Life insurance can provide you peace of mind and financial protection for your loved ones. If you’re not sure where to begin, Benzinga’s review of Fabric’s life insurance options is a good place to start. We compare Fabric to its competitors and help you understand how to find the best life insurance policy.
Who’s Fabric Life Insurance for?
Fabric’s offerings are designed for busy parents to help them prepare in case the worst were to happen. Consider getting life insurance from Fabric if you’re:
- Married: Your income impacts your spouse’s lifestyle. A life insurance policy can help support your spouse financially if you die.
- A parent: Children are financially dependent upon their parents, whether you have a toddler at home or a new college student. Your life insurance payout could help support your children even if you’re no longer around.
- Healthy: Fabric’s innovative technology can enable young and healthy applicants to bypass a medical exam in order to offer them coverage on the spot (which may be more affordable than you.
Fabric Life Insurance Products
- Fabric’s term life insurance offering is a popular option if you’re researching cheap life insurance companies. Fabric allows customers to apply for a life insurance policy in just 10 minutes, catering to its target demographic of young families and busy parents. To apply for a policy with Fabric, you simply submit your application online or within the Fabric app. Fabric’s licensed team of agents is on hand to answer any questions during the application process. Fabric’s algorithm then processes your information to try to offer you coverage on the spot. If approved, you can opt to decrease your policy’s term length or coverage amount to fit your needs.
- Fabric wills: If you’re looking at life insurance, you may also be interested in a will. Fabric is one step ahead of its competition in that it offers a quick and free service to help you establish a will and name a guardian for your children in just 5 minutes. Fabric worked with legal experts to create this easy-to-understand, step-by-step option. When you’re done, Fabric will walk you through how to make your will a legally binding document. You’ll then be able to choose which information to share with specific people. Of course, if you have specific questions about what needs to be in your will or need more complicated estate planning solutions, Fabric recommends you speak with an attorney for guidance.
- Fabric digital vault: Fabric also offers an easy way to store and organize your important financial information in their mobile app. If you purchase a Fabric life insurance policy or create a Fabric will, you can store it alongside any financial accounts you wish to connect within the app. The product is easy to set up and uses 256-bit encryption to ensure your data is protected.
Focus on Term Life: Fabric Term Life Options
Fabric offers only term life insurance options — specifically, 10-, 15- and 20-year term policies. Choose your term length based upon how long you expect your family to be financially dependent. If you have young children, look at longer terms. If your children are older or it’s just your spouse, a shorter term may be best for you. Their policies are backed by Vantis Life (Rated A+ “Superior” by AM Best), which is a subsidiary of Penn Mutual (the second oldest life insurance company in the US) so you can feel confident that your policies have a strong financial backing.
Term Life Insurance from Fabric: Fabric’s term life insurance product offers coverage for as long as the term lasts. For example, a 20-year term policy will cover you for 20 years after the coverage becomes effective. Life insurance policies through Fabric give you the option to convert your existing policy to whole life at any time (which does not expire).
Next, you have to determine how much life insurance you need. Fabric offers policies beginning at $100,000, and you can increase by $50,000 increments up to $5 million. Determine your financial obligations over your lifetime before you settle on a policy value.
Fabric will examine your application and decide if you are required to submit a medical exam in order to determine your coverage. Applicants for policies of $1 million or less may be able to bypass the medical exam. If the exam is required, Fabric makes it easy by allowing you to schedule a time online for a medical professional to come to your home or place of business, for free.
Fabric allows you to decrease your life insurance coverage anytime. However, you will not be able to increase your coverage. If you want to increase your policy value, you must submit a new application.
Available Discounts and Tips on Getting the Best Rates
There are things you can do to present yourself as a good candidate for Fabric life insurance. If you are searching for the best rates, be sure to:
- Be honest: Be upfront about your health, lifestyle and any medical conditions. If you are found to have misrepresented yourself on your application, it is possible for an insurance company to decline your coverage down the line.
- Prioritize your health: If you have a condition such as diabetes or high blood pressure, Fabric will want to see that you are properly treating and managing these conditions. Be sure to visit your doctor regularly and take any medications as prescribed by your doctor.
Fabric Life Insurance Coverage Selections
At this time, Fabric only offers term life insurance policies. If you need other life insurance options, such as whole life or universal life, take a look at other providers.
Fabric also offers accidental death insurance for individuals between the ages of 25 and 50. Accidental death insurance policies are similar to life insurance policies, but they are specifically designed to only offer coverage if you pass away due to an accident.
Pricing and Value
Fabric offers reasonable pricing and a good value, especially on 15-year term life insurance policies. To give you an idea of how affordable Fabric’s policies are, Benzinga has put together a few sample policies that are featured on Fabric’s website. Remember, you’ll need to get a quote to find out what a Fabric life insurance policy will cost you.
| Covered Person | Amount of Coverage | Monthly Premium |
|---|---|---|
| 29-year-old female* | $250,000 | $12.95 |
| 35-year-old male* | $750,000 | $28.78 |
| 42-year-old female* | $500,000 | $29.74 |
*Sample rates calculated on a 15-year term for non-smoker applicants in excellent health residing in DC
Customer Service
Start a conversation with the customer service team from Fabric’s website by clicking on the support option. You can also browse online articles that answer and explain frequently asked questions.
Claims Support
When you pass away, your beneficiary will need to file a claim to receive the death benefit, which is equal to the amount of coverage you signed up for. Fabric requires your beneficiary to provide proof of loss for a death claim, which is usually a final death certificate.
As long as your death is covered by your Fabric policy, your beneficiary will be able to receive your death benefit. If you purchase term life insurance, all mortality is covered while the policy is active and in force, with the exception of suicide within the first two years of the policy issue date. Fabric may also deny a claim if you misrepresented yourself during the application, so it’s important to answer their questions honestly. In most cases, Fabric will be able to process payment of your death benefit within 3 business days after receiving a qualifying claim.
Next Steps
Plan for the unpredictable with Fabric. If you need term life options, their website can walk you through how to buy life insurance. Fabric is ahead of the game with add-on services including free step-by-step will creation and a virtual vault for your financial information.
Before you buy, compare quotes, policy requirements and coverage options. No matter what you purchase, discussing your life insurance with your beneficiaries can help you make a decision that’s best for everyone.
Source: Google Insurane
