 24 percent.”
Life insurance prices are now at all-time lows
The chart of sample monthly premiums below reveals the best possible monthly prices for a 10-year level term life policy. Most 10-year term life policies are renewable, without evidence of insurability, to age 90+ and may be convertible to permanent insurance without having to undergo further underwriting. Other initial rate guarantee periods such as 15, 20, 25, 30 years and longer are also available as are Guaranteed Universal Life and Whole Life, both of which can provide a level death benefit and level premium for life.
Prices on the popular no-exam plans have resulted in them being 50 percent of policy sales at www.lifequotes.com.
| Sample 10 Year Term Life Insurance Rates |
|---|
| Female Monthly Rates |
| Age | $100,000 | $250,000 | $500,000 | $1,000,000 |
| 21-35 | $7 | $9 | $12 | $15 |
| 40 | $8 | $11 | $16 | $22 |
| 45 | $10 | $15 | $25 | $39 |
| 50 | $13 | $20 | $35 | $58 |
| 55 | $17 | $30 | $52 | $92 |
| 60 | $24 | $41 | $74 | $137 |
| 65 | $34 | $65 | $122 | $223 |
| 70 | $59 | $106 | $199 | $366 |
| Sample 10 Year Term Life Insurance Rates |
|---|
| Male Monthly Rates |
| Age | $100,000 | $250,000 | $500,000 | $1,000,000 |
| 21-35 | $7 | $10 | $14 | $19 |
| 40 | $9 | $12 | $17 | $23 |
| 45 | $11 | $17 | $27 | $45 |
| 50 | $15 | $25 | $43 | $71 |
| 55 | $20 | $39 | $70 | $125 |
| 60 | $29 | $59 | $124 | $212 |
| 65 | $53 | $103 | $194 | $365 |
| 70 | $87 | $196 | $328 | $598 |
The sample premiums shown above assume that the applicant is in good health and has no ratable medical issues. Applicants with pre-existing medical issues can view instant quotes at www.lifequotes.com. Customers who want quotes and advice by phone can talk to our licensed specialists by calling (800) 556-9393.
COVID-19 pandemic changes that are affecting life insurance shoppers
“In recent months we’ve witnessed a number of acceptance guideline changes that life insurance shoppers should know about,” remarked Zieba. “Applicants should expect to be asked about any positive COVID test, the dates of such tests and whether hospitalization, ICU services or a ventilator was required. Waiting periods from the date of recovery vary by insurer but can range from 30 days to two years, so it pays to shop around.”
Bland said, “Life insurance typically covers death by any cause at any time in any place, except for suicide within the first two policy years (one year in some states), so if you die from COVID-19 after purchasing a policy, that claim will be paid. As of now, we know of no insurer that excludes death by COVID-19.”
Zieba continued, “While 50 percent of our customers elect to buy no-exam life insurance, not all applicants will qualify. Our experience with the no-exam plans is that the underwriting is more stringent because there is no paramedical interview or blood lab analysis to aid the underwriter. Our comparative rating and illustration technology disclosures acceptance guidelines to the customer so that there are no negative surprises after an application is submitted, which results in a higher acceptance rate.”
Applicants who have any of the following health histories can expect the life insurer to thoroughly review of a person’s medical records before making a firm offer. LifeQuotes.com advisors will assist such customers in checking to see if the customer’s doctor and health care facility has the medical records stored online and available for instant access transmission in order to avoid a slower manual records retrieval process.
- Hypertension
- Cardiovascular, Coronary Artery or Cerebrovascular (Stroke) Disease including valve disorders like mitral valve prolapse, mitral regurgitation or heart murmurs)
- Diabetes Type 1 or Type 2
- Respiratory Disorders; Asthma, bronchitis, pneumonia, COPD or Sleep Apnea
- Cancer
- Lymphoma or Leukemia
- Ulcerative Colitis or Crohn’s Disease
New. Term Life Insurance to Age 99 — No Health or Lifestyle Questions, No Medical Exam
Zieba remarked, “We are excited about introducing a new term life plan that offers coverage up to age 99 without any health questions or medical exam. As the chart shows, the $25,000 plan benefit stays level up to age 64, then the coverage reduces in 5-year increments as shown at ages 65, 70 and 75, but the monthly cost stays constant at $43.13 per month all the way to age 99. If you choose the $75,000 plan, the coverage and cost stay level for ages 18-34, then the monthly dues rise every 5 years starting at age 35 until age 75 when they stay level to age 99.”
The Term to Age 99 plan is available to U.S citizens and non-citizens who have a valid Social Security number and are age 18-99. Enrollment takes 10 minutes by phone and coverage can become effective on first day of next month.
Coverage on this plan is not available to those who are currently incapacitated, currently institutionalized, terminally ill or full-time members of the military. Not available in AK, FL, ID, KY, ME, MO, MT, NM, NY, NC, OK, OR, PA, SD, UT & WA. A valid e-mail address is required. Call (800) 556-9393 to enroll.
| Term Life to Age 99 No Health Questions, No Medical Exam |
|---|
| $25,000 Plan |
| Age | Death Benefit | Monthly Cost |
| 18-64 | $25,000 | $43.13 |
| 65-69 | $16,250 | $43.13 |
| 70-74 | $12,500 | $43.13 |
| 75-99 | $8,750 | $43.13 |
| Term Life to Age 99 No Health Questions, No Medical Exam |
|---|
| $75,000 Plan |
| Age | Death Benefit | Monthly Cost |
| 18-34 | $75,000 | $53.48 |
| 35-39 | $75,000 | $54.63 |
| 40-44 | $75,000 | $60.38 |
| 45-49 | $75,000 | $66.13 |
| 50-54 | $75,000 | $77.63 |
| 55-59 | $75,000 | $106.38 |
| 60-64 | $75,000 | $169.63 |
| 65-69 | $48,750 | $284.63 |
| 70-74 | $37,500 | $514.63 |
| 75-99 | $26,250 | $1,365.63 |
