Bestow’s online eligibility and policy purchasing process introduces a new way to buy life insurance. Founded in 2016, the company offers life insurance in all states except New York for as little as $16 per month. All Bestow’s policies are issued by North American Company for Life and Health Insurance, an A+ (Superior) rated insurer. While fast approval and online purchasing make Bestow a great option for many life insurance shoppers, it is not the best choice for everyone.
Bestow life insurance
Bestow presents a new way to buy life insurance. Typically, term life insurance policies require an online or in-person application and a medical exam followed by a few weeks of waiting for confirmation. Bestow’s 100% online process doesn’t require a medical exam and determines eligibility in about 10 minutes, employing an algorithm instead of a human underwriter to assess eligibility and accelerate the underwriting process.
Its online application collects personal data such as Social Security number and contact information, which it uses to access publicly available data about the applicant. The provider also collects health data such as prescription drug use through sources like MIB Group, a not-for-profit corporation that provides underwriting services in the United States and Canada. Applicants also provide information about citizenship, lifestyle, medical history and hobbies.
If the system approves the application, the applicant reviews coverage levels and rates, then purchases a policy with a credit card. Coverage begins immediately.
Types of coverage
Currently, Bestow offers two term life insurance policies:
- 10-year term life insurance, with coverage levels ranging from $50,000 to $1 million.
- 20-year term life insurance, with coverage levels ranging from $50,000 to $1 million.
These policies are only available to people who are employed and relatively young and healthy. To qualify for a 10-year term policy, you must be between the ages of 46 and 55. Qualified applicants between the ages of 21 and 45 can purchase 10- or 20-year term policies.
Bestow does not insure people with a history of certain types of health conditions, including:
- Alcohol and drug abuse
- Cancer (except basal and squamous cell skin cancer)
- Diabetes before age 40 (except gestational diabetes)
- Heart disease
- Kidney disease that requires dialysis
Bestow does not offer discounts.
Bestow ratings, reviews, customer satisfaction and complaints
The Better Business Bureau (BBB) gives Bestow an A+ rating. In the last three years, the BBB has received and closed two consumer complaints against Bestow. North American Company for Life and Health Insurance issues all Bestow policies and Munich RE reinsures them.
North American Company has earned an A+ BBB rating, with 15 complaints in the last three years, with nine closed complaints in the last 12 months. Most complaints against North American Company centered on service problems such as customer service and premium increase matters. The BBB rates Munich RE A+, with no complaints in the last three years.
An underwriter’s financial stability ratings are a good indicator of its ability to meet its claims obligations. North American Company and Munich RE have earned high ratings from several top agencies.
|Rating Agency||North American Company for Life and Health Insurance||Munich RE|
|AM Best||A+ (Superior)||A+ (Superior)|
|Fitch||A+ (Stable)||AA (Strong)|
|Standard and Poor’s||NA||AA-|
Reasons why Bestow is a great option
Bestow is a great choice for people who are young, in good health and need coverage quickly. The 100% online application, eligibility and purchasing process allows for qualification and purchase in minutes instead of weeks. There is no medical exam required and its policies have a fixed monthly premium.
Bestow life insurance is not a good choice for people who want lots of policy options or for those in their late 40s or early 50s who have a history of health problems or need a 20-year term policy to cover them until retirement
Additional policies offered by Bestow
Currently, Bestow only offers 10- and 20-year term life insurance coverage ranging from $50,000 to $1 million.
Frequently asked questions
What is the best life insurance company?
Choosing a life insurance company is subjective and often depends upon eligibility, the type of life insurance and coverage needed. These life insurance companies rate positively with consumers and are worth checking out.
Can I qualify for Bestow life insurance if I have a preexisting condition?
It depends. Bestow may extend coverage to an applicant with certain treatable conditions such as squamous cell skin cancer, but those with more serious conditions are not likely to qualify.
Do Bestow life insurance policies automatically renew at the end of the term?
No, but applicants can still apply for a new policy.
Am I covered as soon as I purchase a Bestow life insurance policy?
Yes. But keep in mind that life insurance policies typically have a two-year contestable period, during which the insurance provider may decide to investigate the cause of death. If the insurer determines that the insured provided false or inaccurate information when they applied for coverage, the claim may be denied.