One of the obstacles to purchasing life insurance is the application process. With traditional life insurance, you sit with a life insurance agent, who asks a series of deep and often uncomfortable questions as part of an application process that seems to take forever. Then you may have to wait weeks for an approval, and hope it will come with the premium rate quoted by the agent.
But the Internet is changing the way consumers apply for life insurance.
One of the companies at the forefront of that transition is Bestow Life Insurance. It offers an all-online application process, that provides approval in minutes, without a medical exam, and with a firm, low-cost premium quote.
If you want fast life insurance, Bestow is one of the companies who can offer it.
Bestow Life in a nutshell:
- Fast, online approvals with no medical exam
- One of the lowest cost life insurance providers in the industry
- Policies available for up to $1 million
- Terms up to 20 years
- Unique two-year term policy for people in transition
Intrigued? Let's dig deeper:
About Bestow Life Insurance
Bestow Life Insurance is an online life insurance company that sells low-cost life insurance policies that require no medical exam. All policies offered are term life insurance, ranging from two years to 20 years. The site was launched in November 2016 and is based in Dallas, Texas.
But don't let Bestow Life's relatively young age scare you. It's actually the online platform for North American Company (they issue Bestow Life's policies) in partnership with Munich RE. These two companies are two of the largest reinsurance companies in the US.
North American Company is a privately-owned insurance company that's been in business for over 130 years. They have more than 600,000 life insurance policies and annuity contracts in force.
North American Company has the following ratings by the major insurance industry rating services:
- A.M. Best, “A+ Superior” (second highest of 15 rating categories)
- S&P Global Ratings, “A+ Strong” (fifth highest of 22 rating categories)
- Fitch Ratings, “A+” (fifth highest among 19 rating categories)
Munich RE was established in 1959, and is rated “A+ Superior” by A.M. Best.
How Bestow Life Insurance Works
Bestow Life Insurance uses big data and technology to streamline and speed up the life insurance application process.
The entire application process takes place online. You'll be asked questions about your health and your lifestyle. The company's algorithm analyzes information available from big data and technology (largely MIB, the insurance industry's medical database) and offers an answer in a matter of minutes. This is unlike the traditional life insurance application process that can take several weeks.
Best of all, Bestow Life Insurance does not require a medical exam for policy approval.
There are no paper forms to complete. If your policy is approved, you'll be given your rate, and an opportunity to choose the amount and term of your policy. You can pay for your policy using a credit card.
Bestow Life Insurance Products
Bestow Life Insurance offers term life insurance policies to US citizens and residents, who are generally healthy (see table below for exclusions related to health). To apply, you must either be employed full-time, a homemaker, or a student.
The company offers three different types of term life insurance policies:
Two-year term: This is effectively a “temporary” policy, that will allow you to maintain coverage during a time of transition, such as between jobs, or while you are shopping for longer-term coverage. The 2-year term policy is available for applicants between the ages of 21 and 55. It's available in coverage amounts from $50,000 to $500,000.
10-year term: Provides longer-term protection for your loved ones, as well as funds to pay off debts upon your death. Premium payments are fixed for the entire 10-year term. The 10-year term policy is available for applicants between the ages of 21 and 55. It's available in amounts ranging from $50,000 to $1 million.
20-year term: Works similar to the 10-year term policy, but with double the term for longer-term protection. The 20-year term policy is available for applicants between the ages of 21 and 45. It's available in amounts ranging from $50,000 to $1 million.
The policies are not automatically renewable. You would need to reapply once the term ends if you are still eligible based on age and health.
Bestow Life Insurance Policy Summary
Here is a snapshot of what Bestow offers:
- Type of life insurance offered: Term life only (no cash value policies)
- Policy terms available: Two-, 10- and 20-year terms
- Maximum policy amounts: Two-year term, up to $500,000; 10- and 20-year terms, up to $1 million
- Minimum policy amounts: $50,000
- Medical exam requirement: Not required
- Age limits to apply: For two-year and 10-year terms, 21 to 55; 20-year term, 21 to 45
- States available: 49 (all except New York)
- Premium payment frequency: Monthly
- Health exclusions: Heart disease, stroke, cancer (except basal and squamous cell skin cancer), organ transplant, diabetes before 40 (except gestational diabetes), alcohol or drug abuse, HIV, or kidney disease requiring dialysis
- Customer service: Available by phone, email, and live chat on the website
Should You Get Coverage Through Bestow Life Insurance Company?
Like many online life insurance companies that offer fast approvals and low-cost premiums, Bestow Life Insurance is designed primarily for those who are in good or excellent health, and generally younger (under 45 or 55, depending on the policy).
It's also an excellent choice if you're looking for fast approval, with low monthly premiums (started at just $5 a month), and no medical exam.
However, Bestow Life Insurance does not make policies available for those over 45 or 55 so you'll need to look elsewhere if you exceed those age limits. It also doesn't have policies available for those with significant health conditions, though it promises to add additional policy types going forward.
Bestow Life Insurance also does not offer permanent life insurance, in the form of cash value policies, like whole life insurance. I think term life insurance is better than whole life but if you're looking for permanent coverage, or longer-term policies (up to 30 years) you'll want to check out other sources.
Lastly, remember that the policies they offer are not automatically renewable. At the end of the term, you'll need to reapply for a new policy, if you're still within the eligibility parameters.
But given the super low rates Bestow Life Insurance charges for coverage, it certainly benefits you to see what you'd pay on a policy if you are within the eligibility parameters set by the company.
If you'd like more information, or you want to apply for a policy, visit the
Bestow Life website.