Prosperity Life Insurance coverage Overview 2021

21 mins read

Prosperity Life isn’t certainly one of our top-rated life insurance coverage firms. You’ll be able to assessment our record of the very best life insurance coverage firms for what we predict are higher choices.


Execs Defined

  • Accessible in New York: Not like another life insurance coverage suppliers, Prosperity Life has bought life insurance coverage in New York since 1939, when it started promoting underneath the Financial savings Banks Life Insurance coverage Fund, or the SBLI Fund.
  • A number of plan choices: Prosperity Life affords a number of plans for time period, complete, and common life insurance coverage. 
  • Versatile underwriting: There are a number of underwriting danger lessons for Prosperity life insurance coverage insurance policies, making it simpler to qualify and obtain charges based mostly in your well being.


Cons Defined

  • Three issuing firms: Prosperity Life doesn’t problem insurance policies immediately, as a substitute working with three issuing firms.
  • A number of assist departments: Due to its distinctive construction, there are separate buyer assist departments based mostly on the corporate that points your coverage. 
  • Various scores: Simply because one firm has excessive scores doesn’t imply that every one issuing firms may have the identical excessive scores, so you’ll want to assessment scores based mostly on the issuing firm.   


Accessible Plans

Prosperity Life affords complete, time period, and common life insurance coverage.

Prosperity Life doesn’t supply listed or variable life insurance coverage.


Entire Life

Prosperity affords three plans for complete life insurance coverage, its Entire Life, Good Life, and Entire Life Last Expense insurance policies.

Entire Life

A complete life coverage is supposed to offer everlasting protection that lasts your whole life so long as you pay your premiums. There are assured stage premiums by the age of 121 with tax-deferred money worth. 

Eligible policyholders are between the ages of 15 days and 80 years with minimal protection of $50,000. An accelerated demise profit additionally permits you entry to as much as 50% of your demise profit when you turn out to be terminally ailing.   

Good Life

A Good Life complete life insurance coverage coverage from Prosperity carries stage premiums, with the premium-paying interval ending on the age of 121 years. The coverage is out there for problem from the age of 15 days to 75 years with protection that ranges from $15,000 to $150,000. There may be additionally an accelerated demise profit that enables you entry to as much as 50% of your demise profit when you turn out to be terminally ailing.   

Entire Life Last Expense

Prosperity affords a ultimate expense complete life insurance coverage coverage with a assured demise profit and the flexibility to build up money worth. Protection quantities vary from $1,500 to $35,000 with assured stage premiums and coverage renewability by the premium cost interval, which ends on the age of 121.  

There are three sorts of demise advantages relying on the plan that you simply select. You have to to qualify based mostly in your well being historical past.

Demise Profit Choices
Plan varieties 1st yr of protection  2nd yr of protection  After 2 years of protection 
Stage plan Equal to the face quantity when bought Equal to the face quantity when bought Equal to the face quantity when bought
Graded plan  30% of face quantity  70% of face quantity  Equal to the face quantity when bought 
Modified plan  Equal to 110% of annual premium  Equal to 231% of annual premium  Equal to the face quantity when bought 


Time period Life

For time period life insurance coverage, Prosperity affords 4 insurance policies.

PrimeTerm to 100, Graded Demise Profit Time period

With its PrimeTerm to 100 coverage, Prosperity affords a time period of 20 years by the age of 100 with a graded demise profit. After the tip of the 20-year time period, your premiums nonetheless stay stage, however the coverage converts to reducing time period protection by the age of 100. Protection varies from $5,000 to $30,000 with annual reductions starting after the twenty first yr of your coverage. Eligible for the coverage are people between the ages of 40 and 80, or 50 to 75 in New York.

The demise profit varies, relying on how lengthy you’ve gotten the coverage.

Coverage yr Demise profit 
12 months 1 Return of premium plus 15% curiosity
12 months 2  Ages 40 to 74 (50 to 74 in New York): 30% of final face quantity Ages 75 to 80 (75 in New York): 40% of final face quantity 
12 months 3  Ages 40 to 74 (50 to 74 in New York): 60% of final face quantity Ages 75 to 80 (75 in New York): 70% of final face quantity
12 months 4 to twenty  Final face quantity 
12 months 20+  Reducing 5% yearly till expiration

Earnings Continuation Time period

Earnings Continuation Time period life insurance coverage from Prosperity ensures your family members shall be protected with month-to-month earnings after your demise. You’ll be able to select the quantity and the interval of funds, which may final two, three, or 5 years or till the date of your seventieth birthday. The coverage terminates once you attain 70.

You take pleasure in stage premiums for the primary 10 years of the coverage, with non-compulsory inflation safety to develop the beneficiary’s month-to-month cost, in addition to an non-compulsory further lump-sum profit rider for ultimate bills and different wants.

This coverage is out there for policyholders between the ages of 18 and 55 with month-to-month profit quantities starting from $500 to $20,000 in $500 increments. You may additionally convert the coverage earlier than its tenth anniversary.

