At InsuranceBrokersUSA, we take pride in offering our clients a diverse array of carriers, including some of the top final expense and burial insurance companies. Today, we present our Baltimore Life review.
In this review, we will cover Baltimore Life’s history, ratings, and the various life insurance policies it offers. Our goal is to help you determine if Baltimore Life is the right company for you.
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About Baltimore Life Insurance Company
Baltimore Life was initially formed by five businessmen with assets of $260. However, the need for life insurance was vastly different in the early 1880s when the company was launched.
In 1882, the Baltimore Mutual Aid Society of Baltimore City was established, which later became Baltimore Life. Fast forward to 2017, the company insures over 300,000 individuals, families, and businesses and operates in 49 states and the District of Columbia, with its corporate office located in Maryland.
Today, it appears that the early risks taken by the company’s founders have paid off as they have successfully served the middle-income segment of the market. With a large and diverse client base, Baltimore Life continues to fulfill its promise of providing insurance to those who need it most.
Baltimore Life Official Ratings
To begin our Baltimore Life review, let’s assess the company’s financial position by examining the ratings given by A.M. Best. These ratings can provide insights into their financial strength and their ability to pay out any claims that arise.
As of April 2020, Baltimore Life has an A.M. Best rating of ‘B++’, which may raise some concerns. In the life insurance industry, there is a general rule that reputable companies should have a rating of at least ‘A-‘. When a rating starts with ‘B’, it often causes unease.
However, we must also consider Baltimore Life’s history, including their ability to endure challenging times such as the Great Depression in the late 1920s and the global crisis a decade ago. This indicates that they have the financial strength to survive even the harshest environments. Furthermore, with over 300,000 customers, there is a significant level of trust in the brand. Ultimately, it is up to you to decide whether or not you trust the ‘B++’ rating. Nevertheless, their current rating is still considered ‘Good’, and they are just one promotion away from achieving the coveted ‘A-‘ rating.
Moving on, we can also assess their Better Business Bureau (BBB) rating to gauge their performance with customers. When choosing a life insurance policy with Baltimore Life, it is important to know whether they will respond to your calls, address any issues, and provide advice when necessary.
Fortunately, Baltimore Life has an ‘A+’ rating with the BBB, which should inspire confidence. The BBB considers several factors, including complaint history and any advertising issues with the company, when assigning ratings.
Baltimore Life Insurance Policies
Products – Overall, Baltimore Life has a number of different life insurance policies. As we know, you will need to choose with your needs taken into account so we have laid out the main options below, including term life vs permanent life insurance:
Level Term Life Insurance
Secure Solutions Protector is a level term life insurance policy that offers competitive prices for 10, 15, 20, or 30 years.
Once the initial contract has expired, there will be an option to keep renewing each year but this will become expensive after a short while.
Ideally, this policy is used to cover short-term costs like a mortgage loan or to ensure that a child can pay for college if you die prematurely.
Once the policy has been set up, the premiums and death benefits are guaranteed until the age of 100.
Simplified Issue Level Term Life Insurance
As the name suggests, this is no medical exam life insurance. As with typical coverage, you will have a death benefit to go to the beneficiary income tax free.
Furthermore, you may even have an opportunity to include living benefits in case you experience injury or disability via additional insurance riders.
However, the main difference comes from the application process because there will be no medical examination. With simplified issue, you will answer a few questions on your health to decide whether you will be covered and what premiums you will pay.
Although this may be a more expensive option than taking an exam, it can be beneficial if you want to avoid the exam. Finally, many also choose the Return of Premium life insurance rider to receive a refund of all premiums at the end of the policy.
Whole Life Insurance
If you require a more permanent policy, whole life insurance could be the one for you and Baltimore Life offer a policy where the premiums remain level throughout.
With this in mind, you won’t have to worry about being ‘priced out’ of your policy at a later date.
