Bestow Life Insurance takes pride in being a simple and quick life insurance provider. Its mission is to make life insurance simple, convenient, and straightforward.
The company was founded in 2017 and has quickly grown to become a trusted provider throughout the United States. Its modernized insurance options and methods have given it a significant competitive advantage in the industry.
During the pandemic, Bestow’s digital application process was a huge help. Its well-established quick methods proved useful for those involved in the online setup.
While the company’s main selling point has always been to make insurance more accessible to everyone, it is not without flaws.
This article will go over the benefits and drawbacks of purchasing Bestow Life Insurance. It will assist you in determining whether Bestow is the right fit for you!
What Bestow Life Insurance Can Offer You
Bestow Life Insurance offers 5-year term life insurance policies. Coverage begins at $50,000 and has a cap of $1,500,000. Anyone between the ages of 18 and 60 is eligible for coverage.
- There are a few limitations to their offerings:
- The maximum age for applying for the 15-year term is 55.
- The maximum age for applying for the 20-year term is 50.
- The maximum age for applying for the 25-year term is 45.
- The maximum age for applying for the 30-year term is 40.
- Tobacco users are subject to different age restrictions.
The application is completed entirely online. You will complete the application, and their mobile-friendly website will calculate policy options for you.
Once approved, you may be able to obtain coverage on the same day.
Advantages of Bestow Life Insurance
There are numerous advantages to selecting Bestow as your life insurance provider. Here are a few examples:
- Fast and Convenient
Gone are the days when you had to wait in line for hours for your insurance to be approved. You don’t even have to deal with mountains of paperwork!
With Bestow, you’ll have access to all of the information you need to make an informed decision. Their simple online form will request basic information from you in order to provide an estimate.
Furthermore, you are not required to undergo a medical examination. Instead, the questionnaire asks you detailed questions about your health and lifestyle.
If you meet all of the requirements, your insurance application will be approved in minutes!
Bestow is great because they won’t make you jump through hoops or waste your time. Everything has been designed to put you first.
- Algorithm-Based Pricing
All of their insurance prices are carefully calculated using a reliable algorithm. In general, the company bases its policies on data-driven models.
In fact, the fintech startup arose from the concept of a disruptive insurance solution that will reshape insurance underwriting.
Bestow does not work on a commission basis. This means you won’t have to deal with annoying insurance agents who try to sell you ever-increasingly expensive payment plans! Everything is in black and white with Bestow.
- Money-Back Guarantee
Most insurance companies only offer full refunds after ten days. Bestow Life Insurance offers a 30-day money-back guarantee if you cancel within that time period.
Even after the 30-day period has passed, you will be able to cancel at any time without penalty. However, you will not be able to receive a refund for any premiums you have already paid.
- Customer Service
A helpful chatbot is available at all times to help you with your application. You can also seek advice from insurance agents through Bestow.
There are also customer service representatives on hand to assist you with any concerns or requests. Bestow Life Insurance can be reached via chatbot channels, emails, or phone.
- Easy-To-Use Website
Bestow does not have a mobile app, but their website more than compensates. The site is visually appealing and simple to use.
The colors are very pleasing to the eye, and you’ll know where you need to go right away. For your convenience, the website is also mobile-friendly.
Disadvantages of Bestow Life Insurance
You are now fully aware of Bestow’s numerous advantages as an insurance provider. This time, learn about the less-than-ideal aspects of their policy options.
Here are some of the drawbacks you should be aware of:
- Limited Coverage
Bestow, unlike other insurance companies, does not offer to convert your term policy to a universal policy. You cannot also add any insurance riders to your Bestow life insurance policy.
Insurance riders are optional coverages that can be added to your policy, such as an accidental death benefit rider or a child life insurance rider. It is far less expensive to add these coverages to your existing plan than to purchase entirely new insurance policies.
Furthermore, when compared to other providers, their $1,500,000 coverage cap is significantly lower.
- Limited Policy Options
Bestow only provides simplified term life insurance policies. This means that your dependents can only claim payouts and benefits during the agreed-upon time period.
Many people prefer term life insurance because it is simpler and less expensive. The rates are already set, and you get a lot of bang for your buck.
Universal and whole life plans, on the other hand, provide more coverage. When your term life insurance policy expires, you will no longer be eligible for benefits.
This will not happen in a universal or life plan.
Bestow Life Insurance’s rates start at $8 per month on average, though this varies. Overall, this is a reasonable price, especially given the convenience that Bestow provides.
However, when you compare the prices, you will notice that they are slightly higher than the average insurance provider. This is due to the fact that the company takes some risks by foregoing medical exams for their customers.
Again, term life insurance policies are typically straightforward, with rates that rarely fluctuate. You should think about whether the basic Bestow package is worth investing in over other, less expensive options.
- Chances of Denial of Application
While Bestow advertises “almost instant coverage,” there have been reports of applicants failing to meet the requirements.
- A plethora of factors can influence the algorithm’s decision:
- Pre-existing health conditions
- Diet and lifestyle
As a result, if you work in a high-risk job or have a history of health problems, your application may be hampered. Most of the time, the level of risk calculated by Bestow will raise your premium.
Bestow also performs a cursory background check, which may be a factor in your application. This background check typically includes social media profiles as well as other public records.
Most insurance companies will consider your thrill-seeking hobbies to be a risk. Your citizenship status and existing life insurance plans with different companies may also have an impact on insurance approval.
Other Things You Should Know About Bestow
Here are some additional facts about Bestow Life Insurance to help you make your decision!
A.M. Best has certified Bestow with an A+ or “superior” rating. This means that Bestow is more than capable of meeting its customers’ expectations in any case.
Many prospective clients may be concerned about Bestow’s youth. What would happen if there was a financial disaster or a major emergency?
Bestow is not only superiorly certified, but it is also “backed” by another A+ rated insurance company. Bestow’s claims will be covered by North American Life and Health Insurance if Bestow is unable to fulfill them.
This is known as reinsurance, and it is common among industry veterans.
Life insurance underwriting is the process by which insurance companies determine the policy and premium price for a given applicant. Most providers will provide you with a simple online quote and then refer you to one of their agents for a more detailed calculation.
Bestow Life Insurance is distinguished by its entirely online application process. They use accelerated underwriting by utilizing innovative technologies and an intuitive algorithm.
Accelerated underwriting is far more efficient than traditional underwriting. It saves you time and energy by estimating the price based on the information you provided.
You can always contact their available chatbots or customer care advisors if you want to know more about how your price was calculated.
Two-Year Contestable Period
This is yet another industry standard. When the policyholder dies, the beneficiary is entitled to the insurance benefits.
The insurance company will then conduct due diligence to ensure that all information in the application is correct. This is done to avoid insurance fraud.