Guaranteed Life Insurance
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Guaranteed life insurance policies are a type of life insurance policy that guarantees approval, regardless of your health or medical history. This is in contrast to traditional life insurance policies, which require medical exams and underwriting.

Guaranteed life insurance policies are often a good option for people who have serious health conditions or who have been declined for traditional life insurance. They can also be a good option for people who are looking for a simple and straightforward life insurance policy.

In this article, we’ll take a comprehensive look at guaranteed life insurance policies. We’ll discuss the different types of policies available, their benefits and drawbacks, and how to choose the right policy for you.

What is Life Insurance with Guaranteed Acceptance?

Life insurance that is guaranteed doesn’t require a medical exam or inquiries into your past health. It ensures acceptance, as the name suggests, but at a price.

Because insurers do not know the risk tolerance of each applicant, guaranteed life insurance plans typically have low face values of up to $25,000 and high premiums. Contrary to most permanent life insurance, policies frequently lack a cash value component. It may have a graded death benefit, meaning that it doesn’t pay the full death benefit until a waiting period of two or three years has passed.

Offering a small death benefit and accepting any policyholder regardless of health status, guaranteed acceptance policies work for seniors who wish to cover their end-of-life expenses, such as funeral costs, and for people who were denied traditional life insurance because of chronic health issues.

How Guaranteed Life Insurance Works

To approve you for the policy and determine the costs when you apply for guaranteed life insurance, your insurance provider will ask you a few straightforward questions. Unless they fall below or beyond an age restriction, most applicants for assured issue policies usually cannot be denied. The application process is typically short and easy because no medical exams, health questionnaires, or reviews of your medical records are required.

When you purchase your policy, you will also select the level of coverage. This death benefit is a “graded benefit”; therefore, it won’t start working until after your policy’s grading period. If you pass away within that graded time, your insurance provider will reimburse your family for your premiums plus interest.

Your beneficiaries will be eligible for the entire payout once the grading period ends. Your beneficiary, who can be your spouse, kid, or another person of your choice, is the person who will get your death benefit.

Pros of Guaranteed Life Insurance

Guaranteed issue life insurance has the following benefits and drawbacks:

Pros of Guaranteed Life Insurance:

  • These programmes aid in covering persons who might typically have trouble obtaining life insurance.
  • You can save time by avoiding a doctor’s visit and preceding the physical examination and medical questions.
  • The policyholder can adjust the death benefit and is typically between $2,000 and $25,000.7 Drawbacks of Life Insurance with Guaranteed Issue

However, there are several drawbacks of guaranteed acceptance life insurance to be aware of:

  • Because they are thought to be riskier, these plans are typically more expensive than standard term and whole life insurance.8
  • Because there is frequently a first-time waiting period, you cannot immediately use the benefits of these programmes.
  • The beneficiaries won’t get the death benefit if the policyholder dies before the waiting time is up.

How Can  Family Members Profit from Guaranteed Life Insurance?

Guaranteed issue insurance can assist in defraying funeral and burial costs without taking money out of your estate’s other assets. The distribution is unconditional, so your beneficiary can select how to utilize the money. Although they have the option, people frequently use their money for the following:

#1. Funeral Costs

The National Funeral Directors Association reports that the average funeral cost in today’s society is above $9,000.  This can include costs for your family’s burial or cremation service, last preparations, caskets, and other requirements.

#2. medical expenses

Depending on the circumstances of someone’s death, medical expenses could increase right before passing away. Hospital stays, medical procedures, prescription drugs, and specialized care costs may be included. Costs related to care in a nursing home or skilled nursing facility may also be included toward the end of life.

#3. Debt

Many people pass away in debt, whether from credit card debt or personal loans. Your family won’t have to worry about paying the debt if you use a whole life insurance policy to pay it off. That might also assist in preserving the value of the estate you leave behind.

#4. Family daily costs

Working can be tricky during the days and weeks following a death. Some persons might also depend on surviving family members’ income, such as Social Security benefits, pensions, or disability payments. For a brief while, the death benefit may aid with financial requirements.

#5. Additional requirements

Although the cash payout on many guaranteed issue plans can be used for any reason, many are designed to pay final expenses. The beneficiary may decide to spend the death benefit for any purpose, including the following if funds from another source have already covered burial and funeral costs:

Top Companies for Guaranteed Life Insurance

Our best selections for life insurance providers that provide guaranteed-issue policies are shown below:

#1. Fidelity Life

Fidelity Life is a reliable option. Final expenditure, whole life, and accidental death benefit policies are among the alternatives for permanent no-exam coverage.

Fidelity Life’s brand reputation takes a hit. Other businesses on this list scored higher even though their A- rating from AM Best indicates exceptional financial stability. It also receives more complaints than other service providers of comparable size, which speaks highly of its customer support.

Insurance Options

The guaranteed issue option from Fidelity Life is a cost-effective last-expense insurance with level premiums for the duration of the policy and a death payout of up to $25,000. Additionally, Fidelity provides final expense insurance with a more significant amount, up to $35,000, that doesn’t need a medical exam but does entail a streamlined underwriting procedure. Fidelity will allegedly approve these regulations within days.