Of course, you will also have the cash value component that grows tax-free. Furthermore, there may also be chances to earn dividends which can be reinvested into the policy or kept as cash.
Sometimes, people want to transfer assets over to heirs before they pass away and this policy allows you to do so without the normal restrictions in place.
Without having to pay a significant percentage in tax, the policy can even offer living benefits if you have a terminal illness. Initially, this policy will become available to you at the age of 60 and it must be in place before 80 otherwise you may not have this option with Baltimore Life.
Single Premium Whole Life Insurance
Again, this is a method of transferring assets to heirs and you will receive living benefits if you have a terminal illness or need to spend time in a care home or healthcare facility. As long as you are between 50 and 85, this single premium life insurance option from Baltimore Life will be open to you.
Silver Guard I, II, III
Silver Guard Simplified Issue Senior Life Insurance
This policy has three very important guarantees:
- Guaranteed Level Premiums
- Guaranteed Cash Value Accumulation
- Guaranteed Death Benefit
There are two policies under the Silver Guard Simplified Issue Life Insurance category:
Silver Guard I: Guaranteed Level Death Benefit
This means from the day you issue your policy, the death benefit will remain the same – never decreasing; no matter what. You can also get an accidental death benefit rider.
Silver Guard II & III: Guaranteed Graded Death Benefit
If you don’t qualify for Silver Guard I, this is a nice alternative. In the first two years, the policy is graded (25% of the policy value in year one, and 50% in year two). However, if you have an accidental death you will get 100% of the policy value from day one.
Universal Life Insurance
If you’re looking for the security of a permanent life insurance policy but with a more flexible look towards premiums and the cash value, this universal life policy might be the one you need. Designed for individuals and families, you will find competitive premiums and a good opportunity to build the cash value component faster than with others.
Critical Illness Insurance
Finally, this type of life insurance can help to cover the expenses not normally provided by health insurance. For example, it could be for kidney failure, cancer, heart attack, stroke, or a transplant for any major organ. Once the policy has been set up, the funds can be used for expenses that arise from these health issues. Furthermore, they can be put towards treatments, home health care, and replacing the income of family members who are looking after you.
Life Insurance Riders
Although you should now have a good insight for what Baltimore Life could do for you, there is one last topic we wish to discuss – life insurance riders. Ultimately, your rider options will depend on what policy you are choosing but they do offer a good selection for extra protection. For example, we saw earlier that you can earn your premiums back in a term life policy if you outlive the expiry date.
Accelerated Death Benefit Rider: allows you to access a portion of your death benefit in advance if you are diagnosed terminally ill.
Disability Income Rider: covers non occupational hazards and sickness. The company will pay you a monthly benefit for up to two years if your are totally disabled.
Disability Waiver of Premium Rider: If you become totally disabled before age 60 the company will pay your premiums due.
Children’s Term Rider: allows you to add your kids to your policy, providing additional coverage to your children until they turn age 25 or your turn age 70.
Conversion Option: you can convert all or a portion of your term life insurance into permanent coverage.
Baltimore Life Insurance Company may be the right choice for you if you are looking for a company that offers a diverse range of life insurance policies and has a strong history of withstanding tough economic times. Their ratings from A.M. Best and the Better Business Bureau indicate that they are financially stable and customer-oriented.
Moreover, Baltimore Life focuses on providing insurance solutions for middle-income individuals and families, which can be a significant advantage if you fall into this category. They offer a variety of life insurance policies, including term life, whole life, and universal life insurance, as well as final expense and burial insurance.
However, it is crucial to do some shopping around before committing to any life insurance company. You may find that another company offers better rates or more personalized coverage that suits your specific needs. Don’t hesitate to compare policies and prices from different companies to make an informed decision.
Ultimately, choosing a life insurance company is a significant decision that requires careful consideration. Take your time to research different companies and policies, and consult with a financial advisor if necessary. By doing so, you can find the right life insurance policy that provides the coverage and peace of mind you need.