Globe life insurance was founded in 1951, and it’s a popular insurance carrier for seniors. Globe life insurance plans consists of 5 different products. With the help of pros and cons of globe life insurance it can help you with your next decision.
It’s a unique company, since globe life insurance policies didn’t require any medical exams. The underwriting process revolves around the health questions and on your application.
So, if you are looking for a hassle-free life insurance, you can check globe life insurance plans. Also this will help to determine if it suits your needs. Take note that Life insurance is important as Health Insurance. If you want to know more about health insurance you can check it here.
This article will tackle the different globe life insurance plans. But before that, we need to check why people are choosing Globe Life Insurance. In addition we will also check the pros and cons of globe life insurance.
Pros and Cons of Globe Life Insurance
Pros
30-day money back guarantee
If you are unhappy with your globe life insurance policy, you can get a full refund by canceling it. Take note that cancelation period is within 30 days after signing up.
No Waiting Time
With Globe Life Insurance, your coverage can begin immediately after signing up. There’s no waiting time before the coverage starts kicking in.
A Less Hassle Company
Globe life insurance is also a less hassle company. You can get the coverage you want without the need of taking a medical exam. The only thing you need is to answer the questions regarding your health. Take note that there’s no need to get a doctor’s appointment just to get insured
Cons
Expensive As You Age
Premiums are increasing as you get older on “Globe life term life insurance”. A substantial increase that can cause your premiums to become more expensive as the years go by.
Guaranteed Issue Whole Life Policies
Guaranteed issue whole life policies are not available in Globe life. You need to pass their underwriting process in order to qualify for the said policy.
5 Globe life insurance plans
Globe life insurance plans consists of 5 different life insurance products. With Globe life insurance plans, there’s no need to take a medical exam in order to get insured. However, there’s still a chance that you can be denied through your health history. If other insurance companies offer online quote through websites, in Globe life insurance you need to make a call on them directly in order to finalize the rate of your policy.
Now let’s have a look at the different Globe Life Insurance plans and check if life insurance really worth it.
1. Accidental Death
Designed to supplement your other insurance coverage. It also provides up to $250,000 for covered accidental deaths. Also, this policy includes 7 features which are the following:
- Inflation Benefit
The primary insured’s benefits will be increased by 5% every year until they reach 70 years old, or the maximum amount whichever comes first.
- Seatbelt Benefit
Globe life will pay 10% more than the original amount, when an insured is saved by wearing a seatbelt.
- Education Benefit
If the insured died due to a covered accident, The company will pay an extra 10% for each dependent child who are ages 15 to 22 years old. Take note that educational benefit is only available on family plan.
- Common disaster Benefit
Designed for the surviving spouse of an insured person. The company will increase their death payment in a mutual accident.
- Dismemberment Benefit
Pay for any bodily injury that results in losing a part of the body.
- Paralysis Benefit
It covers the following: quadriplegia, paraplegia, and hemiplegia.
- Commercially scheduled airline benefit
Let’s you claim for a larger amount if your loved one who is insured died during their flight on commercial airlines. Bodily injuries will be compensated at 200% of the principal benefit, up to a maximum of $100,000.
You can also choose to add an accidental family plan to your coverage. The spouse and any dependent child main benefits will be equivalent to a percentage of the primary insured’s principal benefit at the time of the accident.
2. Mortgage Protection
A form of accidental death life insurance, also a way to protect you and your family from the unexpected. You can get $50,000 to $350,000 of protection, and a guaranteed policy. So, they cannot deny you because of your health if you are between 18 to 69 years old.
This policy also provides financial stability when one breadwinner dies, and that makes it a good policy for couples.
3. Whole Life
You can purchase up to $50,000 of coverage, and your premiums will stay the same forever. This policy also builds cash value, and it locks your monthly price, so there’s no need to worry about the premiums going up. Take note that as long as you continue paying your premiums on time, the benefit will never be canceled.
One of the great thing with whole life is as long as you have the policy, there’s no need for an increase on premiums or renewal because it can provide death benefit coverage for the entirety of your time.
4. Term Life
This policy is a good way to protect your assets and keep them safe. In addition, this Globe life insurance plans allows you to purchase up to $100,000 in coverage, with a 10 to 20 years of term. Rates may vary by state and according to your age. Take note that premiums increases as you age into five-year age periods.
The Globe life insurance policy is set to expire at the age of 90. Having said that, it can result to a problem to seniors who plan on using the product to cover their funeral costs or their final expenses. So, for people who wants to purchase term life make sure that you know what will happen when it expires in order to avoid some problems in the future.
Lastly, price brackets vary based on your age and every five years it will move up one bracket which increases the monthly costs.
5. Children’s life
This policy allows you to purchase a whole life insurance for your child or grandchild that ages between 0 to 25. You can get $5,000 up to $30,000 coverage for them. This policy also builds cash value for their future. Additionally, this policy doesn’t have a waiting period and it’s a good thing. So, the coverage can begin immediately on the first day. This is the best decision that will assist them when they need it most.
Globe Life Insurance Complaint Index
Globe life insurance plans, consists of 5 different products and it’s a good thing for someone looking for life insurance, since there’s a lot of choices. Unfortunately, the company received more complaints and the complaint ratio is higher than the average complaint in the national.
This statistic surprises consumer since it can cause concern, especially to people who are looking for the best in terms of insurance services.
The NAIC or the National Association of Insurance Commissioners compiles insurance companies’ complaint ratios every year. The NAIC also assigns complaint index score on each company, to show the comparison between each company in the same market.
Take note that an index score over 1.0 is worse than average, while 1.0 and below indicates that the company received fewer complaints.
Last year, Globe life became the worst of all individual life insurers. They scored 6.56 complaint index, which is really bad. They have six times the average number of complaints based on other life insurance in the market. The complaints are based on issues like policyholder service. It also includes how they handle the claims, surrendering policy and billing.
Globe Life Insurance Plans Rating
In 2020, Globe Life and its affiliates have been downgraded by AM Best from A+ to A. It’s still a very good ranking in the industry since “A” is an excellent rate. Globe life low level of risk-adjusted capitalization was cited as one of the reasons for its current standing.
AM also highlighted the Globe Life’s strong balance sheet and very strong operating performance. This means that they have more room for any financial issues arising within the subsidiary companies.
Additional information, AM Best is the credit rating agency that issues FSR on the insurance industry. A strong Financial Strength Rating or FSR is an indication that the company is more likely to pay out claims.
Conclusion
Globe Life Insurance have many drawbacks, and it’s not suitable for people who want peace of mind when it comes to coverage.
So, when making an important decision. Make sure that you check the vital information well before signing up for a life insurance. Review the policy and the company as well and try to compare other companies. Lastly, You should always look for the best alternatives, instead of sticking with your plan.