Graded Benefit Life Insurance

Graded Benefit Life Insurance

When applying for Graded Benefit life insurance, no physical examination is required. Generally, being able to answer "no" to a few simple questions will qualify someone for Graded Benefit life insurance.

Death benefit amounts ranging from $2,000 to $25,000 are available with issue ages being between 50-80 in most states.

Graded Benefit life insurance provides a graded benefit. That is, the full death benefit amount of the policy will be paid to the beneficiary after a specified period of time from the issue date of the policy. If death occurs prior to the end of that period of time (usually two or three years ), the beneficiary receives a return of paid premiums plus interest. Once that period of time has passed, the full death benefit amount is paid to the beneficiary upon the death of the insured

Graded Benefit life insurance policies all build guaranteed cash values within the plans.

Graded Benefit life insurance may be sold per unit. In such case, a single unit corresponds to a certain amount of death benefit. Just how much coverage a single unit provides depends on the age of the applicant at the time the policy goes into force. Each unit may be very cheap, but a lot of units may be required to build up a significant death benefit.