Are you scouting for an insurance policy that doesn’t come with a waiting period of 2 years? If you haven’t yet begun searching, start now!

If you are considering purchasing first-day coverage burial insurance, you have landed in a good place. This First Day Coverage Burial Insurance review will briefly address the product’s ratings and offerings, pricing and alternatives.

No First Day Coverage Guaranteed Issue Life Insurance (Don't Be Confused By Television Ads)

You might have come across several policy ads on TV which promises guaranteed coverage easily for your final expenses without undergoing a medical exam. 

However, we recommend not to go for it.

While the terms and conditions seem too rosy to be real, we assure you, it’s a valid deal. However, it has a significant drawback- a 2 year waiting period.

If your goal is a life insurance plan that doesn’t have a waiting period lasting 2 years, then a guaranteed issue plan is not something you should go for.

However, guaranteed issue  life insurance can be beneficial for people who are unable to avail coverage elsewhere.

First Day Coverage Burial Insurance (How To Obtain It)

Like all whole life policies, the benefit will never decrease, the rates will never rise, and the policy will not expire. With first day level coverage, these rock solid benefits begin when the policy is approved and end only when you pass away or stop paying for the policy. 

The  best way to make sure that you get the best available policy is to use the services of an independent agency like NODLB.com. An independent agent with access to multiple final expense carriers will give you the best shot at day 1 level coverage.

While there certainly are times when a modified or guaranteed plan is the best option available, the truth is that in most cases we can find level day one coverage for you.

Burial Life Insurance That Has A Waiting Period

In addition to level-day one coverage there are 2 less attractive   plans that you may be offered after the insurer finishes analyzing the answers to a questionnaire you have answered.

1 - Graded Benefits

This plan comes with a waiting period of 2 years. If you choose this plan, your beneficiaries won’t avail the complete death benefits unless the plan has finished 2 years in effect.

If your demise occurs during the first two years, your beneficiaries will be given  30% - 40% benefits during the 1st year or  60% - 70% death benefits if your demise occurs during the 2nd year.

Full death benefits won’t be available unless two years have elapsed since the date  of the policy's start.

2 - Guaranteed Issue:

These plans are meant for those who can’t pass the medical criteria for level - day one policies  This includes terminally ill patients and those with major health issues. However, one has to be at least 50 years of age in order to be qualified for these Guaranteed Issue plans.

This is also a graded death benefits policy, which doesn’t pay out full death benefits until 2-3 years have elapsed.

If your demise occurs within the first two years, the insurance carrier will compensate your beneficiary with all premiums that have been paid so far along with interest.  Add to that, accidental death  is exempt from this waiting period as it isn’t due to poor health. 

To sum it up, if you die within the waiting period of 2 years and your family needs the complete death benefits, they will only receive premiums already paid or an inadequate portion.

Cons of Guaranteed Issue and Graded Benefit Life Insurance

Firstly, you’re only playing a gamble if you choose to go for a guaranteed issue or graded benefit policy.

While getting an insurance policy which has a waiting period of 2 years is a significant con, that isn’t the only drawback.

These plans also usually have low face values. While some specific policies can go as high as $100000, most of the time, only to $25,000 is offered in protection. 

​These plans can also get pretty costly. When compared to the coverage amount you would receive, the tradeoff is quite expensive.

While one would assume that a waiting period of two years would have reduced the insurance companies risks well enough, they will still charge you more in premiums, impacting your budget adversely. 

​No obligations are necessary and a huge range of conditions are now covered under traditional insurance policies. However, most people tend to overestimate their medical condition’s impact on insurance.

Contacting someone with an understanding of underwriting can be a superb tool for ensuring your premium prices stay low.

Your Next Step

Thank you for choosing NODLB.com to research First Day Coverage Burial Insurance. Should you have any questions, please do not hesitate to call or send over an email.