The life insurance industry can often seem like it speaks its very own language. You will find terms like “fluidless,” “proposed insured,” and “riders” – all of which understandably can cause a little bit of hesitation and head-scratching.
In the life insurance purchasing process, you might come across a phrase called “Temporary Life Insurance Coverage,” also known as “TLIC.” For those of us who choose instant gratification when it comes to our finances **raises hand**, TLIC is a wonderful thing.
When you qualify for TLIC, this means you will get your coverage while you wait for your health check results and final rate. Consider it a sneak preview prior to the feature film.
Like any good preview, it may leave you with more questions regarding the primary event. The following is what most people ask us about temporary life insurance coverage.
How will i start temporary insurance coverage?
Not most people are offered temporary insurance coverage. Once a credit card applicatoin is submitted, you will find out when we can get your coverage started on that day. For TLIC to begin, we draft a payment comparable to a month’s premium. The premium rate is approximately your overall health based on the information provided inside your application. Once payment is cleared, coverage can start.
Generally, the temporary coverage is going to be for that amount you requested with the maximum available being $1 million. So, should you requested $500,000, your TLIC is going to be $500,000. Should you applied for $1,500,000, the utmost temporary coverage you will get is $1 million – with the full dental coverage plans going into effect after your medical exam results, and when approved, you accept your Haven Term offer.
How do you activate TLIC and finalize coverage?
We're glad you asked. It's pretty easy:
1. E-sign and enter your payment details
After you submit your application, we might offer you TLIC. To activate it, you will have to sign the application electronically. Don't be concerned – it isn't a commitment to purchase coverage. It simply enables us (once payment is processed) to activate temporary coverage and assist you to schedule your medical exam. Signing is when you verify that the information you've given us around the application is true.
You have up to seven days to electronically sign the application before your TLIC offer expires and you'll need to resubmit your application.
Don't worry -your existing application will mostly pre-fill your responses in the new application whenever you reapply, so you don't have to start from scratch, but, really, why hold back until the final minute to e-sign?
Once you've e-signed and entered valid payment information, temporary life insurance coverage can begin. Woo-hoo.
2. Develop a life insurance medical exam
The purpose of the life span insurance medical exam is to help the insurer determine the right price for your policy. For a lot of customers, a medical exam helps keep your pricing lower.
While the medical exam is one of the not many offline aspects of Haven Life's application experience, we still take every effort we are able to to make the process streamlined and painless. Test itself takes about 20-30 minutes and there is no additional cost to you.
The examiner can meet you in your own home, your place of business or an exam office. Pick a place for test where you'll be most comfortable giving a blood and urine sample. We discover that almost all Haven Life customers decide to have the paramed examiner arrived at their homes.
Pro tip: Consider booking a morning appointment, since fasting before the exam is recommended. For more tips about get yourself ready for the medical exam and what to expect, make reference to this helpful guide.
3. Review your final offer
Generally, lab results along with a final offer for coverage is going to be available inside a week of the exam. If further information is required, an underwriter will reach out with some specific questions about your life insurance application.
If you aren't satisfied with your post-medical exam rate for coverage, you aren't obligated to buy. No hard feelings. Actually, we'll refund your TLIC payment entirely (typically in 7-10 business days).
Although unlikely, you could be declined for coverage in line with the results of your medical exam or perhaps a few other factors. If that is the situation, don't worry, you may still have plenty of options for coverage available, company, your TLIC payment will be refunded.
How long does temporary life insurance coverage last?
Temporary insurance coverage is, well, temporary. You'll have 3 months to accomplish a health check and through that point, you will be covered as long as your TLIC payment is successfully received.
Once your coverage is finalized, the TLIC payment will be applied toward the first month's premium.
You can cancel the application at any time during the process. Even though you accept the policy, you've got a 10-day “Free Look” period to cancel if you feel that the coverage isn't right for you. Again, permit around a week for the refund to process.
What basically pass away with simply TLIC in position?
That's precisely what temporary insurance coverage is supposed to address. Should you filled out your application accurately and honestly, were offered TLIC as well as your payment is received, you're covered before you receive a final offer.
TLIC provides you with the benefits of an active life insurance coverage while you are still waiting for underwriting to accomplish their review and finalize coverage. If anything happens during the TLIC period, your beneficiaries is going to be permitted to submit claims. Which, reminds us, don't wait until you've got a final policy to notify your beneficiaries.
Temporary coverage equals true peace of mind
TLIC is a convenient and helpful feature on your journey to full term life insurance coverage.
Part of the items makes TLIC so great would be that the coverage doesn't actually cost you anything. If you are approved for full dental coverage plans after completing your medical exam and accept your offer, your TLIC payment will be applied toward the first month of full dental coverage plans. When you get declined or decide not to accept your offer, you'll receive a 100 % refund. No strings attached.
But TLIC is just a waypoint to locating the reassurance that you and your family deserve. If you are prepared to e-sign and plan a life insurance coverage exam, go here. For those who have more questions, chat with someone from Haven Life's customer success team. We're here to help. It's literally our job.