Primerica Life Insurance: A Closer Look at Their Products
Primerica Life Insurance is a very well known insurer, but what sets them apart from the rest of the pack?
If you’ve been following my reviews you know that not all life insurance companies are created equal. Some work far better than others for specific age groups, health conditions or smoking classifications.
One of the biggest decisions you make when buying life insurance coverage is the choice of company.
There are a lot of variables.
So why would a client select OR reject Primerica Life Insurance? I am sharing some of my personal insights.
Who Am I & Why I am Qualified to Opine?
My name is James Heidebrecht, the founder of Policy Architects. An independent agency that serves the needs of clients throughout Canada.
I have met people from all walks of life who are looking for life insurance coverage to protect their loved ones.
There’s one guarantee when I talk to prospective clients…
…that their needs are unique. Sure you can try to generalize about life insurance coverage but at the end of the day, no two stories are the same.
In the competitive life insurance industry, companies know this and niche down so they can rise above the pack.
This makes finding the right fit even more important. That’s why it’s imperative to know the ins and outs of each insurer. One of the MAIN reasons you need to use an independent agent because we have the inside scoop.
Remember: “The younger you are, the less you’ll pay for life insurance. However, most people don’t need to use life insurance benefits until they are older or retired. If you can afford to purchase life insurance in your 30’s or 40’s, it’s a smart idea. Most life insurance companies will allow you to purchase a policy up until age 80.”
Primerica Life Insurance Products
Primerica Life Insurance carries ONLY term coverage. This is what MOST people think about when they consider life insurance.
It’s temporary coverage that protects you for a period of vulnerability. You may select terms (periods of time for protection) such as 10, 15, 20, 30 & 35 years.
You also select a coverage amount which is the tax-free payment your beneficiary will receive from the insurance company if you should die during your term.
Because a payout is NOT guaranteed the cost of term insurance is VERY affordable.
Primerica Life Insurance has two options:
This is Primerica’s no medical exam option works well for those people who have health conditions that would prevent them from going the traditional route.
TermNow maxes out at $300,000 of coverage.
Primerica Custom Advantage
Primerica Custom Advantage is their fully underwritten term option with coverage amounts of $1 million or more.
It’s less expensive than the no medical exam route because the company takes on less risk to insure you because you have to take a medical exam.
Primerica Term Life Insurance Options:
- Guaranteed Insurability to age 95 – this means you can renew your coverage up to age 95 without having to go through underwriting again. However, it’s safe to assume that the renewal rates will be very expensive for most consumers.
- Increasing Benefit Rider – this feature allows you to increase your coverage amount over time within prescribed limits. This is unique in that many companies only allow you to decrease your coverage over time.
- Terminal Illness Benefit – If you develop a terminal illness as defined by the definitions in your policy, you may qualify for up to 70% of the coverage amount paid out to you before you die. The insurance company will also pay your insurance premiums during this time which is known as a “waiver of premiums” option.
Buyer Beware Primerica Life Insurance: Does NOT Offer Permanent Coverage
If you are looking for coverage until the day you die Primerica Life Insurance isn’t the company for you. They do not offer permanent life insurance like Whole Life or Universal Life.
Hey, I am not one to sell permanent life insurance to just anyone. It’s a pretty complicated product and doesn’t work for everyone. In fact, I would go as far as to say that term insurance work for most people 90% of the time…
…BUT if you are someone that meets the following criteria permanent life insurance may be a fit for you if you:
- are a senior looking for final expense coverage
- have a child with special needs and are looking to set up a trust to take care of them
- maxed out all of your other tax shelter options and are looking for some tools to defray your tax obligations
- have a family cottage or estate and want to take care of the taxes so your children don’t have to
- own a business and want to make sure it ticks on after your death
- want to equalize inheritances. Divorced people often use life insurance to take care of a loved one that may not have an interest in the family business or home
If you fall into any of these categories or want permanent coverage call Policy Architects today! We can find the RIGHT coverage for you.
Buyer beware – there are a lot of options out there. Don’t take this task on without professional help.
Weaknesses of Primerica Life Insurance
Primerica Life Insurance Penalizes Women
Primerica Life Insurance is truly gender-neutral.
Most life insurance companies give women a break because they live longer. Not Primerica.
They give men and women the same rates across the board.
For women, this could mean paying up to 30% more for your premiums than you would with another company. OUCH!
This is why I recommend females looks for coverage elsewhere.
Primerica Life Insurance: Penalizes Older People
The older you get, the less affordable Primerica rates become.
So if you are a young healthy male – Primerica is competitive. Not so much for an older woman. You can do MUCH better than Primerica.
Strengths of Primerica Life Insurance
If you are considering buying a policy from Primerica Life Insurance then there is some good news. They are well rated and growing.
Rest assured your investment is safe with them.
Life insurance is a long term investment – so you want to make sure that the money you spend is safe and I can confidently say Primerica is financially solid.
Why You Should Call Policy Architects BEFORE You Speak to a Primerica Life Insurance Agent
Well if you are looking at Primerica Life Insurance then good for you it means you are thinking about the future of your family. Congrats!
…I would, however, recommend giving Policy Architects a call BEFORE you speak to the agents.
Primerica agent are ties which means they only sell PRIMERICA products. They won’t tell women or seniors they can do better elsewhere because they want to make a sale.
Why not give Policy Architects a call to see what we think…
…and then contact Primerica to see if they can beat our numbers? Shopping around is the key to savings – which can be in the thousands. Call on the “Free Quote” link below!
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