American Memorial Life Insurance Company Review

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If you are inquiring about final expense products from American Memorial Life Insurance, this review is for you. American Memorial Life Insurance or AML is a legal entity of Assurant Solutions and is licensed in 49 states to sell its final expense products. AML isn’t on our top 20 final expense companies, however, we received a few calls from curious consumers and decided to go over their products and services to see how they stake to the best in our industry.

Who is American Memorial Life Insurance Company?

American Memorial Life is subsidiary of Assurant Solutions, who have been serving clients since 1959 by offering specialty insurance products and risk management solutions. Assurant Solutions is part of Assurant, a giant in the health insurance business which closed their doors in October 2015 and exited the health insurance business due to the Affordable Care Act (ACA) loses.

Now they specialize in the property and casualty arena, but its subsidiary, Assurant Solutions, is partnered with American Memorial Life to offer final expense products. American Memorial is rated A- (Excellent) by A.M Best and is committed to its clients by offering superior customer service for those who are seeking final expense products.

Which Final Expense Products Do They Offer?

For starters, final expense life insurance is for those who seek protection for one primary goal which is to resolve end-of-life obligations such as burial and funeral service, gasket or cremation among several others. The death benefit or face value is usually $25,000 or lower, and unlike term life insurance, final expense policies are whole-life and also build cash value.

Additionally, final expense policies are a simplified issue, which involves answering yes or no to a few questions and does not require taking an exam as part of the approval process. American Memorial offers two products, level, and modified death benefit, which you can qualify for based on your health.

Level Benefit—Immediate Death Benefit

A level benefit, also called Preferred Plan, means that your policy has no waiting period in which the policy goes into effect. This means, if you have a $10,000 policy, whether you die two days after purchasing the policy or two years, the policy would pay the acquired death benefit amount, in this case, $10,000.

It’s worth mentioning that, to be eligible for this plan, you must be in good health without any significant health issues. Your premium payments remain the same for your entire life, and the face value will never decrease even if your health deteriorates.

  • Ages 0–60 can get $5,000 to $50,000
  • Ages 61–70 can get $3,000 to $25,000
  • Ages 71–80 can get $3,000 to $25,000
  • Ages 81–85 can get $3,000 to $20,000

Note: If you buy the policy over the phone instead of face to face, you will only be able to get $15,000 in death benefit.

Modified Benefit—Graded Death Benefit

A modified death benefit plan is also called a return-of-premium plan. This plan has a three-year waiting period after which they pay the full death benefit. If you die in the first two years, not accident-related, the plan will pay your premium paid plus 10% in interest. Those who can’t get approved for the level benefit plan may be eligible for a modified plan. Your premiums will also remain fixed, and the policy will build a cash value just like the level benefit one.

  • Ages 40–60 can get $5,000 to $15,000
  • Ages 61–70 can get $3,000 to $15,000
  • Ages 71–80 can get $3,000 to $10,000

Note: If you can’t qualify for the level benefit plan, do not apply for the modified plan before you compare rates from other companies first. All insurers have different ways which they use to classify an applicant. Where one company give you graded benefit, another may provide you with level, but you need to know which one.

Knockout Questions

Brokers use knockout questions to determine which plan benefit an applicant can qualify for. It is also useful for the applicant to see the questions, so they will not waste time applying for a product they can’t get accepted for. Of course, if you have a broker, you should let them do the due diligence based on your health history and come up with a plan that fits you.

As mentioned before, every life insurance company has a different risk threshold for which they underwrite a potential client, therefore they have different questions on the application that, based on your circumstances and health, will lead to either a level or graded benefit plan. You should never assume that no company will offer level benefit because of your health history.

Your goal is always to get a level benefit plan that pays immediate death benefit no matter when you pass away. Below is a screenshot from American Memorial’s application with the questions you need to answer and what will dictate a level or graded plan.

american memorial knockout questions

American Memorial Life vs. Other Carriers’ Sample Monthly Rates

sample rates

Male $10,000 Whole Life

 CompanyAge 50Age 60Age 70Age 80
 Assurity $28.82 $41.65 $73.05 $155.57
 Mutual of Omaha $29.16 $42.76 $73.70 $132.65
 Americo $32.06 $43.68 $72.93 $145.65
 Liberty Bankers Life $30.51 $45.80 $73.31 $146.80
 Phoenix$30.15 $43.27 $72.74 $146.92
 American-Amicable $30.80 $45.76 $76.57 $151.36
 United Home Life $31.02 $44.69 $74.63 $138.60
 Settlers $31.45 $45.31 $72.85 $153.80
 Transamerica $30.73 $43.85 $74.66 $140.22
 American Memorial $41.55 $54.55 $88.95 $120.86

