When it comes to life insurance, there are so many different providers you can choose from. One of these is the Federal Life Insurance Company, an Illinois-based insurer that has been in operation for more than 100 years. With so many insurance options on the market, it can be difficult to determine which insurance company is going to be right for your needs. In this article, we’ll take a look at the Federal Life Insurance Company to help you determine if they are the right fit for your needs.
Table of Contents:
- About Federal Life Insurance Company
- Types of Life Insurance Offered
- Riders Available
- Unique Features of Federal Life Insurance Company
- Federal Life Insurance Company Application Process
About Federal Life Insurance Company
The Federal Life Insurance Company was founded in 1899. They have always focused on life insurance products and annuities. They are based in the Chicago area and market their products mainly to customers in the midwestern United States. Throughout their lifespan, they have had many Chicago-area life insurance subsidiaries.
|Federal Life Insurance Company Info|
|Corporate Address||3750 Deerfield Rd, Riverwoods, IL 60015|
|Life Insurance Customer Service||(800) 233-3750|
Types of Life Insurance Offered
The Federal Life Insurance Company specializes in whole life insurance policies. These policies are designed to last for your entire lifespan, rather than a term life insurance policy, which expires after a set period of time. Federal Life Insurance Company does not currently offer term life insurance options.
These whole life insurance policies provide coverage up until the age of 100. Coverage amounts start at $5,000, but can go up much higher. These low starting coverage amounts are great for those who want an affordable policy that can cover funeral expenses. Federal Life Insurance Company issues these types of life insurance to anyone up to age 70. These policies build cash value over time, so they can be used to build wealth.
This company also offers a final expense life insurance plan. This plan is designed for older adults who need basic insurance coverage for funeral expenses and other immediate end-of-life expenses. They are a good option for those who might struggle to get a standard life insurance policy because of their underlying medical conditions. The Federal Life Insurance Company offers these policies to customers between the ages of 50 and 75, and they last until age 100. They have a minimum benefit of $2,500 and a maximum benefit of $25,000 for those aged 50 to 70 and $10,000 for those aged 71 to 75. These insurance policies do not require a medical exam and have a simplified underwriting process.
Finally, the Federal Life Insurance Company offers a unique single-pay permanent life insurance plan. This product is designed for older adults who already have money set aside to give to their loved ones. With this plan, you pay a large lump sum single premium which secures a much larger death benefit for your beneficiaries when you pass. This death benefit passes on to your children tax-free and without probate in most cases. It also comes with an accelerated death benefit, which means that you can access the cash value while you are still alive if you have certain health conditions. This policy is issued to customers between the ages of 40 and 85 and has a minimum single premium of $5,000. The maximum premium amount varies by age but ranges from $100,000 to $200,000.
In addition to their whole life insurance policies, the Federal Life Insurance Company offers a variety of products to help you grow your wealth and save for the future. They have four different retirement plans to choose from. These retirement plans are annuities that can be customized to suit your preferences in terms of payouts and risk tolerance.
The Federal Life Insurance Company does offer some riders on their standard whole life insurance policy. There are no riders available for their final expense plans. Here are the riders that they currently offer.
Children’s Term Coverage
If you want to buy a life insurance policy for your children while they are still under the age of 18, you can use this rider. This rider provides coverage through the age of 23 for the beneficiary. When they turn 23, they will have the option to convert it to a traditional whole life policy if they choose. The advantage here is that the life insurance policy is issued when the children are very young, which keeps the premium costs down. However, most kids don’t need life insurance at this age.
Accidental Death Coverage
An accidental death rider adds value to your policy if you die in an accidental death. Federal Life Insurance has a list of events that qualify as an accidental death – common examples are plane and car crashes. Accidental deaths like this are very rare, so most people don’t need this extra coverage, but it could be a good option if you’re looking for some extra peace of mind.
These are the riders currently offered by the Federal Life Insurance Company. When compared to other life insurance companies, they have a relatively small selection of riders. This means they may not be the right choice if you are looking to really customize your policy.
Unique Features of Federal Life Insurance Company
Federal Life is a relatively small insurance company with a long history. They focus on products that will help their customers build wealth that they can use to support their families. Right now, their focus is on life insurance and annuities – they don’t offer any other types of life insurance.
This is a relatively small life insurance company that prides themselves on offering very personal customer service. However, their website is fairly limited, so this is likely not a good insurance option for people who prefer to handle things directly online. In order to learn more about their policies or get a quote, you will need to call or email the company’s concierge team, who will then put you in touch with an agent.
The company also doesn’t offer 24/7 customer service, which could be an issue if you are trying to file a claim urgently. However, they do have all of their customer service forms on their website, which can help speed up the claims process a bit.
One important factor to consider when selecting a life insurance company is its current financial status. It’s essential that your insurance company can pay its claims regardless of the current economic climate.
There are many companies that rate the current financial status of insurance companies, with A.M. Best being the most notable. Right now, Federal Life Insurance Company does not have a rating with A.M. Best. This is likely because of the company’s relatively small size and customer base. However, it does cause some concern as it makes it difficult to get insight into the company’s current financial situation.
However, the company does currently have an AA rating from Fitch, which is another organization that provides ratings for insurance companies. This provides some indication that their finances are currently stable. They also have a detailed section on their website that offers information about their finances.
Reviews of Federal Life Insurance Company
Another helpful thing to do when selecting a life insurance company is to look at reviews from other customers. This can give you an idea of what to expect from the overall experience, although it is important to note that everyone has a different experience with their life insurance company.
Right now, Federal Life Insurance Company is accredited by the Better Business Bureau and has an A+ rating from them, which is a very positive sign. They also have zero complaints with the BBB, a feat that is difficult to achieve for any insurance company.
However, they also don’t have any reviews currently posted on the BBB website, and there aren’t many reviews of them on other customer platforms either. In general, it is difficult to find information about this company that doesn’t come directly from their website.
While this might seem like a cause for concern, there are many small life insurance companies that don’t have a strong online presence. To combat this, make sure you have an in-depth conversation with your agent about your policy and what to expect to make sure you’re comfortable with it.
Federal Life Insurance Company Application Process
Unfortunately, the Federal Life Insurance Company does not give customers the option to apply online. The application process is done through their agents. In order to purchase a policy, you’ll need to start by contacting their concierge service. The concierge service will help you determine what your life insurance needs are and put you in contact with an agent. Federal Life Insurance Company works with a network of independent life insurance agents to sell their products.
Once you have decided what products you need, your agent will walk you through the process of applying. This will typically require you to fill out several forms and provide your demographic information as well as a basic medical history. Some of the company’s life insurance policies require you to take a medical exam, but most of them do not.
After you have submitted your application, the company will review it and set up your policy once it has been approved. If you need to contact the company after your policy has been set up, you can reach their customer service team via phone, email, or fax.
Final Review – Is Federal Life Insurance Company Legit?
The Federal Life Insurance Company is a legitimate provider of life insurance and other long-term wealth management products. They are a very small company that doesn’t offer many online options, so they are best for consumers who don’t mind getting to know their insurance agents and handling things over the phone.
Despite its small size, this company does offer a fairly wide range of coverage amounts for their whole life policies. They also have policies available for people of customers of varying ages and do offer some riders to help you customize your policy further. However, they don’t offer term life insurance and some other popular forms of life insurance.
When shopping for a life insurance company, it’s always important to compare rates from multiple providers. Each company has different product offerings as well as different methods for calculating their premium rates, so you might be surprised by which products end up being the best fit for your needs.