TruStage Life Insurance Review 2021
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Our take on TruStage
TruStage Life Insurance operates as a subsidiary of CMFG life, who underwrites its policies by partnering with other insurance companies. Historically, its products have been marketed through credit unions, which is how the company was initially formed in 1935. While this tradition continues to the present, its products are available to anyone.
Their guaranteed-acceptance plans may appeal to those struggling to receive acceptance by other life insurance providers.
This, of course, is their ideal niche. Since this is not the most affordable life insurance out there, TruStage appeals to customers who need life insurance with few questions asked. Healthy applicants may find better options elsewhere, but if you’re older or have some disqualifying health conditions, TruStage can be a welcome—albeit last resort—option to provide coverage for you and your beneficiaries.
TruStage Life Insurance Company Details
|A.M. Best Rating||A|
|Customer Service Phone||855-306-6248|
|Address||Liberty Bankers Life Insurance Company|
1605 LBJ Freeway, Suite 710
Dallas, TX 75234
*These scores reflect the parent company CMFG Life Insurance Company which underwrites the policies.
What we like
TruStage offers guaranteed acceptance policies, which means that customers can always rely on these policies if they have been denied coverage elsewhere.
No Medical Exam
None of TruStage’s policies require a medical exam for approval, though there may be some medical questions involved to set the premium.
Online Quotes Available
TruStage offers an easy-to-use, mobile-friendly website with a calculator for obtaining online quotes for some of their policies.
What We Don’t Like
TruStage offers low coverage amounts, with their term policy capped at $300,000.
No riders are available to customize their policies.
Their higher costs make TruStage an option only if you’ve been denied coverage elsewhere.
TruStage Life Insurance Products
|Length of Coverage||Expires at age 80|
|Estimated Time to Approval||Immediate|
TruStage takes a different approach to their term life insurance policies. With most companies, you choose your term length, usually a 10, 20, or 30-year policy. With TruStage, you don’t select a term. Instead, your policy expires once you turn 80. Additionally, your premiums will increase once you reach the five-year age brackets: 25, 30, 35, 40, etc. To clarify, these increases coincide with the age of the policyholder, not the age of the policy. This might be a turn-off to those expecting level premiums for a longer period than five years.
No Medical Exam
As with TruStage’s other policies, no medical exam is required for term life insurance.
Limited Benefit Amount
TruStage’s term life policies are capped at a max of $300,000. This is actually reasonably competitive for a simple-issue policy, but applicants seeking greater coverage might find better values through traditional underwriting at another company.
No Conversion Options
Because the policy expires at age 80, your beneficiaries receive nothing if you die after the expiration date. TruStage offers no option to convert the policy to another form of life insurance, making the purchase of a term plan a bit of a gamble.
Guaranteed Acceptance Whole Life Insurance
TruStage offers guaranteed whole life insurance for applicants 45 and older. These policies offer limited coverage (a maximum of $25,000), but rates stay locked in for life and they cannot be turned down due to their health.
TruStage’s whole life insurance offers permanent, lifelong protection, with a benefit and premium that remains locked in from the date of issue.
No Medical Exam
No medical exam is required, though you will have to answer some medical questions prior to approval.
This whole life product offers limited coverage, ranging from $1,000 to $100,000. This may make it ideal for a form of final expense insurance, though customers looking for a larger death benefit may wish to look elsewhere.
TruStage offers no additional riders to modify their policy. This means that unlike other life insurance products, policyholders have no access to living benefits or the ability to add dependents to their policy.
30-Day Refund Guarantee
TruStage customers can surrender their policy within 30 days for a no-strings-attached refund for the full amount of purchase, including any premiums they may have paid.
A healthy, 30-year-old male looking for term life coverage can expect to pay over $40.00 a month through TruStage. And without level premiums, these rates will increase every five years, and can rise dramatically with age.
Higher Costs for Simple-Issue Insurance
Even for simple-issue insurance, TruStage is costly. These plans will only appeal to those who struggle to meet the approval standards of other companies, making TruStage a bit of a costly last resort.
Poor Overall Value
Additionally, TruStage only offers coverage up to $300,000. Additionally, they provide no riders with which to customize your insurance plan. Many customers may wish to look elsewhere for policies with greater benefits and customizable features.
TruStage has been given favorable ratings from the following agencies:
- A.M. Best: A
- BBB: A+
This means that customers can have confidence that the company will follow through with its promises and benefits.
The National Association of Insurance Commissioners performs periodic reviews of life insurance companies. A score of 1.0 indicates an average number of customer complaints, while anything above that is considered above-average. In 2019, TruStage received a score of 0.90, indicating that they receive slightly fewer customer complaints than other companies of comparable size.
Read below for additional customer reviews.
See what you qualify for by answering some health questions.