Renewable & Convertible Time period

Prosperity’s Renewable & Convertible Time period coverage is out there with protection of $100,000 and extra, relying on eligibility. It options stage premiums for a restricted interval and is renewable by the age of 98 with the choice to transform your coverage to age 75. There may be additionally an non-compulsory Waiver of Premium rider when you turn out to be completely disabled earlier than the age of 60.

The size of your coverage is determined by the age of problem.

Size of Coverage Challenge Ages 
10 Years Ages 18 to 80
15 Years Ages 18 to 70 
20 Years  Ages 18 to 65 
30 Years  Ages 18 to 60 

Protection is predicated on 4 bands that decide the quantity of your protection. Accessible protection is decided by underwriting necessities and availability for reinsurance. 

Band Protection
Band 1 $100,000 to $249,999
Band 2  $250,000 to $499,999 
Band 3  $500,000 to $999,999 
Band 4  $1 million and extra 

Easy Challenge Time period

A Easy Challenge Time period coverage from Prosperity is out there for problem for policyholders between the ages of 18 and 60 with protection accessible anyplace from $25,000 to $350,000. It has assured stage premiums for the primary 10 years. After that, the coverage is renewed each 5 years till the age of 75 with none required proof of insurability. 

Upon your seventy fifth birthday, your coverage turns into both renewable or convertible. Should you convert your coverage to a easy problem complete life or complete life coverage, you shouldn’t have to indicate proof of insurability. 


Common Life

Prosperity additionally affords a plan for common life insurance coverage protection.

Legacy Answer Single-Premium Common Life

Legacy Answer Single-Premium Common Life from Prosperity ensures returned premiums, so long as there aren’t any loans or withdrawals taken all through the lifetime of the coverage. Protection ranges from $15,000 to $250,000 for policyholders between the ages of fifty and 75 years previous. It accumulates tax-deferred money worth and holds an Accelerated Demise Profit when you obtain a terminal sickness analysis. The quantity of your demise profit is determined by the quantity of your coverage and the contract fund, which is calculated earlier than month-to-month and different deductions. Subsequently, the ultimate demise profit can’t be decided till the demise of the policyholder.

There’s a no-lapse assure, which signifies that your coverage is not going to be canceled as lengthy your premiums stay paid, and you might take withdrawals or loans, though they’re each topic to charges. 


Accessible Riders

A life insurance coverage rider is a kind of further protection you can buy so as to add extra custom-made safety to your life insurance coverage coverage. 

Prosperity Life affords a choice of riders based mostly on the life insurance coverage coverage that you simply select.

  10-12 months Time period Rider on Major and/or Different Insured Unintended Demise Profit Rider  Extra Lump Sum Profit Rider Baby Rider  Waiver of Premium Profit Rider 
Entire Life
Good Life Entire  ✔  ✔  ✘  ✔  ✔ 
Last Expense Entire Life  ✔  ✘  ✘ 
Renewable & Convertible Time period  ✘  ✔  ✘  ✘  ✔ 
PrimeTerm To 100  ✘  ✔  ✘  ✘  ✘ 
Earnings Continuation Time period  ✘  ✘  ✘  ✔ 
Easy Challenge Time period  ✘  ✘  ✘  ✘  ✘ 

10-12 months Time period Rider on Major and/or Different Insured

The ten-year time period rider provides 10 years of further protection to the policyholder or further insured. Policyholders can add as much as $100,000 or the face worth of your coverage, whichever is greater. This rider can also be renewable in five-year increments till the policyholder reaches the age of 75.

Unintended Demise Profit Rider

The Unintended Demise Profit rider means that you can add an extra demise profit for beneficiaries ought to the policyholder die from an accident. The rider has a most worth of both the coverage’s face worth or $250,000 for time period insurance policies, with protection expiring on the age of 75.

Extra Lump Sum Profit Rider

With the Extra Lump Sum Profit rider, your beneficiary can obtain a lump sum cost upon your demise. You have to be between the ages of 18 to 55 years to be eligible for problem, and protection accessible between $10,000 and $500,000. This rider consists of assured premiums for the primary 10 years after which will increase in five-year increments from there with the choice to transform protection to complete life insurance coverage.   

Baby Rider

Prosperity Life affords the choice so as to add a Baby Rider to your coverage. With this protection, there’s a profit if the policyholder’s little one dies.

Waiver of Premium Profit Rider

If the policyholder turns into completely disabled, the Waiver of Premium Profit Rider will waive premium funds when you find yourself disabled for a steady interval of 180 days. Policyholders are eligible for protection by the age of 65, however when you turn out to be completely disabled at 65, Prosperity will prolong rider protection to the age of 70.  


Buyer Service

There are a number of methods to contact Prosperity Life. The correct contact for Prosperity Life is determined by the kind of coverage you’ve gotten, so you’ll want to test your coverage to see in case your issuer is Shenandoah Life Insurance coverage Firm, SBLI USA, or S.USA Life Insurance coverage Firm, Inc.

