Farm Bureau Life Insurance has been around for a long time, and for good reason: it is a reliable insurer with a low complaint index relative to its size. However, its policy selections are restricted compared to many of the top life insurance companies we researched, and it is only offered to residents of 14 Midwestern states. Online support is only available to members during work hours; members may only reach customer care by phone.
Relative Dissatisfaction
How good is farm bureau insurance? According to the NAIC complaint index, Farm Bureau receives a far less number of complaints from customers than would be expected for a firm of its size. The NAIC index of 1.0 indicates that the number of complaints received by the firm is consistent with what would be expected, given its market share.
There are more complaints than predicted if the index is more significant than 1.0 and fewer than expected if it is less than 1.0. Over three years, Farm Bureau maintained an exceptional average index of 0.23.
Independent Evaluations
AM Best similarly praised Farm Bureau for its reliability and financial soundness. AM Best was founded in 1899 and is thus the oldest credit rating firm.
Currently, it evaluates the financial stability of over 16 thousand insurance providers, giving each one a rating based on how reliably they pay their bills and settle claims.
AM Best has reaffirmed Farm Bureau's A grade for financial strength, indicating that the company is well-positioned to satisfy its ongoing insurance commitments. About two of the three life insurers we looked at had A- or above grades.
Policy Options
Depending on your needs, you can choose from the whole term life or indexed universal life insurance from Farm Bureau. Let's take a deeper look at your many choices.
Life Insurance Term
One of the most cost-effective forms of life insurance is term life coverage. This type of insurance often covers you for a specific number of years, from 10 to 30. A death benefit will be paid to your beneficiaries if you die away within the term period.
How to cancel farm bureau insurance as when your term finishes, coverage stops unless you renew or convert it to permanent coverage. Farm Bureau has several term insurance alternatives, including one that lets you add an extra range of up to double the original face amount within the first five years with no additional underwriting.
Lifetime Coverage Policies
What does farm bureau homeowner insurance cover? If you can afford the fixed premiums, whole life insurance will protect you for the rest of your life. If you've set up a death benefit, anybody you choose will get that money when you die. In addition to providing lifelong protection, the policy also accumulates financial value.
Whole-life applicants can choose from various premium payment plans, including one in which they pay the same amount each year until they are 100 and nothing more.
Indexed Universal Life
Also, providing perpetual protection and a cash value component is index-linked universal life (IUL) insurance. The difference is that your cash worth may be invested in a stock index account.
This implies that your cash worth will rise or fall with a market index such as the S&P 500. It's possible to make money off of an index's growth. Therefore, IUL policies may develop quicker than conventional universal life insurance.
Guaranteed Insurability
Additional life insurance coverage can be purchased with a guaranteed insurability rider without the need for a medical exam. The amount and frequency of insurance upgrades are typically spelled out in the policy.
Rider, Child
By purchasing a "child rider," you may include your offspring in your existing life insurance coverage. Insurance policies for children often take the form of term policies that remain in force until the kid reaches a specified age. Children as young as seven days old are eligible for this supplemental policy from Farm Bureau.
Add-On Income for the Disabled
If you become fully handicapped, the disability income rider will replace a portion of your salary for a specified time. Not as much as you may get through disability insurance, but it can help.
Death Benefit: Terminal Illness Rider
In the event that you are diagnosed with a terminal illness that satisfies the requirements of the terminal illness rider, you will be eligible to receive an early payment from your death benefit.
Disabled and Chronic
A similar ADB is the chronic sickness rider, which allows you to receive a portion of your policy's death benefit while you are still alive. However, a qualifying chronic illness is required here rather than a terminal condition.
