Lifefy Life Insurance Review: Complete Guide
Lifefy Corporation is collaborating with The Savings Bank Mutual Life Insurance Company of Massachusetts (SBLI) to provide the option of purchasing no exam life insurance 100% online.
Lifefy is not a life insurance company. They provide a digital purchasing platform.
Referred to as an end-to-end life insurance provider, Lifefy claims to be transforming the process of buying coverage.
What can Lifefy do for you?
At the end of the day, you’ll want to find the best, most convenient, carrier that will financially protect those you care about most.
It’s possible Lifefy is up to the task. But, you’ll need to do a little digging.
Here, you’ll find everything you need to know about Lifefy, including policy specifics and what the application looks like – so that you can decide if they are the best fit for your life insurance needs.
Table Of Contents
New to the life insurance block, Lifefy partnered with SBLI (Savings Bank Mutual Life Insurance Company of Massachusetts) in early 2018 to, “deliver an innovative way of buying life insurance”.
In particular, Lifefy focuses on specific populations within the United States that are historically underserved – middle income, Hispanics, and millennials.
Life insurtech creating user experience to capture the underserved market through a D2C, end-to-end, mobile platform. Life insurance in under 10 minutes.– Lifefy Corporation description
Lifefy is headquartered out of Miami, Florida. Their founders are Alberto Villar and Jose Ortego.
Though they are not accredited with the Better Business Bureau (BBB), Lifefy has an A- ranking. There are zero BBB reviews and zero BBB complaints.
Lifefy Term Life Insurance
There are five key components to Lifefy’s no exam term life insurance you need to know about.
Before you apply for coverage, whether with Lifefy or elsewhere, it’s ideal to have a clear understanding of the policy specifics.
After all, it’s in your best interest to provide your loved ones the best financial protection you are able to.
There are five key aspects to analyze:
- Wait time – how long do you need to wait for your policy’s issuance?
- Issue ages – what ages is the carrier willing to insure?
- Policy amount – how much coverage can I buy?
- Policy length – how many years of coverage is offered?
- No medical exam – what does underwriting look like?
How does Lifefy measure up?
Lifefy uses a fast application process.
In fact, they claim 10 minutes is all it takes for your life insurance policy’s issuance.
To compare, there are a couple of other lightning-fast carriers offering life insurance with no physical required:
Other no physical exam carriers require you to wait for approximately 24 – 72 hours (sometimes longer if more information is needed to process your application).
Lifefy requires you to be between 18 – 60 years old.
Note – the age limit for tobacco users is 55 years old.
No exam term life insurance usually has a larger acceptable age range.
For example, Assurity offers coverage up to age 65. And, Phoenix (Nassau RE) allows you to be up to age 80.
Note – if you are a senior citizen, be sure to consider all options for no exam life insurance for seniors.
The size of your Lifefy policy, technically called the face amount, can range from $50,000 – $350,000.
How much life insurance do you need? This is a crucial question to consider.
Will Lifefy’s available face amounts cover your financial requirements?
If your monetary needs are substantial, look to carriers offering large amounts of coverage, like John Hancock. John Hancock provides up to $3,000,000 in coverage with no exam for those who qualify.
Interesting fact – You can also purchase SBLI no exam life insurance directly through the carrier.
Lifefy offers three different term lengths to choose from, 10-year, 15-year, or 20-year term.
It’s important that your term life insurance policy lasts as long as your monetary obligations to your loved ones.
If you are younger, you may want to consider a 30-year term policy, instead. Or, if your needs are indefinite, look to whole life insurance with no medical exam.
No Medical Exam
Each carrier’s underwriting process varies.
In fact, some carriers who claim to be “no exam” will actually require a paramedical if you have a few “red flags” pop up, like health conditions.
With Lifefy, there will never be a medical exam. However, you must qualify for their term policy through their online questionnaire.
If your questionnaire answers disqualify you for term coverage, Lifefy will offer you a guaranteed issue life insurance policy.
Note – be sure to read here for information on Lifey’s guaranteed issue coverage. You will want to proceed with caution.
What are riders?
Riders are provisions to your life insurance contract, in addition to the death benefit.
Accelerated Death Benefit
Complimentary to your policy, Lifefy provides an accelerated death benefit rider.
If you are diagnosed with a qualifying illness, you will have the option to accelerate, or access, funds from your death benefit.
Those funds can be used at your discretion. For example, you may need to pay for medical bills. Or, it might make sense to take a vacation with your loved ones.
Note – funds that are accelerated with proportionally decrease your death benefit.
For an additional cost, Lifefy offers two more riders.
Accidental Death Benefit
If death occurs as the result of a qualifying accident, Lifefy will pay an additional death benefit to your beneficiary.
Waiver of Premium
If you are diagnosed with a total disability, Lifefy will waive your premium payments for a period of time.
Lifefy Guaranteed Issue Life Insurance
Lifefy offers guaranteed issue policies to applicants who do not qualify for term coverage.
Before buying, it’s crucial to understand how modest their guaranteed issue contracts are.
Policy issuance only takes minutes.
Lifefy’s guaranteed issue age range is the same as their term coverage issue ages: 18 – 55 years.