Prosperity Life Insurance coverage Contacts
Firm Mailing handle  Telephone quantity 
Shenandoah Life Insurance coverage Firm P.O. BOX 12847

Roanoke, VA 24029
1-800-848-5433
SBLI USA Life Insurance coverage Firm, Inc.  100 W. thirty third Road, Suite 1007

New York, NY 10001-2914 
1-877-725-4872 
S.USA Life Insurance coverage Firm, Inc.  P.O. Field 1050

Newark, NJ  07101-1050 
1­-866­-787­-2123


Grievance Index

Prosperity Life isn’t rated, however its three issuing firms are all tracked by the Nationwide Affiliation of Insurance coverage Commissioners (NAIC) for its shopper criticism index. Nevertheless, utilizing a baseline rating of 1.0, Prosperity Life’s issuing firms all rating far under the common rating, which implies they’ve fewer complaints than common. Shenandoah Life Insurance coverage Firm receives a 0.32 score, SBLI USA Life Insurance coverage Firm, Inc. scores a 0.22 score, and S.USA Life Insurance coverage Firm, Inc. has a 0.32 score for 2020. It exhibits that no matter which issuer assigns your coverage, there’s nonetheless good customer support available.


Third-Social gathering Scores

Prosperity Life is scored independently, in addition to by its issuing firms, however all 4 firms obtain an A- (Wonderful) score from AM Finest. This signifies robust monetary reliability. Whereas some firms might battle to course of or pay claims, a excessive score from AM Finest signifies monetary energy and sometimes means environment friendly claims processing once you want it most.  


Cancellation Coverage

Most insurance coverage insurance policies have a “free look” interval, which supplies new policyholders an opportunity to assessment their insurance policies to make sure that it’s really the precise match for you. Whereas Prosperity doesn’t disclose the size of its free look interval, most insurance policies give a minimal of 10 to 30 days.

To cancel your Prosperity Life coverage, you’ll be able to fill out the net contact kind or name your insurance coverage agent.

You can even name the issuer of your coverage by way of the next contact numbers:

Prosperity Life Buyer Assist
Issuer Buyer Assist Quantity 
Shenandoah Life Insurance coverage Firm 1-800-848-5433
SBLI USA Life Insurance coverage Firm 1-877-725-4872 
S.USA Life Insurance coverage Firm  1­-866­-787­-2123 


Value

Prosperity Life advertises a easy software course of that doesn’t require a medical examination. Candidates merely must reply just a few medical questions. There are additionally particular underwriting tips in case you are a smoker. 

Underwriting Courses
Class kind Eligible lessons
Non-Smoker Most popular Plus

Most popular

Choose

Commonplace Non-Smoker 

Sub-Commonplace

Smoker  Choose

Commonplace

Sub-Commonplace


There are a number of different elements that may affect the price of your Prosperity life insurance coverage coverage. Insurance coverage firms sometimes take into account your medical historical past, charging extra when in case you have a preexisting situation or household historical past of a critical medical sickness. Some carriers additionally take into account your driving document and life-style elements, equivalent to your hobbies, to entry danger. Gender is one other issue, though most firms base pricing based mostly in your intercourse at beginning and never present gender identification.


Competitors

To get a greater thought of how Prosperity Life Insurance coverage stacks up towards the competitors, we in contrast it to New York Life. Prosperity Life is considerably smaller than New York Life, which is the third-largest insurance coverage service within the nation. Prosperity Life additionally has fewer plans. Though Prosperity Life has above-average scores, New York Life nonetheless charges greater for monetary energy from AM Finest with a decrease criticism index from the NAIC. 

Prosperity could be a nice firm for all times insurance coverage, however New York Life is a greater firm, with larger assets, greater buyer scores, and higher monetary energy.

  Prosperity Life Group New York Life 
Market Share 0.081 (cumulative) Third-largest in U.S., 5.7%
Variety of Plans  7 10 
Dividends for 2020  $13 billion $1.9 billion
Wellness Program Reductions/Give up Smoking Incentives  Sure Not relevant
Service Methodology  Brokers Brokers 
AM Finest Score  A- (Wonderful) A++ (Superior) 
Value Rank  Relies on class Higher than most
Complaints Development 0.32 Nice 0.15 Wonderful


Last Verdict

Prosperity Life Group could be a nice alternative when you find yourself searching for nationwide protection and robust monetary reliability in an insurance coverage supplier. There may be complete, time period, and common life insurance coverage accessible, however as a result of they’re bought by way of three issuing firms, its insurance policies might be considerably complicated to observe. An agent can assist you discover the precise coverage to pair with Prosperity’s intensive choice of riders to higher personalize your protection.



Our Methodology: How We Overview Life Insurance coverage Carriers

Investopedia’s unique life insurance coverage assessment methodology ensures our life insurance coverage critiques comprise probably the most present and correct info for you. Our crew analyzes and considers  crucial elements like accessible protection choices, choice of riders, pricing, underwriting, claims processing, and buyer assist. We additionally take into account third-party scores from business specialists, equivalent to buyer satisfaction, buyer complaints, and monetary energy. 







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