With so many uncertainties in life, it all makes sense to take an insurance cover to protect your family from financial ruin just in case something drastic happens to you. You can take medical or life insurance to cover for the cost of health care or to have your family get funds to keep them running in case you die. It is especially important if you are the sole breadwinner. Colonial Penn life and burial insurance are among the most popular covers in the country. Almost every citizen has heard at one time or another about Colonial Penn and their insurance covers. Their commercials are mostly done by famous television personality and host Alex Trebek.
The looming question about these commercials is whether Trebek is exaggerating about Colonial Penn covers just to have unsuspecting individuals buy them. You must understand the various covers this company sells.
Guaranteed Acceptance Whole Life Insurance
This policy is among the most advertised of this company’s policies. It has no medical underwriting that requires one to undergo a medical check-up. You can qualify for this policy no matter your health status. It becomes active after two years waiting period. Premiums for this cover never increase, and the coverage cannot expire at any age.
The downside of this policy is that you never get paid any death benefits if you happen to die within two years. The death benefits also remain the same.
While it looks very attractive, this policy is not special in any way. You can still qualify for other health policies that do not require health screenings at lower premiums. Colonial Penn policy is simply packaged in a way that would deceive you of its special status just to have you pay more premiums.
Whole Life Insurance
This policy is closely related to the guaranteed life insurance policy. The difference is that this particular policy has medical underwriting. If you’ve had any medical conditions in the last three years, then you will not qualify for this policy. Like the guaranteed policy, premiums don’t increase, coverage doesn’t expire at any age, increases in cash value and death benefits don’t increase.
Another life insurance that Trebek advertises is term insurance. With this policy, you will have to wait until you are 90 years old for it to expire. It is important to note that premiums increase after five years.
Colonial Penn, through Trebek, advertises its policies in a manner that potential clients would think that they are offering a very lucrative offer. The rate lock element that serves as their main selling point is nothing special though. The Rate Lock is a situation whereby monthly premiums remain the same and do not change over time. This characteristic is not unique to Colonial Penn as they make it appear to be, but is actually a function of all whole insurance policies irrespective of the company.
Trebek, in this case, is being a sell-out since he is only focused on having the company sell their policies that are more expensive as compared to other companies, instead of advertising to would-be clients in a manner that they would make an honest and informed decision.