Top 3 Guaranteed Issue Plans [+1 Pro Tip]

Guaranteed Issue rubber stamp approval
Top 3 Guaranteed Issue Plans [+1 Pro Tip]

Have you ever received promotional mail or seen a TV commercial promoting a “no medical exam” life insurance policy?

They make it sound so simple and easy to receive coverage.

There are tons and tons of products that market direct to the consumer’s mailbox and television set.

Does this advertisement look familiar?

Alex Trebek

Companies like Colonial Penn are the most frequent promoters of these products.

The truth is this is just a marketing ploy.

The intention of this article is to cut through the smoke and find the best plan for you.

More importantly than finding the best plan, making sure that a “no medical questions” product is right for you.

Guaranteed Issue

To get started this plan type is one that you apply for with no health questions. To be eligible for coverage you need to be able to sign your name and be a willing participant in receiving coverage.

That’s it!

Also known as Guaranteed Acceptance, this plan is meant for someone who has had recent or chronic severe health conditions or simply does not want to spend the extra 20 minutes answering health questions.

Blue Approved stamp

What is a Guaranteed Issue Product?

Every plan has a few simple elements included.

The most notable is that there are No Health Questions asked. This is valuable and important to someone who has had recent major surgery or a chronic illness.

Here are a few of the basic benefits:

Basic Benefits:

  • No Expiration
  • Premiums never increase
  • Coverage is locked and never changes
  • Builds Cash Value
  • No Medical Exam
  • No Health Questions
  • Waiting Period (Typically two years)
  • Tax-free lump-sum paid to the beneficiary

Policy amounts can range from $1,000 – $40,000 of coverage.

When you should apply?

You should only apply for Guaranteed Acceptance if you currently have any of the following health conditions:

  • Bedridden
  • Confined to hospital, nursing home, mental care, or Long Term Care facility
  • On Hospice
  • Diagnosed with a terminal illness
  • Currently have or receiving treatment for invasive cancer
  • In the past 24 months diagnosed with: Alzheimer’s, Dementia or Memory Loss, receiving Kidney Dialysis, 24-hour Continuous Oxygen use, Implanted Difibulator, or Organ Transplant

If you have one of the conditions above you will want to apply for a plan that requires no medical questions.

If you do not have any of the above health concerns there are better plans you can qualify for. We will discuss these additional options later on in this article.

Top 3 Plans

1. AIGBlack and white AIG logo

AIG has been selling insurance since 1919 and is extremely well known with a great reputation.

Quick facts about this plan:

  • Age Eligibility: 50 – 80
  • Coverage amount: $5,000 – $25,000
  • Available in 49 states (NY not included)
  • 2-year waiting period
  • Accidental death benefit during the waiting period
  • 30-day money-back guarantee
  • Builds cash value
  • Chronic Illness Accelerated Death Benefit
  • Terminal Illness Accelerated Death Benefit
  • Required premium payments stop at or before the age of 90

1 Thing to knowthe number one green circle

This plan comes with living benefits

This is extremely rare with a plan that asks no medical questions. Besides the price point, this feature is a major reason why it made number one on our list.

There are two living benefit riders available.

Terminal Illness Accelerated Death Benefit

This feature pays 50% of the policy face amount in the year the benefit is accelerated. The remaining policy amount with this benefit will be paid to the beneficiary after the insured’s death.

This additional benefit is important for many reasons but if you do receive a terminal diagnosis and would like to have a chunk of money to pay for important bills, this would be an option.

You will be hard-pressed to find a product with guaranteed coverage in the market today that offers living benefits!

*If death is due to suicide, premiums are returned to the beneficiary.

Chronic Illness Accelerated Death Benefit

This pays a one-time lump-sum of up to 25% of the face amount of the policy. This money can be used to pay for any purpose the insured deems necessary.

The remaining death benefit will be paid to the beneficiary once the policyholder has passed.

How to activate: Chronic illness is defined by not being able to do 2 out of the 6 activities of daily living. These activities include eating, bathing, getting dressed, toileting, showering, transferring.

*Chronic Illness Rider limited to the total premiums paid for the policy up to 50% of the coverage amount.



Monthly Premiums


Monthly Premiums


Should I apply for the AIG Plan?

This product has everything you would want and need in a plan without medical questions. If you have severe health concerns this plan maybe your best option.

2. Gerber

Gerber has sold products to American households since 1928. In 1967 the company stepped into the life insurance space.Gerber logo

Gerber is one of the most well-known brands in the United States and can be trusted at the highest level.

Quick facts about this plan

  • Age eligibility: 50 – 80
  • Coverage amount: $5,000 – $25,000
  • Available in 49 states (MT not included)
  • 2-year waiting period
  • Accidental death benefit during the waiting period
  • 30-day money-back guarantee
  • Builds cash value

1 thing to knowthe number one green circle

This plan is available in the great state of New York.

It is hard to find a plan available in the state of New York due to the state’s stringent restrictions.

Also, the price point is extremely affordable with this plan.

There are very few products on the market today that can beat it.

This product is neck and neck with AIG’s plan.



Monthly Premiums


Monthly Premiums


Should I apply for the Gerber Plan?

This plan is extremely competitive in price and would be a fine choice if you do not have access to the AIG plan.

If you live in the state of New York this is your best option.

3. Great WesternGreat western blue logo

Great Western was Established in 1983 and has been a rock-solid option for many years.

