Banner Life Insurance: Is It Worth The Hype?

Banner Life Insurance is a subsidiary of Legal & General America, a multinational financial services company. Banner offers term and universal life insurance policies with a variety of coverage options. The company is known for its competitive rates, especially for healthy applicants, and its easy quoting process. Banner's term life insurance policies are available in terms of 10, 15, 20, 25, 30, 35, and 40 years, catering to individuals up to 75 or 85 years of age. The company also provides several policy riders, including term extensions, disability waivers, and a child term rider. While Banner Life has received positive reviews for its rates and financial stability, it has been criticised for its limited selection of riders and lack of whole life insurance options.

Banner Life Insurance offers a wide range of policies and riders

Term Life Insurance Policies

Banner's term life insurance policies are available in terms of 10, 15, 20, 25, 30, 35, and 40 years, catering to individuals up to 75 years of age. The annual price remains the same throughout the initial term, and these policies are also convertible into permanent coverage options. The coverage amounts for term life insurance range from $100,000 to over $10 million, providing flexibility based on individual needs.

Universal Life Insurance Policies

Banner's universal life insurance policies offer flexible premium payments and death benefits. The "short-pay" option allows policyholders to complete payments early while still retaining lifetime coverage. The coverage is issued up to age 85 and remains in effect until age 121.

Riders

Banner Life Insurance offers several riders that can be added to their term and universal life insurance policies for an extra charge, providing additional coverage and benefits. These include:

• Child Term Rider: Covers all children until they turn 25 and can be converted into a life insurance policy they own.
• Stacking Term Rider: Allows for more coverage for a specific period, providing a higher total death benefit during that time.
• Waiver of Premium Rider: If the insured becomes disabled, Banner Life will waive the premium payments for the duration of the disability.
• Accelerated Death Benefit Rider: Allows access to a portion of the death benefit if the insured is diagnosed with a terminal illness. This rider is included in term and universal life policies at no extra cost.
• Term Rider: Can be added to a universal life policy or used to boost the underlying term policy, providing additional coverage for a specific period.

While Banner Life Insurance offers a wide range of policies and riders, it is important to note that the company has a limited selection of riders compared to other insurers, and the availability of certain riders may vary by state.

It offers term life insurance with flexible coverage and competitive rates

Banner Life Insurance offers term life insurance with flexible coverage and competitive rates. Its term life insurance policies offer flexible coverage with lower rates than many competitors. The prices are about 9% cheaper than those of competing companies, depending on your age. For example, a 20-year policy for a healthy 30-year-old costs $280 per year, while a 50-year-old will pay $978 per year. Banner's term life insurance death benefits range from $100,000 to $10 million.

Banner's term life insurance policies can be "laddered", meaning that you can increase your coverage during certain periods when your needs are higher. For instance, you could purchase a 30-year term policy for $250,000 and then add on 10-year term coverage for $150,000 to cover your child's education until they graduate from college. This means you don't have to pay higher rates over the entire term of the policy if you only need more coverage for a shorter period of time.

Banner also offers an accelerated underwriting program to certain customers, which is the same price and coverage as their standard policy. There is no defined set of health criteria to qualify, but generally, healthier people are more likely to qualify. If you complete an application and phone interview with no issues, you may qualify for coverage within a few hours without a medical exam or blood test.

In addition, if you're undecided between term and permanent coverage, any of Banner's term policies can be converted to a universal policy as long as you're below the age of 70.

It offers universal life insurance with a cash value component

Banner Life Insurance offers universal life insurance with a cash value component. This is a type of permanent coverage that can last your entire life if you keep paying the premiums. Universal life insurance also allows you to adjust the premiums, paying more some years than others. However, you must pay at least the underlying insurance cost, which increases over time.

The Banner Life universal life insurance policy is called Life Step UL and is available to those between the ages of 20 and 85. The policy includes a cash value component, which you can spend or save to cover rising insurance premiums. The cash value grows over time from your premiums and earns interest. You can withdraw the cash while you are alive or use it to cover future premium payments. Banner Life's policies are guaranteed to last until the age of 121.

Banner Life's universal life insurance policy is more expensive than competing policies from other life insurance companies. However, it offers a guaranteed interest rate of 2%, which is typical for this type of policy. The policy also includes a guaranteed minimum interest rate, and your return depends on market interest rates, which fluctuate.

Banner Life's universal life insurance is a good option for those seeking permanent coverage with flexible premium payments and a cash value component. However, it is important to note that Banner Life has a limited selection of riders and does not offer whole life insurance or other variations of universal life insurance.

It has well-rated customer service and good financial strength ratings

Banner Life Insurance is a subsidiary of Legal & General America, a multinational financial services company. Banner Life offers a range of life insurance policies, including term life insurance and universal life insurance. The company has well-rated customer service and good financial strength ratings, which are important factors for those considering life insurance options.

Banner Life's customer service has received positive reviews from its customers and fewer complaints than competing companies. According to the National Association of Insurance Commissioners (NAIC), Banner Life has a low number of complaints, 57% less than the average company of its size. The company's smooth signup process and competitive prices are reflected in its positive reviews.

In terms of financial strength, Banner Life has received strong ratings from reputable agencies. It has an A+ rating from AM Best, indicating superior financial stability and a strong ability to pay claims. Additionally, Banner Life has a Comdex score of 95 out of 100 and an AA- rating from Fitch and Standard & Poor's. These ratings demonstrate the company's financial soundness and ability to meet its financial obligations.

Banner Life's well-rated customer service and good financial strength ratings make it a reliable option for individuals seeking life insurance coverage. The company's combination of competitive pricing, smooth processes, and strong financial position contribute to its positive reputation in the life insurance industry.

It offers a no-medical-exam option for qualifying applicants

Banner Life Insurance offers a no-medical-exam option for qualifying applicants. This means that some people can skip the medical exam, which simplifies the application process. Banner Life's Lab Lift program allows some clients to submit health records from their own doctor or have a paramedical exam instead of an in-person doctor's exam. The company's accelerated underwriting program is available to qualifying customers at the same price and coverage as its standard policy. There is no defined set of health criteria to qualify, but generally, healthier people are more likely to qualify. If you complete an application and phone interview with no issues, you may qualify for coverage within a few hours without a medical exam or blood test.

Banner Life's no-medical-exam option is unique because, unlike most insurers, it does not charge higher prices for this type of policy. The company states that its no-medical-exam policies have the same coverage and pricing as its policies that require a medical exam. This option is available for people between the ages of 20 and 60, with coverage of up to $2 million.

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