Royal Neighbors Final Expense Review: 2 Fantastic Options

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Royal Neighbors Final Expense Review: 2 Fantastic Options

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There are many ways to plan for the end of your life financially. Creating a will, leaving detailed instructions explaining what you would like your final arrangements to look like. And of course, the money to pay for the service and celebration of your life.

This is where Final Expense Insurance comes in. There are many top tier products in this industry from Mutual Of Omaha Living Promise to Foresters Financial Preferred Product and of course, Royal Neighbors Level Product.

We are going to take a deep look at this company and comb through the fine print!

Royal Neighbors Final Expense Review

Royal Neighbors was established in 1895. The company started with a singular vision: “To protect women financially and empower them to improve their lives, families, and communities.”

They are also on a mission to provide women and those they care about with the following:

  • Insurance and financial products
  • Financial education
  • Member savings and services
  • Opportunities to connect, and help support their community

Today, Royal Neighbors is one of the longest established women-led insurers providing financial products, member savings, and volunteer programs to its more than 200,000 members.

Bundled with a member saving program and a well-versed philanthropic volunteer program, the company from Illinois makes a very strong case why you should do business with them.

Company Details

  • Established in 1895
  • A.M. Best Company Financial Rating: A-
  • Headquarters: Rock Island, IL

Plan Types:

  • Plan 1: Simplified Issue Whole Life
  • Plan 2: Graded Death Benefit

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Plan 1: Simplified Issue Whole Life

This product is meant for someone between 50-85 in good health that is looking for day one coverage at a good price point.

Quick facts about this plan

  • Available in 43 states: (excluding AL, AK, HI, LA, MA, NH, NY)
  • Age Eligibility: 50 – 85
  • Coverage amount: $5,000-$25,000
  • Premiums never increase
  • Coverage is locked and never changes
  • No waiting period
  • 20 day free look period (or longer if required by state)
  • Automatic premium loan option
  • Builds cash value
  • Accelerated Living Benefit

What does it take to qualify?

You will need to be able to say “NO” to 9 “YES” or “NO” health questions.

(The full list of health questions will be provided later in this article)

Three Things to know


1. Rates and coverage are locked inRoyal Neighbors Final Expense Review Checks 4 green

When you purchase this product your plan will not change. This is crucial when it comes to being able to afford your policy and have it available for your family when it is needed the most.

Time and time again I hear from people who were sold a product that was not right for them. It was sold as an end of life expense plan but it only covered them for a short period before the prices started to rise and eventually, the policy terminated altogether.

Make sure no matter who you buy your policy from it has the terminology “whole life” in it.


2. No waiting periodRoyal Neighbors Final Expense Review Checks 5 green

There are usually two reasons why someone would buy a plan with a waiting period. Sometimes the client has had a recent major surgery or has a very high-risk medical condition that raises red flags for the carrier. The second reason is if they were misinformed or truly did not know how this industry and their plan works.

Each carrier has a different risk tolerance and is willing to insure different niche health conditions.

If you are turned down by a company and they say you have to wait two years to get coverage there usually is a solution to this problem. Make sure you find an independent agency that specializes in this niche of the industry.

They should be able to help you find day one coverage.


3. Favorable underwritingRoyal Neighbors Final Expense Review Checks 2 green

This piggybacks off the last point, but it is important to examine closer. Carriers get to decide how many and what medical questions they ask. The fewer questions they ask, generally the easier the underwriting is, meaning they accept a larger group of people with varying levels of health.

Royal Neighbors has extremely client-friendly underwriting, specifically, they only ask 9 medical questions.

Sample Quotes


*Monthly Premiums



*Monthly Premiums


* Non-smoking rates illustrated above

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Should I Apply For The Simplified Issue Whole Life Plan?

Depending on your health YES!

As explained earlier there is not a one-size-fits-all plan, from our experience, there are other carriers that can offer lower premiums however that comes at a cost. The cost being a more stringent underwriting process.

If you are looking for day one coverage and are on average to below-average health this plan could be perfect for you!

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Plan 2: Graded Death Benefit

This is a graded product that has a two-year waiting period to receive the full death benefit. For this plan to make sense for someone to move forward with they would need to be between 50-85 and not be able to qualify for any other immediate coverage plans.

Quick facts about this plan

  • Available in 43 states: (excluding AL, AK, HI, LA, MA, NH, NY)
  • Age Eligibility: 50 – 85 (WA 50-78)
  • Coverage amount: $5,000-$10,000
  • Premiums never increase
  • Coverage is locked and never changes
  • Two year waiting period with favorable payout during this time
  • 20 day free look period (or longer if required by state)
  • Automatic premium loan option
  • Accidental death benefit
  • Builds cash value
  • Accelerated Living Benefit

What does it take to qualify?

The reason that you would apply for this plan is that you were unable to qualify for a plan with immediate coverage. You will need to answer “NO” to the first 7 “Yes or No” health questions to qualify for this plan.

