Colonial Penn Life Insurance

The Colonial Penn Life Insurance company was founded in 1968.The CNO Financial Group owned this company . Colonial’s specialty is using life insurance directly to the consumer at a lower expense via mail, internet, telephone and TELEVISION.

Their most prominent plan is the ensured acceptance life insurance policy, which is used exclusively for those 50- to 85-years-old. They was among the first business to supply a guaranteed problem policy in 1968.

For years the Colonial Penn life insurance company has focused on selling life insurance to older customers. Its most preferred plan is an assured concern entire life plan for people 50 and also older. Colonial Penn additionally supplies term life insurance for ages 18 to 75, yet the optimum protection amount might be as well tiny for several families.

Colonial Penn Program

Colonial Penn life insurance company uses a series of life insurance products that combine simplified underwriting with a limited death benefit. They’re finest suited in the direction of consumers that do not always desire a big payout, probably simply sufficient to cover expenses connected with their passing away, as well as would usually have trouble obtaining insurance coverage somewhere else as a result of their age or a medical history.

While the prices for Colonial Penn’s guaranteed acceptance insurance coverage are on-par with those readily available for comparable final cost items, if you’re in good health or young, we would certainly suggest you to compare quotes from other insurance companies. Colonial Penn’s term as well as entire life insurance policy items do not require a medical examination and also have a maximum death benefit of $50,000, indicating you’ll normally pay higher costs and won’t have the ability to purchase a better amount of insurance coverage must your economic needs transform.

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Colonial Penn Life Insurance Policies

  • Term Life Insurance
  • Guaranteed Acceptance Program
  • Whole Life Insurance

 

Colonial Penn Term Life Insurance

Colonial Penn offers a term life insurance policy plan, implying you basically start a new term annually. Their term life policy likewise has a minimal survivor benefit, with the maximum worth being $50,000, which can be marked to either 1 or 2 beneficiaries.

Price

Given that the plan has term, the costs you pay boost as you get older, commonly in 5-year increments. For instance, a woman that purchased $50,000 of insurance coverage would certainly pay:

  • $ 35.21 per month between the ages of 41 to 45
  • $ 45.21 each month between the ages of 46 to 50
  • $ 56.46 each month in between the ages of 51 to 55

This suggests that if you recognize that you want insurance coverage for a longer amount of time, you’ll pay a higher average premium with Colonial Penn than if you purchased a longer term plan in other places (such as a 10-year or 20-year term) considering that your risk account increases with age.

In addition, you can discover reduced prices with other insurance companys for significantly greater levels of coverage since Colonial Penn has a minimal underwriting process with no medical exam. This increases costs, as they’re incapable to concompany your wellness standing. Provided these aspects, if you’re fairly healthy and balanced and also not worried about your capacity to pass a medical exam (they’re basic and also just take around 30 minutes), you can conserve a lot of money in time by getting a completely underwritten policy elsewhere.

Limitations

Colonial Penn does not supply term life insurance policy in Maine, Massachusetts, Montana, New York, or Vermont. New plans are only readily available until age 75 however, if you already have coverage in place with Colonial Penn, you can continue to renew every year and keep insurance coverage up until age 90.

Riders

You can purchase the following riders with a life insurance policy with Allstate.

  Riders With A Life Insurance Policy

Colonial Penn Guaranteed Acceptance Program

Colonial Penn’s Guaranteed Acceptance Program is an entire life insurance plan with a restricted death benefit, and also is commonly marketed to seniors that intend to reduce their family members’s economic influence upon their death.

Unlike some final expense insurance items that let you select a particular payment, Colonial Penn accumulates your age, gender and place, then assigns you a “unit” of protection which can be purchased for $9.95. Because the cost is taken care of, the amount of insurance coverage available each differs according to your risk account. The minimum value of an unit of coverage is around $400 and also the optimum is around $2,100, indicating the optimum death benefit you might choose, thinking you qualified, is less than $17,000.

Since the Guaranteed Acceptance insurance policy is a type of whole life insurance, it builds up a cash value which can be obtained versus at an 8% yearly rate of interest.

Cost

Monthly costs are directly tied to the variety of units of insurance coverage acquired, with 1 system amounting to $9.95 each month. Since you can acquire approximately 8 devices, the maximum regular monthly premium is $79.60 (8 increased by $9.95/ mo). Keep in mind that, if you pay yearly, you obtain a discount rate equal to one month’s costs, or an 8.3% discount rate for the year.

Limitations

A Guaranteed Acceptance policy can just be bought in between the ages of 50 to 85, as well as the plan’s survivor benefit is restricted for the initial 2 years of coverage. This simply suggests that, in case that you passed away throughout the very first 2 years of protection, unless your passing was thought about to be an unintentional death by the insurance company your beneficiaries would just get a small payment (the sum of your costs settlements with 7% passion compounded yearly). This sort of clause is frequently consisted of by every insurer that supplies assured approval plans, as it would not be economical for them to offer such an item otherwise.

Colonial Penn Whole Life Insurance

If you’re willing to address health inquiries concerning on your own or have not yet reached 50, Colonial Penn offers typical entire life insurance as a choice to their Guaranteed Acceptance Program. Given that they’re much better able to evaluate your risk with the wellness concerns, this plan’s death benefit can be as high as $50,000 in value, though this is still substantially less than what is offered through alternate insurance companys.

Colonial Penn Life Insurance Company Customer Reviews & Complaints

Colonial Penn has a A-, or Excellent, score from A.M. Best, showing their financial strength as a life insurance company which is mirrored in their favorable responses. Several beneficiaries have experienced a fast and also basic claims procedure when their enjoyed ones passed.

However, Colonial Penn obtains a substantial number of problems recommending they have hostile sales techniques targeting the elderly .On top of that, several buyers felt they purchased either the wrong product or an item whose functions weren’t effectively explained in advance.

While this holds true for any kind of insurance policy product, if you’re considering purchasing life insurance from Colonial Penn, it’s unbelievably crucial to assess all papers as well as products yourself before submitting an application or acquiring coverage.

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