Liberty Bankers Funeral Insurance Review: Plan Facts

Liberty Bankers Funeral Insurance Review
Liberty Bankers Funeral Insurance Review: Plan Facts

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Many companies offer life insurance, but only a small handful has plans designed for funeral costs and final expenses. The first step in finding the best burial insurance companies and plans is researching and reviewing the options.

Our industry experts have reviewed the Liberty Bankers Insurance Group and the burial insurance plans that are offered.

Liberty Bankers Funeral Insurance Review

Liberty Bankers Life was established in 1958. Offering final expense life insurance, health, and fixed annuity products, this company has established a good reputation over the past 60+ years. With over $1.8 billion in total assets, this carrier is financially strong.

Liberty Bankers Insurance Group also has two other affiliates under its control.

American Benefit Life Insurance Company: American Benefit Life was purchased in 2002 by Liberty Bankers Insurance Group. As of 2018, they have over $186 million in total assets.

The Capitol Life Insurance Company: Liberty Bankers Insurance Group purchased Capitol Life in 2007. As of 2018, they have over $301 million in total assets.

As of 2019, these three companies have over $2.46 billion of total assets.

Company Details

  • Established: 1958
  • A.M. Best Financial Rating: B+ (good)
  • Headquarters: Dallas, Texas

Plan Types

  • Plan 1: SIMPL Preferred/Standard
  • Plan 2: Modified Whole Life

Both funeral insurance plans come with permanent whole life benefits.

Price Lock: The price will never change. This allows seniors on a fixed income to budget for the costs well into the future with no surprise rate increases.

Coverage Lock: The death benefit will never decrease or terminate. This allows families to know that funeral costs will be taken care of regardless of how old the policyholder lives.

Builds Cash Value: With each monthly premium payment, a portion will go towards the cash value. Over time this amount will grow and can be borrowed from if the policyholder chooses.

Plan 1 SIMPL

Plan 1: SIMPL Preferred & Standard

Quick Facts

  • Age Eligibility: 18 – 80
  • Coverage Amount: $3,000 – $30,000
  • State Availability: 42 states & DC (excluding AK, CT, MA, MN, NH, NY, RI, VT)
  • Medical Exam: No
  • Health Questions: Yes
  • Waiting Period: No
  • Permanent Coverage: Yes
  • Builds a Cash Value: Yes
  • Smoking Rates: Yes

Day-One Coverage 

The SIMPL plan offers immediate coverage. This awards protection on the first day the policy is issued. Depending on how the medical questions are answered, the applicant will qualify for either Preferred or Standard rates. Seniors over 80 will not be eligible for this plan.

Preferred: Stricter qualifying standards and lower prices

Standard: Slightly more lenient underwriting with higher prices

Accelerated Death Benefit Rider

This rider is included with the plan at no additional charge. For the Accelerated Death Benefit, up to 80% of the coverage amount may be paid out with proof of a qualifying event.

Qualifying Events:

  • Terminal Illness Benefit (Defined as having less than 24 months to live)
  • Chronic Illness (Defined as having a Chronic Illness diagnosed by a Certified Physician)

Liberty Bankers Preferred and Standard Funeral Insurance Quotes

Preferred rates are cheaper than Standard. Both of these plans have similar premiums to competitors like Foresters Financial. These are non-smoking rates.

Female

Monthly Premiums

$10,000 of coverage

Age Preferred Standard
45 $23 $29
50 $26 $31
55 $30 $37
60 $35 $44
65 $43 $57
70 $55 $75
75 $76 $102
80 $109 $146

Male

Monthly Premiums

$10,000 of coverage

Age Preferred Standard
45 $27 $32
50 $31 $37
55 $37 $47
60 $46 $59
65 $56 $81
70 $73 $107
75 $100 $147
80 $147 $214

Plan 2 Modified

Plan 2: Modified Whole Life

Quick Facts

  • Age Eligibility: 40 – 80
  • Coverage Amount: $1,000 – $20,000
  • State Availability: 42 states & DC (excluding AK, CT, MA, MN, NH, NY, RI, VT)
  • Medical Exam: No
  • Health Questions: Yes
  • Waiting Period: Yes
  • Permanent Coverage: Yes
  • Builds a Cash Value: Yes
  • Smoking Rates: Yes

Waiting Period Payout Structure

If you were to pass away in the first three policy years, your beneficiary would receive a distribution amount of all paid premiums plus 10%. In year 5, the death benefit would be 105% of the face amount, and in year 6, the distribution would be 110% of the death benefit.

