Colonial Penn Insurance Company is a Philadelphia-based insurance provider that has been providing life insurance coverage to Americans for more than 60 years. The company was founded in 1961 and is now owned by CNO Financial Group, a Fortune 1000 company that specializes in providing retirement, health, and life insurance solutions. The main objective of the company is to provide affordable and reliable life insurance coverage to seniors and baby boomers. In this article, we will provide you with a comprehensive review of Colonial Penn Insurance Company.
Colonial Penn Insurance Products
Colonial Penn Insurance Company specializes in providing life insurance coverage to people aged 50 to 85. The company offers two types of life insurance policies: term life insurance and permanent life insurance.
Term Life Insurance
The term life insurance policy offered by Colonial Penn Insurance Company provides coverage for a specific period of time, usually from 10 to 20 years. The company offers term life insurance coverage of up to $50,000, and the premiums are fixed throughout the term period. This type of coverage is ideal for someone who wants to cover their debts or provide a financial cushion to their beneficiaries if they pass away unexpectedly.
The premium for the term life insurance policy depends on various factors such as the age, gender, health, and lifestyle of the applicant. However, the premium is generally lower for younger applicants who are in good health.
Permanent Life Insurance
The permanent life insurance policy offered by Colonial Penn Insurance Company provides coverage for the entire lifetime of the policyholder. The company offers permanent life insurance coverage of up to $50,000, and the premiums are fixed throughout the policy’s lifetime. This type of coverage is ideal for someone who wants to provide financial security to their beneficiaries and cover their final expenses.
The premium for the permanent life insurance policy depends on various factors such as the age, gender, health, and lifestyle of the applicant. However, the premium is generally higher for older applicants who are in poor health.
Colonial Penn Insurance Pros and Cons
Pros
Colonial Penn Insurance Company has several advantages that make it a popular choice among seniors and baby boomers looking for life insurance coverage:
Pros |
Cons |
|---|---|
Easy Application Process |
Low Coverage Amount Options |
No Medical Exam Required |
No Online Quotes |
Guaranteed Acceptance |
No Policy Riders Available |
Fixed Premiums |
No Cash Value Accumulation |
30-Day Money-Back Guarantee |
Lower Coverage Amounts |
Easy Application Process
The application process for Colonial Penn Insurance Company is simple and straightforward. Applicants are required to answer a few health-related questions, and no medical exam is required. The application can be completed over the phone or online, and the underwriting process is fast and efficient. The applicant can receive a decision on their application within minutes of completing it.
No Medical Exam Required
Colonial Penn Insurance Company does not require a medical exam to be completed to qualify for coverage. This eliminates the need for an applicant to visit a doctor, which can be an inconvenience for some people. Applicants only need to answer a few health-related questions, and as long as they meet the criteria, they are guaranteed acceptance.
Guaranteed Acceptance
Colonial Penn Insurance Company offers guaranteed acceptance to all applicants who meet the eligibility criteria. This means that even if an applicant has pre-existing medical conditions or a history of serious illnesses, they can still qualify for coverage.
Fixed Premiums
Colonial Penn Insurance Company offers fixed premium rates for both term and permanent life insurance policies. This means that the premium rate remains the same throughout the policy’s lifetime or the term period. This provides financial stability to the policyholder, and they can be assured that their premiums will not increase over time.
30-Day Money-Back Guarantee
Colonial Penn Insurance Company provides a 30-day money-back guarantee for all policies. This means that if the policyholder is not satisfied with the coverage provided, they can cancel the policy within 30 days of its inception and receive a full refund of the premiums paid.
Cons
Despite the many advantages of Colonial Penn Insurance Company, the company also has some drawbacks that potential policyholders should be aware of:
Low Coverage Amount Options
Colonial Penn Insurance Company offers coverage for up to $50,000 only. This may not be sufficient for some policyholders who want to provide a larger financial cushion to their beneficiaries.
No Online Quotes
Colonial Penn Insurance Company does not provide online quotes for its life insurance policies. Potential policyholders need to call the company’s customer service center to get a quote.
No Policy Riders Available
Colonial Penn Insurance Company does not offer any policy riders with its life insurance policies. This means that policyholders cannot customize their policies to meet their specific needs.
No Cash Value Accumulation
Colonial Penn Insurance Company’s life insurance policies do not accumulate cash value over time. This means that policyholders cannot borrow against the policy or use it as an investment vehicle.
Lower Coverage Amounts
Colonial Penn Insurance Company’s life insurance policies offer lower coverage amounts compared to other insurance providers. This may not be suitable for policyholders who want to provide a larger financial cushion to their beneficiaries.
Colonial Penn Insurance Reviews
Colonial Penn Insurance Company has received mixed reviews from its policyholders and industry experts. Here are some of the reviews:
Policyholder Reviews
According to the Better Business Bureau (BBB), Colonial Penn Insurance Company has an A+ rating, the highest possible rating. The company has received positive reviews from its policyholders, with many appreciating the company’s easy application process, guaranteed acceptance, and fixed premiums. However, some policyholders have criticized the company’s low coverage amount options and lack of policy riders.
Industry Expert Reviews
According to Consumer Affairs, Colonial Penn Insurance Company has a 3.5-star rating out of 5 stars. The company has been criticized for its low coverage amount options, lack of policy riders, and high premium rates for older applicants. However, the company has been praised for its easy application process and guaranteed acceptance.
Conclusion
Colonial Penn Insurance Company is a reputable insurance provider that specializes in offering life insurance coverage to seniors and baby boomers. The company offers affordable and reliable life insurance policies that provide financial security to policyholders and their beneficiaries. The application process is easy, and no medical exam is required. The company has received positive reviews from its policyholders, but also has some drawbacks that potential policyholders should be aware of. If you are looking for life insurance coverage, Colonial Penn Insurance Company may be a good option for you.
Frequently Asked Questions (FAQ)
What types of life insurance policies does Colonial Penn Insurance Company offer?
Colonial Penn Insurance Company offers two types of life insurance policies: term life insurance and permanent life insurance.
What is the maximum coverage amount offered by Colonial Penn Insurance Company?
Colonial Penn Insurance Company offers coverage for up to $50,000 only.
Does Colonial Penn Insurance Company require a medical exam to qualify for coverage?
No, Colonial Penn Insurance Company does not require a medical exam to qualify for coverage. Applicants only need to answer a few health-related questions.
The premium for Colonial Penn Insurance Company’s life insurance policies depends on various factors such as the age, gender, health, and lifestyle of the applicant. However, the premium is generally lower for younger applicants who are in good health.
Does Colonial Penn Insurance Company offer any policy riders with its life insurance policies?
No, Colonial Penn Insurance Company does not offer any policy riders with its life insurance policies.