Trustage Accidental Death Insurance: Legit Or A Scam?

TruStage accidental death insurance is underwritten by CMFG Life Insurance Company, a trusted provider of insurance coverage for over 80 years. CMFG Life Insurance Company has been in business since 1935 and is rated 'A' (Excellent) for financial stability by AM Best. TruStage offers accidental death & dismemberment insurance (AD&D) which provides exceptional coverage and allows your financial institution to provide flexible and customizable coverage that fits your needs. The longer you keep your coverage, the more your additional coverage increases over time at no added cost.

TruStage's AD&D coverage amount increases over time

TruStage AD&D coverage is offered by CMFG Life Insurance Company, which has been in business since 1935 and is rated 'A' (Excellent) by AM Best for financial stability. This rating indicates the company's ability to pay claims and provides confidence in its legitimacy.

The TruStage AD&D coverage amount increases over time as a benefit to long-term members. The longer members retain their coverage, the more their additional coverage increases at no added cost. This feature ensures that members are provided for when they need it most.

In addition to the increasing coverage benefit, TruStage AD&D insurance also offers enhanced coverage through Living Benefits. This means that members can focus on overcoming unexpected life events without worrying about the financial cost. This enhanced coverage ensures that members can access the support they need during challenging times.

TruStage is underwritten by CMFG Life Insurance Company, which has been providing insurance coverage for over 80 years. The company has an average number of complaints regarding its life insurance, and any complaints are generally related to delays in paying claims and premium refunds.

While TruStage offers the convenience of an online application and instant decisions, it is important to note that their prices tend to be higher compared to other life insurance companies. Their maximum coverage amounts are also relatively low, and they offer limited rider options. Therefore, it is recommended to shop around and compare quotes from multiple insurers before making a decision.

TruStage's parent company, CMFG Life Insurance, has an average number of complaints

TruStage's parent company, CMFG Life Insurance, has received a high number of customer complaints. According to the National Association of Insurance Commissioners (NAIC), CMFG had a customer complaint ratio of 1.02 in 2022, which is slightly higher than the national average. The Better Business Bureau (BBB) has also given CMFG Life Insurance a rating of B, with 29 total complaints in the last 3 years and 13 complaints closed in the last 12 months.

While CMFG Life Insurance is not BBB accredited, it has received a rating of A+ from the BBB serving Greater Iowa, Quad Cities, and Siouxland Region. The company has been in business for 145 years and is consistently rated A or Excellent for financial stability by AM Best.

The complaints against CMFG Life Insurance vary in nature, with some customers reporting issues with policy cancellations, unexpected premium increases, and difficulties in receiving refunds or insurance payouts. Other complaints mention challenges in reaching customer support and receiving timely responses to queries.

It is important to note that the number of complaints may be relative to the company's large customer base, as TruStage helps protect more than 20 million people. Additionally, the complaints may not represent the overall satisfaction of all customers, as some have verified that their issues were resolved to their satisfaction.

Overall, while CMFG Life Insurance has received a higher-than-average number of complaints, it is essential to consider the context, size, and volume of transactions of the company when evaluating these complaints.

TruStage's life insurance policies have limited riders

TruStage is a legitimate company offering various insurance policies, including life insurance, underwritten by third parties like CMFG Life Insurance Company and Liberty Mutual. While TruStage does offer life insurance policies, there are limited rider options available.

Life insurance riders are add-ons that allow you to customise your policy to fit your specific needs. However, as TruStage does not specify what riders are available, it is recommended that you contact a TruStage life insurance agent to discuss your options.

In addition to limited rider options, there are a few other considerations to keep in mind when considering TruStage life insurance policies. One is the coverage amount. TruStage's term life coverage is capped at $300,000, and their whole life insurance policies offer up to $100,000 in coverage. These amounts may be lower than what some other insurance carriers offer.

Another consideration is that TruStage life insurance policies are not underwritten directly by TruStage but by CMFG Life Insurance Company, another affiliate of CUNA Mutual Group. This means that TruStage does not set the prices or terms of the policies, and you may need to contact CMFG directly for certain issues.

However, there are also benefits to TruStage life insurance policies. One advantage is that medical exams are not required, making it convenient and accessible for those who may not be able to undergo an exam. Additionally, coverage can start right after you submit your first payment, and you have the option to cancel within the first 30 days for a full refund.

Overall, while TruStage life insurance policies have limited riders, they may still be a good option for those who value convenience and accessibility. However, it is important to compare their offerings with other insurance carriers to find the best fit for your needs.

TruStage's maximum coverage amount is relatively low

TruStage offers a range of insurance products, including life insurance, accidental death and dismemberment insurance, auto insurance, homeowners insurance, and more. The company is underwritten by CMFG Life Insurance Company, which has been in business since 1935 and is rated 'A' (Excellent) for financial stability by AM Best.

One of the main drawbacks of TruStage life insurance is that its maximum coverage amounts tend to be low compared to other providers. The maximum coverage available through TruStage's term life insurance policy is $300,000, which is relatively low compared to the best term life insurance companies, which can provide coverage into the millions. Similarly, the maximum coverage for their whole life insurance policy is $100,000 for those aged 70 or younger, and $25,000 for those aged 76-85. While this may be sufficient for some individuals, those seeking higher coverage amounts may need to look elsewhere.

In addition to low maximum coverage amounts, TruStage life insurance policies have also been criticized for their high prices. According to a Forbes Advisor analysis, TruStage's guaranteed acceptance life insurance is more expensive than competitors such as AAA Life Insurance and Mutual of Omaha. Similarly, NerdWallet found that TruStage's term life insurance is substantially more expensive than top competitors and recommended shopping around for other quotes before purchasing a policy from TruStage.

Despite the low maximum coverage amounts and high prices, TruStage may still be a good option for some individuals due to its convenience and accessibility. TruStage policies do not require a medical exam, and applications can be completed entirely online, making it a convenient choice for those who want to bypass the typical health screening process. Additionally, TruStage partners with over 3,000 credit unions across the nation, making it a widely accessible option for credit union members.

TruStage's whole life insurance policy is available to people aged 18-85

TruStage is the consumer-facing brand of CMFG Life Insurance Company, which is owned by Cuna Mutual Group. CMFG Life Insurance Company underwrites all TruStage life insurance products.

TruStage offers three life insurance plans: guaranteed acceptance whole life, simplified issue whole life, and increasing premium term life. Their whole life insurance products are available to people aged 18-85.

The whole life insurance products from TruStage offer lifetime coverage at a fixed cost. The rate is locked in upfront and will never increase, even with age or health concerns. As long as premiums are paid, coverage cannot be canceled.

The simplified issue whole life insurance plan requires individuals to qualify medically. There is no medical exam, but applicants must answer health questions, and TruStage will analyze medication history. This plan is also sometimes referred to as ""burial insurance" or "final expense insurance" and offers coverage amounts up to $100k for individuals aged 70 or younger.

The guaranteed acceptance whole life insurance plan has no health questions or medical exam requirements, and applicants cannot be denied coverage due to health reasons. This plan includes a mandatory two-year waiting period during which, if the insured dies for any non-accidental reason, loved ones will not receive a cash benefit. Instead, TruStage will refund the premiums plus 10% interest.

The term life insurance plan has a rate increase every five years and expires at age 80.

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