There are pros and cons to guaranteed issue life insurance. Paying funeral costs can appeal to seniors with limited income, severe health conditions or family needs for around $10 per month may be attractive.
Many guaranteed issue insurance companies require that applicants be at least 40 years old in order to apply. After 80, they won't offer new coverage.
Most life insurance companies will refund your premiums to your beneficiaries, if you are unable to pay the death benefit due to illness or injury within the first few years. Investopedia says that this prevents people with serious illnesses from receiving large payments immediately.
You can only get guaranteed-issue life insurance if you are at least 18 years old and live in a certain area.
Guaranteed issue life insurance is the best type of burial insurance. For a 60-year old, it can cost upwards of $150 per monthly. The death benefit amounts, which top off at $25,000., are still low.
A 10-year term life insurance policy would provide ten times as much coverage for the same 60-year old. It would cost $60.
This type life insurance is available to people who have certain medical conditions and cannot afford other types of life coverage.
Guaranteed issue coverage amounts range from $10,000 to $25,000. A guaranteed issue policy is usually purchased for a small amount of final expenses. This can include a funeral, medical bills or small debts.
