Gerber Life Insurance: Getting A Loan Against Your Policy

Gerber Life Insurance offers a range of insurance plans, including whole life insurance, term life insurance, accident protection insurance, and guaranteed life insurance. While the specifics vary across plans, all Gerber Life Insurance plans that accumulate cash value allow the policyholder to borrow against this value in the form of a policy loan. This loan is subject to an 8% interest rate and may impact the cash value and death benefit.

How to borrow against the cash value of your policy

Gerber Life Insurance offers whole life insurance policies that accrue cash value over time. This cash value can be borrowed against as long as premiums are paid. Here's how to borrow against the cash value of your Gerber Life Insurance policy:

Understand Cash Value

First, it's important to understand what cash value is and how it works. Cash value is a feature of whole life insurance policies. Each time you pay your premium after the initial policy years, Gerber Life sets aside a small portion of that money, which grows over time. This becomes the policy's cash value. The longer you hold the policy, the more the cash value builds up.

Identify Your Cash Value

To borrow against your policy's cash value, you need to know how much it is worth. You can find out the cash value of your policy by contacting Gerber Life Insurance directly. They will be able to provide you with an up-to-date value.

Evaluate Your Financial Needs

Before borrowing against your policy's cash value, carefully consider your financial needs and circumstances. Assess whether the loan is truly necessary and if it is the best option for you. Keep in mind that borrowing against your policy's cash value will reduce the death benefit paid out to your beneficiaries.

Contact Gerber Life Insurance

To initiate the loan process, you will need to contact Gerber Life Insurance. You can reach out to them via their website, by phone, or through their customer service channels. They will guide you through the specific steps and requirements for taking out a loan against your policy's cash value.

Understand the Terms and Conditions

When borrowing against your policy's cash value, be sure to understand the terms and conditions of the loan. This includes factors such as the loan interest rate, which is typically 8% for Gerber Life Insurance policies. Additionally, be aware that the loan may impact the cash value and death benefit of your policy.

Repay the Loan

Finally, it's important to make timely repayments on your loan. Interest will accrue on the borrowed amount, so it's in your best interest to repay the loan as quickly as possible. This will help minimize the impact on the policy's payout to your beneficiaries.

How to apply for a Gerber Life Grow-Up® Plan

Gerber Life Grow-Up Plan is a whole life insurance policy for children that builds cash value. The policy is available for children between 14 days and 14 years old. The adult is the policy owner until the child reaches the age of 21, after which the child becomes the policy owner. The Grow-Up Plan keeps building cash value over the years, as long as the premiums are paid. This money can be borrowed against if the need arises.

Applying for the Gerber Life Grow-Up Plan can be done in three easy steps:

• Get Started: Visit the homepage of the Gerber Life website and click on the Grow-Up Plan tab. This will bring up a short form to fill out to get a price quote. You will need to provide the state where you live, your child's age, your child's gender, and your email address. After filling in the information, click "Apply Now."
• Apply: On the webpage that displays the price quotes, you will find an application form that is quick and easy to complete. Choose a coverage amount of $5,000, $10,000, $15,000, $25,000, $35,000, or $50,000. Then, fill in the name, birth date, and sex of the child or children to be insured. You will also need to name the beneficiary of the policy and provide basic information about yourself, such as your name, address, and date of birth. The form will also include a couple of additional questions about your child's health and existing life insurance.
• Checkout: Your application requires an electronic signature. To do this, click on the box at the bottom of the application to verify, sign, and submit. After submitting your application, it will be reviewed by the underwriting team, and you will be notified as soon as it is approved. Please note that your application is subject to the insurance risk assessment process known as underwriting, and you may be contacted by the underwriters if any additional information is needed.

The Gerber Life Grow-Up Plan offers a simple and budget-minded way to provide your child with lifetime life insurance protection, with plans starting at $5,000. By applying for this plan, you can help your child be better equipped for adult responsibilities and give them a financial head start in life.

How to pay your Gerber Life bill

Gerber Life offers a convenient online payment service called eService, which allows you to pay your Gerber Life bill and manage your policy. Here is a step-by-step guide on how to pay your Gerber Life bill:

• Enroll in eService: Go to the eService enrollment page on the Gerber Life website and follow the instructions to sign up. Have your premium statement and login information ready to expedite the process.
• Start making payments: Once enrolled, you can start paying your Gerber Life bill online as soon as your first premium payment is due. You can use a checking or savings account, debit card, or credit card to make payments.
• Set up automatic payments (optional): You can set up your eService account to make automatic payments, so you no longer receive paper bills in the mail. This option can save you up to 10% on your premium bills.
• Explore additional eService features: In addition to paying bills, eService allows you to review your payment history, update contact and billing information, change beneficiaries, and even apply for a loan against a whole life insurance policy.

You can also pay your Gerber Life bill by mail, phone, or online without enrolling in eService. The payment methods accepted include checking/savings account, credit/debit card, or money order.

How to cancel your Gerber Life policy

To cancel your Gerber Life policy, you can either call the Gerber Life customer service phone number or cancel your policy online.

Cancelling by Phone

Call 1-800-704-2180 to speak to a customer service representative. Gerber's phone lines are open Monday through Friday from 8 a.m. to 7 p.m. Eastern Time (ET). When you call, make sure to have your policy and personal information ready for verification purposes.

Cancelling Online

You can cancel your Gerber Life policy online in two ways:

• Sign in to your Gerber eService account and message a customer representative about the cancellation.
• Email Gerber customer service. Include your application or policy number, your name, and other relevant details in your email.

Other Things to Note

Gerber Life offers a 30-day trial period, during which you can cancel your policy and receive a full refund. If you cancel after the 30-day trial period, you may be charged a small penalty fee, and you may not receive the full value of your policy.

After cancelling, it is important to confirm that your policy cancellation went through, especially if you have automatic payments set up. Generally, Gerber will send you an email confirmation. If you don't receive one, check your junk mail or give Gerber a call. Also, check your bank account to ensure you aren't accidentally charged for coverage after cancelling.

How to add a child to your existing Grow-Up® Plan

To add another child to your existing Grow-Up® Plan, you will need to complete and submit a new application. The application process is the same as your initial application for the Grow-Up® Plan. You can apply online, by mail, or by phone.

The online application is quick and easy. You will need to provide some basic information about yourself and the child you want to insure, and choose your desired coverage amount. Your application will be reviewed by the underwriting team, and you will be notified as soon as it is approved. In some cases, you may be contacted by the underwriting team if any additional information is required to approve your application.

The Grow-Up® Plan is a whole life insurance policy for children that builds cash value over time. It offers lifelong insurance protection for the insured child as long as the premiums are paid. The premium rate is locked in and will never increase, even after the child becomes the policy owner at age 21. The coverage amount automatically doubles during the child's 18th year at no extra cost, and the child has the guaranteed right to buy more coverage as an adult, regardless of health or occupation.

Frequently asked questions