What is Gerber Life Insurance
Founded in 1967 in Fremont, Michigan, there is a good chance that you’ve seen Gerber Life Insurance commercials on TV. While the Gerber name is commonly associated with baby foods and similar products, they have also established and maintained a strong association with life insurance. If you have seen the commercials, then you understand that they are offering some pretty impressive advantages. Gerber has been praised in the past for offering straightforward coverage that doesn’t seem to have any hidden fees or tricks to worry about. Deciding whether or not Gerber is right for you is going to come down to considering several important factors.
In particular, this life insurance company has proven to be popular with seniors. They also have unique opportunities for those who want to save for their child to eventually go to college. That aspect of the company is perhaps the most heavily-touted element. While that aspect is obviously worth considering, there is much more to the company that should be appreciated. They also offer some options in the way of term life insurance. To be sure, there are a number of different products and possibilities with this company. What you will come to appreciate is that while Gerber Life Insurance is a solid bet in some arenas, they may falter for you in others.
The Basics Of Gerber Life Insurance
The Grow-Up plans and College plans are perhaps the most well-known elements of what Gerber offers as a life insurance company. These elements are certainly worth studying in greater detail, but you may find more value with the policies designed around seniors and adults. In particular, the senior plans seem to have the most inherent value.
There is an impressive variety of life insurance options within Gerber. Researching the company further is a good idea, simply because they push specific options more heavily than others. A closer look reveals there are several possibilities within Gerber worth studying. The policies for seniors, as well as adults, offer good rates, combined with coverage for limited underwriting needs. Grow-Up and College are promoted more by the company, but their flaws may outweigh their benefits in your particular case.
Gerber Life Insurance also extends to term life insurance. While this form of coverage isn’t too problematic, it still falters when compared to other companies.
As we look deeper into the various policies offered by Gerber, it can be helpful to look at the pros and cons of the company as a whole.
Pros And Cons Of Gerber Life Insurance
One of the biggest pros with Gerber is that the company is ultimately pretty straightforward. However, it is important to research the company beyond their famous TV commercials. Some have complained that the company’s advertisements are slightly misleading, with regards to just how some of these plans will work. If you do contact them for more information, make sure you have a complete understanding of what you can expect with something like term life insurance, before signing on with a policy.
It is also worth mentioning that the company has a very low number of customer complaints. Check any insurance company review site for actual customer reviews. You will find the positive reviews far outweigh the negatives. Customers particularly like the simplicity of many of their plans, once you fully understand what to expect. They also appreciate just how easy it is to sign up. Gerber Life Insurance has also been praised for making it very easy to qualify for their insurance plans, as well. The company has built a strong reputation on this, and that doesn’t seem like something that will change anytime soon.
Further Pros And Cons Of Gerber Life Insurance
However, there have been issues with getting paid in a timely fashion. Most Gerber customers do not seem to run into this issue. It is still something you are going to want to keep in mind nonetheless. Payment issues have revolved around such needs as attempting to surrender your policy, take out any policy loans, or claim-filing in the event of the death of a family member.
Many Gerber Life policies do not require a medical exam. This is something else the company touts quite heavily in their advertisements. While they aren’t lying, you will still have to pay some fairly high premiums. In fact, compared to other companies that offer a similar opportunity, the premiums with Gerber might be higher than you can handle. Again, make sure you have a clear idea of what you will be expected to pay, before signing on with one of their policies.
Furthermore, understand that you are not growing your existing coverage with Gerber. This is something that can get a little confusing, as their advertisements somewhat imply this is possible. You are in fact purchasing a new policy altogether. Some customers also complained of not fully understanding the differences between the Grow-Up Plan and the College Plan. Obviously, you can avoid some of these complaints by doing a little research. Remember that cancelling a policy is more often than not a very expensive, time-consuming endeavor.
Let’s take a closer look at some of the specific aspects of Gerber Life Insurance. The company is noted for having very specific policies for kids, very specific policies for adults, and then highly specific policies for seniors. It is seniors in particular who have the potential to gain the most by signing on with them. Many of the insurance products you can find through this company are known as whole life insurance policies. These are perhaps the best policies within Gerber.
A Look At Gerber Life Insurance Policies
The Gerber Life Grow-Up Plan is a whole life policy that can be purchased on kids or grandkids. They must be between the ages of fourteen days old and fourteen years old. The policy itself is fairly standard of whole life insurance policies. Gerber is noted for not only level premiums, but for the ability for the policy to build up cash value. Until the child reaches the age of twenty-one, you will be the policy owner. Upon reaching twenty-one, they will hold the policy. They will also have the option to purchase further coverage, but without having to go through any testing.
The death benefit of what you purchase (between $5000 and $50, 000) doubles as the child turns eighteen. Gerber Life Insurance promises that the premiums will never rise, and this is indeed the case.
The Gerber Life Young Adult Plan is worth studying in greater detail, as well. It is exactly the same as the Grow-Up Plan, but with the main difference being that it can be purchased for young adults. More specifically, it is for young adults between the ages of fifteen and seventeen. The only difference worth noting is the price. It is slightly higher.
Then you have the Gerber Life College Plan. This is not the same sort of setup as what you might find with 529 plans. Think of these plans as endowment life insurance policies. Not only are you getting level premiums, but you are also getting something that will build on its cash value at a rate that will be guaranteed. At the same time, it is not the same as whole life policies. This is due to the fact that endowment policies are only going to last for a certain number of years. Should you die within the coverage period, the beneficiary will be entitled to the absolute cash value of the policy. Should you outlive the coverage period, you receive the face value of the policy. This will be equal to its cash value. Keep in mind also that your premiums are not tax-deductible.
In terms of whole life insurance and term life insurance from Gerber, keep in mind that the whole life insurance is similar to their child insurance. The major difference is that you can purchase what are known as premium riders. With their term life insurance, which is perhaps not suitable for anyone seeking the most straightforward coverage possible, understand that you cannot renew beyond the age of sixty-five.
If you want to purchase coverage for your child or grandchild, there are some clear benefits to taking Gerber Life Insurance seriously. This is important to consider. At the same time, they may not be suitable for adults who are not in the senior age bracket, and who are looking for a straightforward insurance policy with few issues. While getting paid can sometimes be a little stressful with this company, they are ultimately one of the most well-regarded companies out there. Their reviews are above-average across the board, even if their TV ads can be a little on the misleading/confusing side.
Gerber is a good investment for a child. Seniors who want a simple plan for their autumn years can also potentially find some value with this company. While Gerber may not be for everyone, there is no question that they have much to offer those who can find value here. For seniors and children, this is a company worth considering.