Three Things To Know


1. Favorable Graded death benefitRoyal Neighbors Final Expense Review Checks 3 green

If your independent agent has exhausted all options and is unable to secure coverage with no waiting period this is your next best option in the industry. This is because of the way the payout is structured if you were to pass away in the policy’s two-year waiting period.

On a typical Graded policy, you would see that if the insured was to pass away in the first two years then the beneficiary would receive back all the premiums paid plus 10%.

With this policy, if the insured was to pass in year 1 they would receive 30% of the death benefit and in year 2 they would receive 70% of the death benefit. If the policy owner passes in year 3 or later they would receive the entire face amount.

This is an extremely favorable deal for policyholders and their beneficiaries when compared against a typical Graded policy on the market today.


2. Accidental death built into the policyRoyal Neighbors Final Expense Review Checks 1 green

If the policyholder were to die due to an accident within the two-year waiting period the beneficiary would be awarded the full death benefit. This is a small but beneficial addition to an already stellar Graded product.


3. Maximum policy of $10,000Royal Neighbors Final Expense Review Checks 4 green

It all depends on the reason you are looking into this policy. For your Final Expenses, $10,000 would give your beneficiaries enough money to celebrate your life respectfully without any additional financial burden.

However, if you wanted this policy to help with more than just a celebration of life and your family needs to pay for additional debt and medical bills left behind, then $10,000 may not be enough. Good news though! There are plenty of carriers who offer more coverage than this.

Sample Quotes


*Monthly Premiums



*Monthly Premiums


* Non-smoking rates illustrated above

Should I Apply For The Graded Product

If you are in good health you should be able to find a policy that offers immediate coverage. This graded plan is much better than a generic Guaranteed Acceptance plan you may have received information about in the mail from John Hancock or a wide variety of other companies.

It depends on your health and the amount of coverage you are looking for. If you are looking for a small policy amount and cannot qualify for immediate coverage, this is one of the best Graded plans on the market.

If you are in average to below-average health this plan could be the right fit for you.

Here at Willamette Life, we will be able to guide and navigate you through the process! Call us at 833-518-0080.

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Medical Questions

1. Has the proposed Insured used tobacco in any form in the last 12 months?

If you answer YES to questions 2 through 7, the proposed insured is not eligible for ANY coverage with this company.

2. Is the Proposed Insured currently:
a. Hospitalized, in a nursing facility, or receiving Hospice Care?
b. Confined to a wheelchair, bed, or using oxygen equipment to assist in breathing?

3. Has a member of the medical profession ever diagnosed or treated the Proposed Insured for Acquired Immune Deficiency Syndrome (AIDS), AIDS Related Complex (ARC), or any immune deficiency disease; or has the Proposed Insured tested positive for the Human Immunodeficiency Virus (HIV)?

4. Has the Proposed Insured ever been diagnosed as having or been treated for:
a. Congestive heart failure, or had or been recommended to have an organ transplant?
b. Insulin shock, diabetic coma, amputation caused by disease, or taken insulin shots prior to age 30?
c. Dementia, Alzheimer’s Disease, or mental incapacity?

5. During the past 18 months has the Proposed Insured been diagnosed as having:
a. Stroke, aneurysm, cardiomyopathy, or circulatory surgery?
b. Angina (chest pain), heart attack or failure, or heart surgery?

6. During the past 24 months, has the Proposed Insured been diagnosed as having, or been treated for:
a. Internal Cancer, Melanoma, or Leukemia?
b. Cirrhosis, liver disease, kidney failure (including dialysis), chronic kidney disease, or systemic lupus?

7. During the past 18 months, has the Proposed Insured been diagnosed as having:
a. A condition expected to result in death within 12 months?
b. Been advised by a medical professional to have any diagnostic testing which has not been completed or for which the results have not been received?
c. Been recommended by a physician to have treatment or counseling for alcohol or drug abuse?

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8. During the past 24 months, has the Proposed Insured been diagnosed as having, or been treated for:
a. Stroke, angina (chest pain), heart attack, or cardiomyopathy?
b. Heart or circulatory surgery (including pacemaker, heart valve replacement, bypass, angioplasty, stent implant, or any procedure to improve circulation to the heart or brain)?

9. During the past 24 months, has the Proposed Insured been diagnosed as having, or been treated for:
a. Emphysema, chronic obstructive pulmonary disease (COPD), or tuberculosis (TB)?
b. Neuromuscular disease (including Multiple Sclerosis, Lou Gehrig’s Disease, Epilepsy, or Parkinson’s Disease)?

If you answered NO to all 9 questions, you are eligible for Simplified Issue Whole Life (SIWL).

Available Rider for SIWL & Graded Plans

Accelerated Living Benefit

The additional rider that is available for both plans is an Accelerated Living Benefit. This added benefit allows you to accelerate a payout of 75% of the face amount of the policy.

