State Farm Life Insurance With Pros & Cons

State Farm is a group of insurance companies headquartered in Bloomington, Illinois, which provides its services throughout the United States. It offers a range of life insurance products, including term, whole, universal policies with no medical exam requirements. Considering State Farm life insurance to buy your policy is a good option if you want to get it quickly. 

Pros of State Farm life insurance policy

State Farm life insurance opens the window for choosing whole life, term life, and universal life policies. It also offers different coverage options, and riders customize the policy according to their needs and requirements.

Unlike most life insurance policies, which require one to give a medical exam, State Farm life insurance offers coverage of up to $50,000 without any medical exam. Moreover, one can also convert the term life policy into permanent coverage irrespective of the health status.

Cons of State Farm insurance policy

Though State Farm insurance offers no medical exam policies, they are only restricted for people between the ages of 16 to 45. Moreover, the benefits are also only limited to $50,000. To get more coverage, one needs to apply for a different policy by going through the procedure of a medical exam.

If you’re looking for online quotes, then State Farm insurance might not be the best option for you. It does allow a person to get quotes online but only for some of the life insurance policies. This online feature is not available for all the products in all the states.

Getting a quote depends on the area where you live and the policy you want. You might need to call an agent to get the quote. Considering the final expenses policies, State Farm only provides a maximum of $10,000.

However, according to the data generated by National Funeral Directors Association, the approximate cost of a funeral along with viewing and burying is $9,135, which doesn’t include the expenses of the cemetery, tombstone, owners.

Therefore, calculating all the expenses will easily surpass $10,000, which is less than what is provided by State Farm life insurance.

Plans which State Farm life insurance policy offers

Choosing the best insurance policy to protect your family members and their expenses is not that difficult if you have a range of options to choose from. State Farm’s life insurance policy offers ten different life insurance policies. You can choose the one that fits the best for you. 

Term Life Insurance 

Term life insurance is a budget-friendly option for most families. It provides a person with death protection for a fixed period. This insurance is the most popular option for people with young children, for it gives a safer option to pay off the home mortgage when you die.

The State Farm offers three different term life insurance products:

  • Select Term: Herein, one can choose a term of 10, 20 or 30 years. The coverage offered starts from $100,000, which can be increased beyond the loan term after reaching the age of 95, but this will cost you a higher premium.
  • Return of Premium Term: Upon opting for a return of premium term policy, you need to choose an initial term of 20 or 30 years. Suppose you have already paid all your premiums and live longer than the initial insurance term. In that case, the premiums will eventually be returned to you towards the end of the policy term. 
  • Instant Answer Term: This will get you death benefits up to $50,000 without needing you to appear for a medical exam. This insurance is applicable for people between the age of 16 and 45. It will keep you covered until the age of 50 or a maximum of 10 years.

Whole Life Insurance

Whole life insurance provides coverage for an entire lifetime, including paying out a death benefit. It also has a savings component that can accumulate cash value for investment. 

There are four different types of Whole life insurance products:

  • Whole life: This guarantees lifetime coverage for you while your premium stays the same.
  • Limited Pay Whole Life: This requires you to pay a premium only for 10, 15 or 20 years. After that, the coverage will still be there without having you worry about paying monthly premiums.
  • Single-Premium Whole Life: This requires you to make the only single premium payment.
  • Final Expense: With this policy, you can receive coverage of up to $10,000 for burial expenses

Universal Life Insurance

This is a kind of permanent life insurance. The policy in this category has inexpensive premiums, and they are more flexible than the whole life policies. In this, the policyholder can customize their policies which include premiums and death benefits.

There are three options offered by State Farm in Universal life insurance :

  • Universal Life: It is available for people between 0 and 85 with coverage starting from $25,000.
  • Survivorship Universal Life: It covers two people and pays benefits after both the person passes away.
  • Joint Universal Life: The coverage two people will get through the policy will cost lower than buying two separate policies. With this policy, the death benefit is given to the beneficiary when one of the insured dies.
  • State Farm insurance company provides several riders, which a person can add to their life insurance policy. Some of the riders include Children’s term rider, Flexible Care Benefit Rider, Level Term Rider/ Additional Insured, and Waiver of Monthly Deduction for Disability.

Consumer complaints and ratings

According to the National Association of Insurance Commissioners (NAIC) complaint index, State Farm performs quite well. It has recorded complaint fewer than the average number of complaints.

State Farm is an excellent choice for its strong reputation and A+++ rating from AM best. So, if you’re looking for an insurance policy, don’t forget to check out the State Farm insurance. read Moe interesting post keep visiting Our Website.

Leave a Reply

Your email address will not be published.

16 + 1 =

Dental Health Next post Best dental insurance