Quick Facts About This Plan

  • Age availability: 40 – 80
  • Coverage amounts: $1,000 – $40,000
  • Available in 41 states (AK, CT, DE, HI, ME, NY, RI, VT, WA not included)
  • 2-year waiting period
  • Accidental death benefit during the waiting period
  • 30-day money-back guarantee
  • Builds cash value

1 thing to knowthe number one green circle

Offers up to $40,000 of coverage

If you need a bigger policy amount this carrier is extremely valuable.

Most policies with no medical questions offer a maximum of $25,000 in coverage.

Great Western offers up to $40,000!



Monthly Premiums


Monthly Premiums


Should I apply for the Great Western Plan?

If you have a need for a bigger policy amount we recommend this product.

Otherwise, AIG or Gerber is a better choice due to the price point.


Guarantee Trust LifeBlack and white GTL logo

Guarantee Trust Life (GTL) Heritage Plan is not technically a Guaranteed Acceptance plan because 5 medical questions are asked.

But we feel obligated to include this product on the list.

The reason is that the 5 medical questions are so very simple and nearly everyone can qualify.

Quick facts about this plan

  • Available in 48 states (CA, NY not included)
  • Age eligibility: 40 – 90
  • Coverage amount: $2,500-$25,000
  • Premiums never increase
  • Coverage is locked and never changes
  • 5 simple health questions
  • No medical exam
  • 2-year waiting period
  • Favorable waiting period death benefit
  • Builds cash value
  • Temporary accidental death benefit
  • Auto premium loan

1 Thing to knowthe number one green circle

Policy structure is very favorable

Because GTL asks you to answer 5 health questions the policy structure is better than the last three plans we recommended. Guarantee Trust Life does this by providing partial coverage after just ONE year!

  • Death Benefit in year 1 – Paid premiums returned plus 5%
  • Death Benefit in year 2 – 50% of the face amount
  • Death Benefit in year 3 and beyond – 100% of the face amount

This is a payout structure you should take advantage of if you can.



Monthly Premiums


Monthly Premiums


Health Questions

Health questions green check mark and red x

1. Within the last twenty-four (24) months, have you been receiving kidney dialysis, require 24-hour continuous oxygen use (excluding CPAP), have an implanted defibrillator or received or been advised by a member of the medical profession to get an organ transplant?

2. Within the last twenty-four (24) months have you been diagnosed with or treated by a member of the medical profession for Alzheimer’s, dementia, or memory loss?

3. Currently diagnosed as having, or receiving treatment by a member of the medical profession for invasive cancer (excluding Stage A Prostate Cancer, Carcinoma in Situ, and Squamous Cell/Basal Cell Carcinoma)?

4. Are you currently bedridden, confined to a hospital, nursing home, mental care facility, long-term care facility, hospice, or been diagnosed with a terminal illness?

5. Have you been diagnosed by a member of the medical profession as having the Human Immunodeficiency Virus (HIV), ARC, or AIDS?

Guaranteed Acceptance Vs. GTL Heritage Product

A plan with no medical questions is right for you if you have severe medical complications and are unable to answer “NO” to the 5 GTL health questions.

Two plans vs each other

There is a sweet spot for those individuals who are healthy and who are unhealthy, GTL hits this sweet spot.

If you are able to qualify for GTL, apply for this plan. It has a better policy payout structure and an equal or better price point than the other plans we reviewed.

Company Comparisons

We have taken the opportunity to place the top three companies and GTL side by side.


$10,000 Coverage

AgeGerberAIGGreat WesternGuarantee Trust Life


$10,000 Coverage

AgeGerberAIGGreat WesternGuarantee Trust Life

Can I Qualify for a better plan?

This plan type is not for everyone, we have shown you that you may be able to qualify for the GTL Heritage Plan but could you do even better than that?

Some individuals can qualify for a much better price point and coverage structure.

Every insurance company has different requirements when it comes to health conditions.

The only way for you to know with 100 percent certainty is for you to speak with an independent agent that has access to multiple carriers.

Willamette Life will be able to guide you through the process.

Building blocks with pictures on them

Other Plan Types

It is key to understand all of your options.

Besides plans with no medical questions you have three other options.

Option 1: Level

This plan is meant for the healthiest of clients. Coverage goes into effect on day one and you will need to answer a wide variety of health conditions and be able to prove your in great health.

Along with first-day coverage comes the lowest price point.

Option 2: Graded

Typically coverage is a two year waiting period with a favorable payout structure.

Example: If the insured were to pass away in the following years this is how the payout structure would look:

  • Year one: 30% of the coverage amount
  • Year two: 70% of the coverage amount
  • Year three: 100% of the coverage amount

This plan also requires you to answer health questions but would be a good second option if you are unable to secure day one coverage.

Option 3: Modified

This plan has a two-year waiting period that typically returns all premiums paid plus 10% interest. This plan also asks health questions.

The fact of the matter is no one should ever buy this plan type.

We believe this because you can find a plan that asks no health questions and has better rates.

Simply put, the only reason someone would buy this plan is if they were misinformed.

Final Thoughts

a. Before applying for any Guaranteed Issue Plan talk with an independent agent to make sure you are not missing out on a cheaper plan with immediate coverage.

b. If you do need a plan with no health questions then make sure you are not buying from a promotional mailer or tv commercial. This is the worst way to buy a plan. Secure your product through an independent agent who has access to one of the three plans on this list and of course GTL’s Heritage Plan.

Willamette Life has partnered with all four of these carriers and can help you secure the coverage you need.

Call us at 844-576-0019

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