Great Western Insurance Company (GWIC) has a similar payout structure of offering up to 125% of the death benefit.

Example: $10,000 Policy

A $10,000 policy would have a final death benefit of $11,000.

  • Year 1: All paid premiums returned plus 10%
  • Year 2: All paid premiums returned plus 10%
  • Year 3: All paid premiums returned plus 10%
  • Year 4: $10,000
  • Year 5: $10,500
  • All other years: $11,000

Liberty Bankers Burial Insurance Quotes

The Modified Whole Life plan is higher priced than the competition. These are non-smoking rates.

Monthly Premiums

$10,000 of coverage

Age Female Male
45 $35 $42
50 $37 $47
55 $44 $56
60 $53 $68
65 $65 $88
70 $89 $116
75 $118 $159
80 $163 $228

Liberty Bankers Final Expense Insurance Health Questions

There are two parts to the Liberty Bankers medical underwriting application.

Part 1 medical questions

Part 1

Have you ever been diagnosed have you been diagnosed, treated, tested positive for, or been given medical advice by a member of the medical profession for:

1. Congestive heart failure (CHF), cardiomyopathy, memory loss, Alzheimer’s, senile dementia, dementia, heart defibrillator implant, two or more instances of internal cancer(s) or terminal illness (terminal illness means a disease or illness that is expected to result in death within 24 months)?

2. Organ transplant (other than corneal), untreated Hepatitis C, kidney failure or dialysis, amputation due to diabetic complications, multiple sclerosis, muscular dystrophy, mental retardation, amyotrophic lateral sclerosis (ALS) or Lou Gehrig’s disease, Downs’s syndrome, cystic fibrosis or Huntington’s disease?

3. Diabetes at age 9 or younger?

4. AIDS, AIDS Related Complex, tested positive for HIV virus or any other disorder of the immune system?

Within the last 2 years, have you been diagnosed, treated, tested positive for, or been given medical advice by a member of the medical profession for:

5. Uncontrolled diabetes or uncontrolled high blood pressure?

Within the last year have you:

6. Been confined to a hospital, been advised by a member of the medical profession to have surgery or hospitalization, used oxygen due to a medical condition, been unable to care for yourself or been prescribed bed rest by a member of the medical profession at home or in a nursing home, hospice, long-term care or assisted living facility?

Definition of assisted living: requires help in at least one area of skills considered necessary for living and caring for oneself (feeding, dressing or bathing)

Part 2 medical questions

Part 2

Within the past 2 years have you been diagnosed, treated, tested positive for, or been given medical advice by a member of the medical profession for:

(a) Angina (chest pain), any type of heart or circulatory surgery, heart attack, or received a pacemaker or stent?

(b) Stroke, Transient Ischemic Attack (TIA/mini-stroke) or paralysis?

(c) Cancer or received or been advised to receive chemotherapy or radiation for cancer (the term “cancer” includes melanoma, but excludes basal cell skin cancer)?

(d) Aneurysm, brain tumor or sickle cell anemia?

(e) Complications of diabetes such as nephropathy (kidney), neuropathy (nerve, circulatory), retinopathy (eye) diabetic coma or insulin shock?

(f) Alcohol or drug abuse, have you used illegal drugs or been convicted of felony or on parole?

(g) Used a walker, wheelchair or electric scooter due to chronic illness or disease?

Part 3 medical questions

Part 3

Have you ever been diagnosed, treated, tested positive for, or been given medical advice by a member of the medical profession for:

(a) Chronic Obstructive Pulmonary Disease (COPD), chronic bronchitis, emphysema, peripheral vascular disease or peripheral artery disease?

(b) Chronic hepatitis, Hepatitis C, cirrhosis of the liver, chronic pancreatitis, liver disease or kidney disease?

(c) Insulin use before age 25?

(d) Irregular heartbeat, atrial fibrillation, Systemic Lupus (SLE), epileptic seizures, Parkinson’s disease?

Part 4 medical questions

Final Thoughts About Liberty Bankers Burial Insurance

a. This Liberty Bankers funeral insurance review has shown that this company has competitive pricing for their Preferred and Standard plans.

b. Do not buy their Modified plan. This plan comes with higher price points than the competition.

c. Speak with an independent agent who can navigate you through the different carriers’ health restrictions.

Willamette Life specializes in final expense life insurance and will find you the best plans at the lowest possible prices.

Call us at 844-576-0019

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