Note – typically, carriers do not offer guaranteed issue life insurance until ages 40 or 50 years old.
Your policy (face amount) will be $2,500.
However, included in the policy is an accidental death benefit of $152,500 – should death occur as the result of a qualifying accident.
Note – $2,500 is a very modest amount of coverage. Keep in mind, the average funeral costs around $10,000.
Your only option is for – 10-year level term.
Almost all guaranteed issue policies are permanent. Term guaranteed issue coverage is unique.
No Medical Exam
Guaranteed issue life insurance always skips the medical exam, and almost always skips health questions.
Important – there are NO riders available for Lifefy’s guaranteed issue policy.
Lifefy Application Process
Important – Lifefy is only available in a limited number of states.
Lifefy will launch its life insurance solutions during the 1st quarter 2019. The rollout will initially focus on a number of selective states and gradually expand to most states by summer 2019.– SBLI
Remember, your entire purchasing experience is completed online. In fact, Lifefy purports an “agentless buying process”.
Online Application Questions
Expect the following (somewhat lengthy) online application questions in this order:
- What is your zip code?
- Will you be the owner of the application?
- Do you have other existing or pending life insurance or annuities with this or any other company?
- Do you regularly practice or intend within the next 2 years, to engage in any of the following:
- Suba diving (more than 100 feet)
- Mountain or rock climbing
- Motor vehicle racing
- Flying (other than a fare-paying passenger)
- Have you ever been diagnosed with quadriplegia, or within the last year undergone treatment for fainting or dizziness?
- Within the past 24 months, have you used any form of tobacco or nicotine?
- In the past 90 days, have you claimed disability benefits or have you been unable to perform your customary work or household activities?
- Are you now a member of the US Armed Forces, National Guard or Reserves?
- Have you been diagnosed or tested positive for Human Immunodeficiency Virus or Acquired Immune Deficiency Syndrome (AIDS)?
- Have you ever been treated for a heart attack, stroke or aneurysm, pacemaker, or defibrillator?
- Has a licensed medical professional ever diagnosed you with any of the following or any condition that is expected to limit lifespan, not to exceed 12 months?
- Heart disease
- Cancer (except basal cell)
- Biliary cirrhosis
- Acute kidney infection/inflammation
- Blood in urine
- Non-benign cysts/growths/tumors
- Mental disorder
- Neurological or cognitive disorder
- Blood disorder (other than iron-deficient anemia)
- Within the last three years, have you been hospitalized (other than childbirth, accident, or acute illness), confined to a nursing home or psychiatric facility; or have you received home health/assisted living care?
- Within the last three years, has a licensed medical professional advised you to have surgery or hospitalization (other than for AIDS virus or routine physical) which you have not completed?
- Have you had any unexplained weight loss or increase in excess of 20 pounds in the last 12 months?
- Full name/Date of birth/Place of birth/Occupation
Based on your answers and online database checks, Lifefy will determine if you are a good candidate for their term life insurance policy.
Expect one of two outcomes:
You are approved for Lifefy’s term life insurance.
First, establish electronic payment for premiums. Next, your policy will be delivered electronically.
You are not a good candidate for Lifefy’s term life insurance.
Plan to receive an offer to purchase their guaranteed issue policy.
Lifefy has some competition.
There are a number of startup companies offering a digital purchasing platform for life insurance companies.
Let’s compare and contrast the specifics of each startup.
Digital Life Insurance Providers
|Company Name||Carrier Relationship||Face Amount||Age Range||Term Length||Medical Exam||Other Products|
|Ethos||Assurity and Banner||$25,000 - $10 million||18 - 75 years||10, 15, 20, 30 years||Possibly||NA|
|Fabric||Vantis||$100,000 - $1 million||25 - 60 years||10, 15, 20 years||Possibly||Accidental Death|
|Lifefy||SBLI||$50,000 - $350,000||18 - 60 years||10, 15, 20 years||Never||Guaranteed Issue|
|Bestow||North American||$50,000 - $1 million||21 - 55 years||2, 10, 20 years||Never||NA|
|Ladder||Fidelity||$100,000 - $8 million||20 - 60 years||10, 15, 20, 25, 30 years||Possibly||NA|
|Haven||MassMutual||$100,000 - $3 million||18 - 64 years||10, 15, 20, 30 years||Possibly||NA|
Before you submit an application with Lifefy, or any company for that matter, you will want to do a little homework.
Evaluate Your Needs
By conducting a quick needs analysis, you can be sure your loved ones’ financial requirements are met.
Grab a pencil and paper and jot down answers to the following:
- What is my annual income?
- How many years until I retire?
- Does my beneficiary have specific monetary needs (now or in the future)?
- Do I have charitable giving goals?
- What outstanding debts do I have?
- What are my living expenses (bills, mortgage, utilities)?
Consider An Independent Agent
While Lifefy and a few other insurance startups allow your purchasing experience to be entirely agentless, there is something to be said for having an agent on your side.
An independent agent will work on your behalf to assess which top-rated company will fit your needs.
We recommend evaluating multiple carriers and multiple free quotes with an independent agent so that you have options.
I would like to communicate with independent agent… Preferably Heidi
Hi, Shay, Reach out anytime. We are happy to help.