Purchasing life insurance can be complicated—but it doesn’t have to be. With Leap Life insurance, you can easily find the life insurance policy that perfectly suits your needs.
In this article, we will review Leap Life insurance, so you can see if it offers the best solution for your life insurance needs.
Leap Life Insurance Company History
Leap Life was founded in 2017. Headquartered in California and licensed in all the 50 states, Leap Life is a life insurance technology company that operates an online portal designed to match consumers with some of the best insurance providers in the country.
The company claims to work only with life insurance providers with the best rates and highest financial strength ratings.
It offers a fast approval time, and applications are entirely online, which means you can purchase insurance from the comfort of your home. Leap Life insurance has an A+ rating from the Better Business Bureau.
Leap Life Application Process
Leap Life spares you the stress of dealing with sales agents with its online application process. It employs top-of-the-line artificial- intelligence technology to match you with the most suitable policy and insurer.
You will need to answer several straightforward questions.The answers you provide will help the system predict your odds of getting approved for the policy you need and the most competitive price.
Leap Life uses the predictions to match you to the best and most affordable policy. You also have the option to speak to a life insurance agent so that you can make a more informed decision.
It will take you a few minutes to complete the application process. If you get approved, your coverage will start in a few weeks. It can sometimes start in a few days.
Leap Life will monitor your coverage and may adjust your plan as your needs change.
Types of Policies Available
Leap Life offers four different types of life insurance policies:
- Term life insurance
- Whole life insurance
- Universal life insurance
- Accidental death
Let’s take a more in-depth look at each.
Term Life Insurance
If you want the cheapest life insurance policy, you’ll need to choose term life insurance. This policy is available in term lengths of 5, 10, 15, 20, 25, and 30 years. There are three main types of term life insurance:
- Level term – Your premiums and death benefit doesn’t change throughout the policy term. This is an ideal option if you’re looking for a cost-friendly policy with no caveats.
- Increasing term – You premiums and death benefit increase over time.
- Decreasing term – You premiums remain constant, but your death benefit decreases. You may purchase this type of life insurance to pay off a debt with a decreasing balance.
- Annually renewable – You start with low premiums, which increase every year throughout your policy term.
The primary advantage of term life insurance is that it is cheaper than other types of life insurance. You can also cancel your policy without affecting your tax situation.
However, you may outlive your policy, and end up needing to purchase another policy.
Whole Life Insurance
With this type of policy, your term is for life. You can’t outlive your coverage. You will make the same premium payments through the term of the policy.
Part of the premiums goes to pay for the death benefit and the rest is put into a cash value account that grows over time.
You have the option of borrowing or withdrawing funds from your cash value account in the future. However, keep in mind that the death benefit will be less the amount you have withdrawn unless you refund it. If you terminate your policy, you will receive the cash value balance.
The major downside about a whole life insurance policy is that it’s quite complex and more costly compared to term life insurance.
Universal Life Insurance
Like whole life insurance, your coverage is for life with universal life insurance. This type of life insurance also has a cash value component. You will make fixed premium payments, but you will have to dig deeper into your pocket than you would with the other types of policies.
There are three types of universal life insurance:
- Guaranteed universal life – This is a hybrid of the term and permanent life insurance. It is characterized by lower premiums than those offered by a regular permanent life insurance policy. Moreover, you can’t get it’s kind of lifetime coverage with a term life policy. Unfortunately, you may not get the opportunity to use the cash value to cover your costs since it provides little to no cash value.
- Indexed universal life – Indexed universal policy allows you to put a portion of or your entire cash value funds into an account that tracks a stock market index. You can potentially get a better rate of return with this policy compared to a whole life policy. However, your earnings are capped at a preset rate. The growth of your cash value account may also be retarded completely if the index drops.
- Variable universal life – With variable universal life policy, you can invest your cash value funds in a wide range of funds, including bonds, stocks, and money market accounts. However, your earnings might be capped at a specific rate.
You’ll need to be somewhat more proactive with this type of policy as it has a higher risk-return ratio compared to other types of permanent life insurance. The major advantage of universal life insurance is that your coverage is lifetime guaranteed provided you make your premium payments.
Additionally, the flexibility with premiums can come in handy if you have limited funds. The major downside of universal life insurance is that you will pay higher premiums than you would with term life insurance. Another disadvantage is that you will forfeit the policy in the event you are unable to cover your premium payments out of pocket or using your cash value funds.
Accidental Death Insurance
Accidental death is similar to term life insurance in that you are covered for a specific term. However, the benefit will only be paid if you die accidentally, such as in an auto accident. This policy typically doesn’t cover death from illness.
Leap Life Insurance Riders
Leap Life offers coverage from several insurance providers. Therefore, additional riders will vary depending on the carrier you choose. Here are some of the major riders available with Leap Life affiliated carriers:
- Disability Income Rider
- Critical Illness Rider
- Long-Term Care Rider
- Child Protection Rider
- Spouse Protection Rider
- Guaranteed Insurability Rider
- Family Income Benefit Rider
Before you choose a policy, it is advisable to consult with Leap Life to ensure you get a policy that has riders that suit your needs.
Who Can Get a Policy with Leap Life?
To be able to purchase a life insurance policy with leap life, you must be a U.S. citizen or permanent resident who has been in the country for at least two years. You also must be aged between 18 and 75 years at the time of application.
Leap Life Review Bottom Line
Leap Life insurance is a solid online insurance agency, using technology to ensure you get the best life insurance policy for your needs and budget.
It offers some of the most cost-effective life insurance policies from the leading insurance companies in the United States. Besides saving you money, Leap Life is also designed to save you time with its fast approval time.
You can complete the entire application online and hence avoid the stress of dealing with sales agents.