Female $10,000 Whole Life

 CompanyAge 50Age 60Age 70Age 80
 Assurity $25.48 $34.74 $56.41 $113.89
 Mutual of Omaha $24.67 $32.87 $53.24 $98.43
 Americo $24.56 $33.93 $53.43 $112.77
 Liberty Bankers Life $25.57 $34.67 $54.79 $109.16
 Phoenix$26.63 $36.46 $55.26 $110.24
 American-Amicable $25.96 $37.22 $58.70 $110.44
 United Home Life $26.06 $35.42 $73.28 $141.58
 Settlers $26.01 $36.38 $55.76 $113.48
 Transamerica $25.32 $33.72 $71.59 $104.11
 American Memorial $33.25 $42.65 $63.25 $91.65

Male $20,000 Whole Life

 CompanyAge 50Age 60Age 70Age 80
 Assurity $55.44 $81.10 $143.90 $308.93
 Mutual of Omaha $55.11 $82.31 $144.20 $262.11
 Americo $60.33 $83.56 $142.06 $287.51
 Liberty Bankers Life $56.39 $86.97 $141.99 $288.97
 Phoenix$56.16 $82.40 $141.34 $289.69
 American-Amicable $58.96 $88.88 $150.50 $300.08
 United Home Life $57.68 $85.03 $144.91 $272.05
 Settlers $62.90 $90.61 $145.69 $291.13
 Transamerica $57.89 $84.05 $145.74 $276.88
 American Memorial $80.41 $106.40 $175.20 $239.01

Female $20,000 Whole Life

 CompanyAge 50Age 60Age 70Age 80
 Assurity $48.77 $67.28 $110.62 $225.58
 Mutual of Omaha $46.14 $62.53 $103.28 $193.66
 Americo $45.32 $64.07 $103.06 $221.75
 Liberty Bankers Life $46.51 $64.71 $104.95 $213.69
 Phoenix$49.12 $68.78 $106.37 $216.34
 American-Amicable $49.28 $71.81 $114.75 $218.24
 United Home Life $47.76 $66.49 $100.59 $204.87
  Settlers $52.02 $72.76 $111.52 $226.95
 Transamerica $47.07 $63.87 $104.41 $204.65
 American Memorial $63.79 $82.61 $131.21 $180.60

Male $30,000 Whole Life

 CompanyAge 50Age 60Age 70Age 80
 Assurity $82.06 $120.55 $214.75 $462.30
 Mutual of Omaha $81.06 $121.86 $214.69 $391.56
 Americo $88.59 $123.44 $211.19 $429.36
 Liberty Bankers Life $82.27 $128.14 $210.67 $431.14
 Phoenix$82.17 $121.53 $209.94 $432.47
 American-Amicable $87.12 $132.00 $224.43 $448.80
 United Home Life $84.35 $125.38 $215.19 $407.10
 Settlers $94.35 $135.92$218.54 $461.81
 Transamerica $85.04 $124.29 $216.83 NA
 American Memorial $119.26 $158.25 $261.45 NA

Female $30,000 Whole Life

 CompanyAge 50Age 60Age 70Age 80
 Assurity $72.05 $99.83 $164.82 $337.27
 Mutual of Omaha $67.60 $92.20 $153.31 $288.89
 Americo $66.07 $94.20 $152.68 $330.72
 Liberty Bankers Life $67.45 $94.76 $155.11 $318.23
 Phoenix$71.61 $101.10 $157.49 $322.43
 American-Amicable $72.60 $106.39 $170.81 $326.04
 United Home Life $69.47 $97.55 $148.71 $305.13
 Settlers $78.03 $109.14 $167.28 $340.43
 Transamerica $68.82 $94.02 $154.84NA
 American Memorial $94.33 $122.55 $184.36 NA

*All rates quoted on this page are for a super-preferred healthy individual who does not use tobacco. Monthly rates are updated as of Sep 2018 and are subject to underwriting approval.*

Bottom Line

American Memorial Life has a few advantages:

  • If you are 80 or over and looking for final expense policy, they are very competitive price-wise. The maximum face value is $25,000, but that is a sufficient amount for most who are looking for burial insurance.
  • They offer up to $75,000, where most final expense companies provide up to $50,000. Keep in mind if you buy it over the phone, the maximum benefit is only $15,000.
  • Individuals with diabetes with prescribed insulin after the age of 40 can qualify for the level benefit plan.

American Memorial has a few disadvantages:

  • If you buy their plan over the phone, you will only be able to purchase up to $15,000 in benefit, which isn’t enough for most.
  • They are way overpriced if you are under the age of 80. Check out the table rates above.
  • They don’t offer any riders such as terminal illness or living benefit riders, which most companies offer without additional cost.

As a consumer, you must do your homework before choosing a company to apply to. Buying life insurance based on price alone should never be your goal. Instead, find a company that can issue a level benefit plan at the lowest possible price.

We at Effortless Insurance know that life insurance is baffling for most, this is why we recommend you call us at 866-326-3053 for life insurance quotes based on your health and goals. If you prefer running the quotes yourself, use the quote engine on our site where you can get the quotes in under 30 seconds.

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2018-09-21T06:58:01+00:00September 21st, 2018|Categories: Company Reviews, Seniors Life Insurance|0 Comments

About the Author:

Ron is a licensed life & health insurance broker. He has two amazing rescued Pitbulls. He also enjoys real food, strong coffee, ultra runs, critical thinking, and reading.

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