Bestow Life Insurance prides itself on being a quick and easy life insurance provider. Its mission is to make life insurance seamless, convenient, and streamlined.
The company was established in 2017 and has quickly risen to be a trusted provider across the United States. Its modernized insurance options and methods have given it a considerable edge in the industry.
Bestow’s digital application process became a huge benefit amid the pandemic. Its established quick methods came in handy for people in the online setup.
While the company’s main selling point has always been about making insurance easier for everyone, it’s not without flaws too.
This article will discuss the advantages and disadvantages of taking Bestow Life Insurance. It’ll help you determine if Bestow is the right fit for you!
What Bestow Can Offer You
Bestow Life Insurance offers term life insurances in 5-year increments. Coverage starts from $50,000 with a cap of $1,500,000. Anyone aged 18-60 is eligible for coverage.
There are a few caveats in their offerings:
- 55 is the highest age that may apply for the 15-year term.
- 50 is the highest age that may apply for the 20-year term.
- 45 is the highest age that may apply for the 25-year term.
- 40 is the highest age that may apply for the 30-year term.
- Age limits are different for tobacco users.
The application process is entirely online. You will fill out the application, and their mobile-enabled website will calculate policy options for you.
Once approved, you can be covered on that very same day.
Advantages of Bestow Life Insurance
There are many upsides to choosing Bestow as your life insurance provider. Here are some of them:
1. Fast and Convenient
Gone are the days when you have to line up for hours to get your insurance approved. You don’t have to sit through mountains of paperwork, either!
With Bestow, all the information you’d need to make a knowledgeable decision will be easily presented to you. Their simple online form will require basic details from you to make an estimate.
Even more, you don’t need to come in for a medical exam. The questionnaire instead asks you comprehensive questions on your health and lifestyle.
If you provide all the requirements, you can get your insurance application approved within minutes!
The great thing about Bestow is that they won’t make you jump through hoops or waste your time. Everything is optimized to put you first.
3. Algorithm-Based Pricing
All their insurance prices are carefully calculated through a trustworthy algorithm. The company, in general, relies on data-driven models to determine its policies.
In fact, the fintech start-up originated from the idea of a disruptive insurance solution that will redefine insurance underwriting.
Bestow also doesn’t operate on a commission basis. This means there won’t be pesky insurance agents trying to sell you increasingly higher payment plans! With Bestow, everything is laid out in black-and-white.
4. Money-Back Guarantee
Most insurance providers only give ten days for full refunds. Bestow Life Insurance has a 30-day guarantee that will provide you with a full refund when you cancel within that period.
Even after the 30 days, you’ll be able to cancel anytime without incurring any penalties. However, you won’t be able to get refunds for the premiums you’ve already paid.
5. Customer Service
A helpful chatbot is available at all times to assist you through your application process. Bestow also gives you the option to get advice from insurance agents.
There are also customer care advisors on hand who are happy to help you with any concerns or requests. You can reach Bestow Life Insurance via chatbot channels, emails, or telephone.
6. Easy-To-Use Website
Even though Bestow doesn’t have a mobile app, their website more than makes up for it. The site itself is clean-looking and easy to navigate.
The colors are very pleasing to the eye, and you’ll know right away where you need to go. The website is also mobile-enabled for convenience.
Disadvantages of Bestow Life Insurance
Now, you know all about the many highlights of Bestow as an insurance provider. This time, discover the less-than-stellar aspects of their policy options.
Here are some of the disadvantages that you should consider:
1. Limited Coverage
Unlike other insurance providers, Bestow doesn’t offer to convert your term plan to a universal one. You also can’t add any insurance riders to your Bestow life insurance plan either.
Insurance riders are add-on coverages to your plan, such as accidental death benefit rider and child life insurance rider. It’s much cheaper to add these coverages to your existing plan than to take on whole new insurance plans.
Furthermore, when you compare their $1,500,000 coverage cap to other providers, it’s significantly lower.
2. Limited Policy Options
Bestow only offers simplified term life insurances. This means that your dependents can only claim the payouts and benefits within the agreed-upon term.
Many prefer term life insurance because it’s simpler and cheaper. The rates are already fixed and you get bang for your buck.
On the other hand, universal and whole life plans offer more coverage. When your term life insurance expires, you will no longer get any benefits.
This won’t happen in a universal or whole life plan.
On average, Bestow Life Insurance’s rates start at $8 a month, although this varies. All things considered, this is an affordable rate, especially with the convenience that Bestow offers.
However, when you compare, the prices are a bit higher than your average insurance provider. This is because the company does take some risks by foregoing medical exams for their customers.
Again, term life insurances are usually simple, and the rates rarely fluctuate. You need to consider if the basic Bestow package is worth investing in instead of other cheaper providers.
4. Chances of Denial of Application
While Bestow does advertise “almost instant coverage,” there are cases of applicants not passing their requirements.
A myriad of factors can affect the algorithm’s decision:
- Pre-existing health conditions
- Diet and lifestyle
So, if you are working in a high-risk job or have a history of health conditions, this can affect your application. Most times, the level of your risk Bestow will calculate can drive up your premium.
Bestow also conducts a cursory background check, and this can be another factor in your application. This background check usually covers social media profiles and other public records.
If you’re into thrill-seeking hobbies, most insurance providers will also consider that a risk. Other times, your citizenship status and existing life insurance plans with different companies can also affect insurance approval.
Other Things You Should Know About Bestow
Here are some other things about Bestow Life Insurance that can help you make your decision!
Bestow is certified A+ or “superior” by renowned rating company A.M. Best. This means that Bestow is more than capable of fulfilling its customers’ claims in any event.
A lot of prospective clients may be wary of Bestow’s relatively young age. What would happen if a financial fallout or massive emergency comes?
Aside from being certified superior, Bestow is also “backed” by another A+ rated insurance company. A North American Life and Health Insurance will cover Bestow’s claims if Bestow cannot fulfill them.
This practice is called reinsurance and is common among industry stalwarts.
Life insurance underwriting is how insurance companies gauge the policy and premium price for an applicant. Most providers will give you a simple quote online and then refer you to one of their agents for a more detailed calculation.
Bestow Life Insurance differs from this because of its 100% online application process. Using innovative technologies and an intuitive algorithm, they employ accelerated underwriting.
Accelerated underwriting is so much more efficient than the traditional underwriting process. It saves you time and energy by deriving its price estimate from the information you provided.
If you want to know more about how your price was calculated, you can always contact their available chatbots or customer care advisors.
Two-Year Contestable Period
This is another common industry practice. When the policyholder passes away, the beneficiary should claim the insurance benefits.
The insurance provider will then do its due diligence to ensure all information in the application is accurate. This is to prevent insurance fraud.
Bestow Life Insurance definitely broke the mold. Their approach is people-centered and tailored for service and convenience.
It’s undeniable how handy their particular brand of service is, especially amid the pandemic. The company truly lives up to its promise of modernizing insurance.
However, it all comes down to what you need. Yes, Bestow’s application process is a breeze, but is their term life insurance plan what you’re looking for?
Term life insurance plans are simple, straightforward, and often cheaper than other kinds of insurance. However, Bestow’s is more limited because you can’t add insurance riders or convert your current plan to something else.
At the end of the day, Bestow Life Insurance’s highlight is its quick and easy coverage. If you’re looking for more comprehensive or cheaper insurance plans, it might be best to continue your search.
If you liked this post, you might want to check out these related articles: