For some people, obtaining life insurance is easy – this is particularly the case when you’re young and healthy. But for others, if you happen to have certain health issues, it may be somewhat more challenging to obtain the life insurance protection that you need.
The good news is that, by choosing a no medical exam policy, there are often fewer underwriting requirements which could, in turn, make the insurance qualifying process less stringent. And, depending on which kind of no medical exam life insurance you apply for, there may not even be any health questions to worry about.
One life insurance company that has a long and positive history in the insurance industry is the Principal Financial Group.
The History Of Principal Financial Group
Principal has offered life insurance solutions to its clients since back in 1879. Over the years, the company has grown exponentially, and today it is a member of the Fortune 500, as well as a global investment management leader.
While the Principal Financial Group is headquartered in Iowa, the Principal International, Inc. company has expanded to have locations in ten Latin American and Asian markets through wholly-owned subsidiaries and joint ventures in the following areas:
- Beijing, China
- Hong Kong SAR
- Kuala Lumpur, Malaysia
- Mexico City and Monterrey, Mexico
- Mumbai, India
- Santiago, Chile
- Sao Paulo, Brazil
Regardless of where clients work with the Principal, this entity’s offerings are based on experience, as versus via quick wins or fads. The Principal believes that honesty and integrity are the best course of action and the surest path for its customers to reaching their long-term financial goals.
Review Of Principal Company
Today, the Principal Financial Group is extremely strong from a financial standpoint, as well as regarding its assets and income. For example, for the trailing twelve months as of September 30, 2016, the company had nearly $596 billion in assets under management, as well as $1.3 billion in after-tax operating earnings. In addition, Principal also had $1.3 billion in net income available to its common stockholders, and a 13.5 percent operating return on average equity.
The company has received numerous awards and accolades, including the following:
- Ranked #3 as the best overall service to micro plans – value added advisor services and plan participant support.
- Received the Advisor’s Choice Award for advisor support, post-sale.
- Received over 90 Best in Class designations throughout the past ten years, from PLANSPONSOR magazine’s Defined Contribution Services Survey.
- Named one of the World’s Most Ethical Companies and one of America’s Best Employers.
- Ranked as 236th on Fortune magazine’s list of the largest 500 corporations based on revenues.
- Ranked as 380th on the Forbes Global 2000 list, which recognizes the world’s biggest and most powerful companies, as measured by a composite ranking for sales, profits, assets, and market value (as of May 2016).
- A member of the Standard & Poor’s (S&P) 500 since July 2002.
- Named as the 19th largest manager of U.S. institutional tax-exempt assets managed internally, out of more than 570 managers that were profiled.
Insurer Ratings And BBB Grade
- A+ (Superior) from A.M. Best Company
- AA- (Very Strong) from Fitch Ratings
- A1 (Good) from Moody’s Investors Service
- A+ (Strong) from S&P Global
No Exam Life Insurance Products
The Principal Financial Group offers a long list of life insurance products to choose from. In the area of no exam life insurance, the company provides several options. Principal also uses an innovative underwriting process in many of its policy applications, which make use of Big Data to determine whether or not an applicant will be eligible for coverage.
In this instance, if the applicant has a clean medical history – which means that there is no history of heart disease, cancer, stroke, diabetes, or other serious health issues – along with a clean record from the DMV (Department of Motor Vehicles) – which means having only two or fewer tickets within the past three years – then it may be possible to obtain either a preferred plus, or a regular preferred rate.
For those who are seeking a true no medical exam policy, there are several options to choose from as well. For instance, Principal’s Accelerated Underwriting product is available to anyone ages 18 to 60. The company’s no exam products may be available for up to $1 million in coverage. (And, for those who are considering a survivorship no medical exam plan, coverage may be obtained in the amount of up to $2 million). In addition, even with a no health exam plan, the company offers the ability to obtain a preferred rate.
Other Products Available Through Principal Company
In addition to no exam life insurance coverage, the Principal Financial Group also offers traditional, medically underwritten life insurance coverage, as well as a long list of other financial and insurance products and services to its customers, such as:
- Estate Planning and Personal Trusts
- Individual Retirement Accounts (IRAs)
- Retirement Plans
- Mutual Funds
- Disability Insurance
- Employee Retirement Plans
- Group Insurance Benefits – Including life, disability, and dental coverage
- Business Planning and Protection Solutions
- Owner and Key Employee Benefits
The company’s medically underwritten life insurance protection for individuals includes both term and permanent coverage. With term life insurance, the insured is covered by death benefit protection that lasts for a set amount of time. The policies offered by the Principal Financial Group have terms of 10, 15, 20 and 30 years. There is also a one-year term life policy option for those who have very short-term needs.
There is no cash value build up with term life coverage – and because of that, these types of policies are often less expensive than permanent life insurance, with all other factors being equal.
Term life insurance is often referred to as being “temporary” coverage. Due to that, as well as its affordability, this type of life insurance is generally a good fit for those who are trying to protect a need that has a time limit, such as the payoff of a mortgage, along with those that are young and healthy, and who can take advantage of purchasing a large amount of coverage at lower age-based rates. It can also be a good fit for young families who need the protection that life insurance can offer, but who currently have limited finances.
Principal also offers permanent life insurance coverage. With this type of policy, there is both death benefit protection, as well as a cash value component. The cash value is allowed to grow on a tax-deferred basis, meaning that there is no tax due on the gain of these funds unless the policyholder withdraws them. Funds can be either withdrawn or borrowed for any reason.
Permanent Life Insurance Coverage Offered By Principal
Universal Life Insurance Coverage
Universal life insurance offers flexible premiums and death benefits. This type of policy can accumulate cash value at a “floating” interest rate, with a minimum rate guarantee. There may also be additional, secondary guarantees that allow the policyholder additional security.
Variable Universal Life Insurance Coverage
Variable universal life insurance provides a great deal of flexibility in policy options, as well as the opportunity for more aggressive cash value accumulation. The policyholder may also be able to convert the policy’s cash value into an annuity for a retirement income that he or she cannot outlive.
Survivorship Life Insurance Coverage
A survivorship life insurance policy protects the lives of two individuals. These are often used by married couples or partners. The benefit on this type of coverage will pay out at the death of the second covered individual. Survivorship life insurance policies are often used in estate planning strategies to help leverage for certain tax deductions.