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Joseph Graves
May 11, 2023

Tier Three | Underwriting Series: #4

Fourth installment of our series - Great Field Underwriting - Tier Three Carriers

When you have a client that isn’t going to qualify for a Tier One or Two solution, Tier 3 may be the best solution for your client. There is even a 100% Guarantee issue term option! Attached is a stack of questions from 6 of our top Tier 3 carriers. Use this to pre-screen your clients.

  • The stack is in order based on the average “best rate”

  • Lower rates typically mean “tighter underwriting”

  • Open the pdf and read the specific Heart & Diabetes questions

  • Choosing the RIGHT final expense option is based on the underwriting questions, Rx check, & possibly the MIB report

  • Although there are dozens of carriers in the market, we see these 6 being able to fill a client’s needs in most cases

  • The availability & questions could vary based on her state of residency

  1. Standard Life & Casualty (a Manhattan Life Company)*

    1. Always the lowest rates – if your client can qualify

    2. Paper App only at this time

    3. Manhattan Life contract includes several other product lines – Cancer, Critical, Accident, Hospital Admission, & more

    4. Limited availability in 18 States: AL, AR, CO, GA, IN, KY, LA, MS, MO, NV, NC, OH, OK, SC, SD, TN, TX, and UT

  2. Mutual of Omaha FEWL*

    1. Our top carrier overall

    2. Immediate & Graded benefit options

    3. Contract includes several other product lines – Disability, Critical, Term / UL / Accident / Final Expense, Medicare Supplements

  3. CVS / Aetna FEWL*

    1. Our go to for extreme Height / Weight issues. There is NO height / weight chart

    2. TWO immediate benefit options (Preferred / Standard) & one Modified benefit option

    3. Contract includes several product lines – Medicare Supplements, Cancer / Heart / Stroke, Denta / Vision / Hearing, Short Term Home Care, & more

  4. Foresters FEWL*

    1. Great overall carrier for Life Insurance Lines (Term, No-Exam Term, Final Expense, Accidental Death, PAR Whole Life)

    2. TWO immediate benefit options (Preferred / Standard) & one Graded benefit options

    3. Fraternal organization with MANY additional member benefits

  5. United Home Life FEWL*

    1. The Final Expense Whole Life has very flexible underwriting

    2. TWO immediate benefit options (Preferred / Standard) & Graded benefit options

    3. Other lines are a No-Exam 20 & 30 year term, ROP Term, and ROP accidental death

  6. GTL (Nearly Guarantee Issue) FEWL*

    1. Nearly Guarantee Issue – Limited health questions

    2. Better than a traditional graded plan since it has a 50% of the chosen face amount in the second policy year vs. just an ROP like most plans

    3. Contract includes several product lines – Cancer / Heart / Stroke, Short Term Home Care, Turbo Issue Term Life, & more

  7. Guarantee Issue Association Plan - 5 Year Increasing Term*

    1. Guarantee Issue

    2. 10, 20, 30, 40, & 50 thousand dollar benefits

    3. Issue ages between 18 & 75

    4. 100% Accidental death years 1 & 2

    5. Modified death benefit due to health years 1 & 2 (ROP / 20% / Full)

A few alternative carriers:

  • Corebridge* (new name for AIG)

    • Our choice for a true guaranteed issue plan if you’re over 50 years old

  • Illinois Mutual*

    • Competitive rates – Middle of the pack

    • Mutual Company – May make a difference diversifying your product offering

    • GREAT term life solutions for tobacco, impaired risks, and Return of Premium (ROP)

    • Also, great outlet for Blue Collar Disability & Worksite Benefits

  • Transamerica*

    • Strict Underwriting – ONLY IF NEEDED

  • More if really needed.

^Read the carrier manuals so that you understand the complexities of the “Living Benefits” feature.

*Not quoted on iPipeline. You must use the carrier’s website. Contracting is required to access.


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