#2. Nationwide

A medical exam is unnecessary for the Nationwide Simplified Whole Life policy, which provides coverage ranging from $10,000 to $50,000. This policy is designed for those who seek a straightforward application process and a sufficient death benefit to assist beneficiaries with modest bills like funeral costs and outstanding debt. The Nationwide policy is a permanent life insurance plan, not a term life policy, in contrast to those offered by other providers. The policy is valid for the insured’s life if premiums are paid. You must already have an insurance policy (such as a house or auto policy) with Nationwide or be willing to acquire an additional independent Nationwide policy to be eligible for this no-exam policy.

#3. State Farm

State Farm provides two no-exam life insurance options: Instant Answer Term Insurance and Guaranteed Issue Final Expense. With death benefits of up to $50,000, the Instant Answer Term Insurance policy offers the highest coverage maximum. It only provides coverage up until age 50 and has a relatively brief tenure of 10 years. Because premiums are level, they won’t alter over time. However, you’ll probably pay extra if you get a new term policy after your current one expires.

If you are over 50, you might want to consider State Farm’s Guaranteed Issue Final Expense insurance, open to applicants between 50 and 80. However, the death benefit is only between $10,000 and $15,000.

#4. Mutual of Omaha

Mutual of Omaha has provided both groups and individuals with life insurance, pension, and annuity products. The company, which has been in operation for over a century, has an A+ rating from AM Best, indicating that it has the financial wherewithal to cover sizable claims, the capacity to support permanent life claims, and the stability to weather economic ups and downs.

To answer policy questions, Mutual of Omaha features a user-friendly website and a useful live chat tool. Through its website, getting a quote for a term or whole life insurance is remarkably simple. Alternatively, individuals who prefer a more conventional experience might call a local agency.

Insurance Options

The guaranteed issue whole life insurance policy from Mutual of Omaha provides applicants between the ages of 45 and 85 with benefits of $2,000 and $25,000. Applying is simple, and approval comes quickly. You will need five minutes to finish the four steps of the process, 

Mutual of Omaha also provides fully underwritten plans, such as one term policy and three universal life policies, as well as simplified-issue plans that do not require a medical exam but do require basic health information.

#5. Haven

The insurer’s no-medical-exam term life insurance option, Haven Simple, comes in terms of 5, 10, 15, and 20 years. Level premiums are offered, and the entire application procedure is done online. Ages 20 to 55 are the only ranges for which the Haven Simple policy is available. Unfortunately, this coverage isn’t available if you live in California, Delaware, North Dakota, South Dakota, or New York.

Consider the company’s Haven Term policy, which has a death benefit of up to $3 million if you need more insurance coverage. A medical examination could be necessary to apply for Haven Term.

#6. USAA

The general public can purchase the Essential Term and Guaranteed Whole Life no medical examination life insurance policies from USAA. Only applicants between the ages of 21 and 35 are eligible for the Essential Term policy, which includes a $100,000 death benefit and expires when the insured turns.

The Guaranteed Whole Life policy provides a lesser death benefit of between $2,000 and $25,000 but a higher age range for applicants of 45 to 85, depending on the state where you live. Mutual of Omaha is the underwriter of this policy. The premiums for both insurance are set.

Children’s term life insurance, term life event options, and future insurability for military personnel are a few of the available riders. Online application processes and prices are available to applicants.

What is a Guaranteed Life Insurance Policy?

With guaranteed issue life insurance, you can avoid answering health-related questions and having a physical. This is a form of whole-life insurance coverage.  In some contexts, it may be referred to as guaranteed life insurance or assured acceptance life insurance.

Can You Get Guaranteed Life Insurance?

Because guaranteed whole life insurance is perpetual, the death benefit lasts as long as you make premium payments. Additionally, you might be able to lock in a particular rate and guarantee a death benefit that will never decrease.

Is Guaranteed Plan Good or Bad?

In essence, guaranteed insurance policies offer returns that do not outpace inflation, which means that over time, they do not increase your money. Guaranteed return insurance plans are not an intelligent investment because some individuals can be risk averse and not want to engage in equities.

What Type of Life Insurance Has No waiting period?

There is no waiting period for life insurance products like guaranteed issues, simplified issues, group life insurance, and some whole life insurance policies.

How Do I Get Life Insurance If I Keep  Getting Denied?

You can apply to insurers with the best odds of acceptance with the aid of a licenced insurance agent who works with numerous insurers. If you are rejected for life insurance, an agent can assist you with the application and the appeals procedure.

Does Guaranteed Life Insurance Have a Cash Value?

Permanent, paid-up life insurance is promised to PUAs. Once obtained, this can offer you a guaranteed death benefit and an increasing cash value. Over time, the compounding accumulation of PUAs can provide a more considerable death benefit and cash value, which can help counteract inflation’s effects.


If you meet the age and location conditions, guaranteed issue life insurance offers a quick application procedure and coverage that you can’t be denied. However, you might want to consider other life insurance options, such as simple issue insurance, which requires you to answer a few medical questions unless different types of life insurance coverage have rejected you.

We advise requesting quotes from each company above if guaranteed issue life insurance is the best option for you. You might also wish to contact a life insurance agent to learn more about your options.


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