This can be triggered if you are diagnosed by a physician as having a terminal condition with a life expectancy of 12 or fewer months OR if the insured is confined to a nursing home for 90 days and your physician expects the confinement to be permanent.

The best feature with this additional benefit is that there is no associated cost.
This rider is not available in all states. Please speak with a licensed Willamette Life agent for more information.

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Financial Overview

As of 2019 reports show an excellent financial position. You should feel very secure in working with this carrier knowing that your policy will be paid when your family needs the financial resources most.

Here are some of the numbers for 2019:

  • Assets: more than $1.1 billion under management
  • $195 million certificate holders surplus
  • A.M. Best Credit Rating of A-
  • $3.8 Billion in Life protection
  • $29.2 million in Life policies paid out

Fraternal Benefits Society

It is important to understand what this means because this company operates much differently than a for-profit carrier. A Fraternal Benefit Society is not-for-profit and does not have shareholders to answer to. This allows for giving back to the policyholders in the form of membership benefits.

Also, with this specific company, there is a lot of charity work and overall social good that is done.

Fraternal Benefits Society V.S. Traditional Carrier 

A traditional carrier is a for-profit company and pays into a government program that works as a backstop called “State Guaranteed Fund.” This allows the policyholders to receive their claim if the company was not able to pay the beneficiary. Basically it acts as insurance for the insurance company.

A Fraternal Benefits Society is not-for-profit and is required to manage there own money responsibly for all policies they issue. If they mismanage their money and cannot payout to the beneficiary then there is nothing that can be done and the money paid in by the policyholder is essentially lost.

When it comes to comparing different policies and what carrier you should work with it is important to look at the track record of that company. Do not let other agents use scare tactics on why you should not use a Fraternal Benefits Society.

Royal Neighbors has been in business for over 125 years, this is a company you can trust and know that they will manage their funds properly and also give back to the “certificate holders” through the member savings plan and social good.

Member Savings Plan

Once you obtain a policy with this carrier you are automatically signed up for the wonderful member savings plan that is offered. You can expect to receive the “Members Saving Card” in the mail.

This card will give you access to free and discounted services to participating providers. Last year $1.1 million were saved by members.

*Not all states participate in this program benefits program

Royal Neighbors Final Expense Review Member Benefits Glasses

Some of the great member benefits:

1. Dental visits
In most cases, you will save 20%-40% per visit. Just present your membership card to one of 160,000 participating dental offices.

Some of the services this card can help cover are:

  • Crowns
  • Fillings
  • Orthodontics
  • Periodontics
  • Root Canals
  • X-Rays

2. Glasses, contacts and vision exams

You can save 10%-60% on contacts, glasses, exams, LASIK, and designer eyewear.

3. Labs, scans and other health screenings

When using the membership card for CT Scans, Ultrasounds, and MRI’s save 40%-75%.
Also, save 10%-80% on typical costs for lab work at over 1,500 major clinic laboratories.

This lab work includes:

  • Allergies
  • Cholesterol levels
  • Fertility
  • Liver function
  • Thyroid

4. Hearing

A 2 year supply of hearing aid batteries plus a 60-day money-back guarantee when working with the company Amplifon for your hearing needs.

5. Prescriptions

Save 10%-85% on most prescriptions at thousands of pharmacies around the country. Save on average 46% per prescription, all you need to do is present your membership card.

6. Wills and other legal services

Receive legal advice at a discount rate. Either $125 an hour or 40% of the hourly rate whichever is greater!

The legal advice can be a wide variety of situations including:

  • Traffic tickets
  • Bankruptcy
  • Divorce
  • Spousal and child support
  • Simple Will

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Charitable Contributions

Being heavily involved in social good and philanthropy work is extremely important to this company. It was founded on principles that they have kept as a core to there foundation through today.

You can truly feel that by working with this carrier you are involved with something bigger than just profit and loss metrics.

Here are some of the statistics that were accomplished in 2019!

  • 18 million dollars in social good
  • 175 thousand dollars in scholarships awarded
  • 100 thousand dollars in “Nation of Neighbors” women empowerment grants
  • 1.2 million in philanthropic spent

Final Thoughts

a. Looking through the products during our Royal Neighbors Final Expense Review it is clear that this company is competitive with price and even more understanding when it comes to health conditions and insurability. You should not look far down the list before applying for coverage with this high-class carrier.

b. When looking at the makeup of this company, they put social work and charitable donations over profits. They have had a singular focus since the company was started over 120 years ago. This is a wonderful company to work with on many levels.

Jake Irving

Jake Irving
I’m the owner and founder of Willamette Life Insurance. Willamette Life specializes in Final Expense Insurance. We compare prices with different insurance carriers while finding the perfect match for your health and budget. This company was started to help educate the public on why Final Expense Insurance could be a great option for them and their family. We strive to be friendly, informative, and always have the client’s best interest as our top priority. Everything in this article is my own professional opinion and experiences I have had during my time in helping clients.

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