Guaranteed Issue Term Life

Discussion in 'Life Insurance Forum' started by brokerjojo, Dec 21, 2009.

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  1. brokerjojo
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    brokerjojo Member

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    this is my first post. My mother has cancer. im looking for the least expensive guaranteed issue term policy or any other guaranteed issue no questions asked policy.

    I would like to stack up to 100,000. I am looking at this as an investment. If she lives 2 years, i get the full death benefit. if not, all premiums are refunded.

    I understand that options are very limited based on her circumstances. Any help would be greatly appreciated. Thank you.
     
  2. Full Throttle
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    Full Throttle Well-Known Member

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    I don't think you understand how insurance works. Let me make a proposition to you, my mother has cancer. Will you write up a contract that says:

    1. You'll pay me $100,000 if my mom dies in two years for which I'll pay you a premium payment significantly less than $100,000.

    2. If she doesn't die within two years, you give me all the money I paid you back.

    How much incentive do you have to take a deal like that!?!

    *I do empathize with the situation, cancer sucks and I wish you the best during this difficult time for your family.
     
  3. brokerjojo
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    brokerjojo Member

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    That is how guaranteed issue policies work. There are no health questions asked and if you die within two years, youre premiums are refunded. After two years, full death benefits are paid.

    There are several carriers that will accept her. I am looking for the best premiums. I am not an expert in this area, that is why i posted. Any suggestions on the carriers with the lowest premiums would be appreciated.
     
  4. Lifeman09
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    Lifeman09 Well-Known Member

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    you could check out mutual of omaha or americo rates for guaranteed issue whole life products . Guaranted issue term products are hard to come by and usually very expensive with a very low pay out youd be better off going with a whole life product. I am sorry to hear about your mom its a tough road. Good luck and God bless
     
  5. Newby
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    Newby Well-Known Member

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    The companies to use are Mutual of Omaha, Colonial Penn, AARP and Globe.
    Divide the premium by death benefit and that would be the number of months till your break even point. If you feel that the death will occur prior to that you will come out ahead.
    The way these companies make their money is many people sign up for them that are healthy and could get better policies. Those people live too long and pay too much.
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    I said that backwards. Divide the DB by the monthly premium to determine the break even month.
    The Swine Flu meds have me a little groggy.
     
    Last edited: Dec 21, 2009
  6. IndyAgentIDTMY
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    IndyAgentIDTMY Well-Known Member

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    I agree that Americo or MoO might work with their GI whole life products. Another possibility is Columbian Mutual, but it caps at $25K and has a 3 year exclusion period. I don't think that anyone one of those will offer more than $25K, but maybe you could just stack a few of those...

    Either way, sorry to hear about your mother's illness.
     
  7. BNTRS
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    BNTRS Well-Known Member

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    Ummm, I could always be wrong--I've never in my life written an individual GI case, had one that could have gone that route but nothing ever became of it--but I'm not aware of an individual guaranteed issue contract that asks NO health questions.

    And no, I'm not confusing guaranteed issue with simplified issue.
     
  8. 360
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    360 Well-Known Member

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    Several companies offer no health question true GI policies.
     
  9. steveadlman
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    steveadlman Well-Known Member

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    I have not seen any one who has lower rates on a GI policy than MOO. They can take the application over the phone. I believe you can get up to $25,000 with MOO. I am not aware of any company that offers a GI term policy.
     
  10. Full Throttle
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    Full Throttle Well-Known Member

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    My mistake, I read what you wrote too fast. I thought you were looking for a policy that returned the premiums after two years if no death occurred.
     

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