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Mutual of Omaha Burial & Life Insurance Review 2021

Founded: 1909
Based: Omaha, Nebraska
Grades: AM BEST A+, S& P A+, Moody’s A1, COMDEX 90
Where they shine: Non-medical whole life (burial Insurance) &
Guaranteed Universal Life insurance
Where to be careful: Their call-center mailers for Guaranteed-Issue Whole Life.

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Company Background
Living Promise Product
Guaranteed-Issue Whole Life
Guaranteed Universal Life Express
Sample rates
Summary

Company Background: Mutual of Omaha, who also goes by United of Omaha, started in 1909 and have over $43B in assets. The company has proven to be a robust carrier after surviving two world wars and the Great Depression. They have stellar financial grades and pay promptly on claims. They provide Life Insurance, Medicare Supplements, Disability Coverage and more. The company became famous in the 1960s for their Wild Kingdom TV program hosted by Marlin Perkins and Jim Fowler.
Mutual of Omaha is the right choice for many seniors looking for what is called burial or Final Expense Life Insurance. These plans are small whole life insurance plans that do not require a medical exam.
Here are their most popular plans for non-medical life insurance or what is also called burial Insurance.

Living Promise-Immediate coverage

  • Coverage Amounts: $2,000-$40,000 (Not available in NY. WA State $5,000-$40,000.)
  • Ages 40-85
  • No waiting period, first day full coverage
  • Level premium & coverage amounts
  • Lifetime coverage, no expiration

The Living Promise Immediate Coverage plan is a simple whole life insurance plan. The plan offers enough coverage to take care of final expenses such as burial, cremation and funeral costs though death-claim funds can be used for any purpose. The plan does accrue a modest cash value over time that can be borrowed against though not advisable unless an emergency since this will reduce the death benefit. Once approved the plan premiums never go up, the coverage never decreases and the plan will pay for both an accidental or natural-cause death.

Riders

The Living Promise-Immediate Coverage Plan has the following riders 

  • Accidental Death Benefit (not available in CA); a low-cost optional rider that doubles the payout if the insured passes from accident. This coverage does not expire as the insured ages.
  • Terminal Illness; this is a built- in free rider that allows the insured to take a portion of the death benefit while alive if the insured is determined to have a 12 month or less life expectancy. The remaining death benefit will be reduced by the amount advanced.
  • Nursing Home Confinement (not available in FL); This is another built-in free rider that allows the insured to accelerate a portion of the death benefit if the insured is in a nursing home at least 90 days and expected to remain dependent on such care
  • Chronic Illness Rider (FL only); Built-in free rider that allows an insured to accelerate a portion of the death benefit if the insured is determined to need help with at least two activities of daily living due to chronic illness. 

Approval Process, Living Promise Immediate Coverage
There are two steps to approval with this product

Step#1 Pass the application health questionnaire

Step#2 Pass the prescription check

Step #1: Health Questions Living Promise Immediate Coverage

To be approved for the Living Promise Immediate Coverage an insured will need to answer NO to all of the following health questions. Here is a slightly abbreviated listing of these health questions. 

  1. Are you bedridden, hospitalized, in a nursing home, hospice care, skilled nursing, home health-care or been advised to be? Or requiring assistance with meds or activities of daily living? Or requiring a wheelchair, scooter, or oxygen to help with breathing? 
  2. Ever been diagnosed with AIDS, ARC, MDS, Down’s Syndrome, Alzheimer’s, Dementia, Huntington’s, ALS, Congestive Heart Failure, Metastatic Cancer, or Recurrent Cancer of the same type? Or Insulin shock, diabetic coma, had a diabetic amputation, End-Stage Renal Disease, dialysis? Or needing an organ or bone marrow transplant? Or been told you have a terminal condition? 
  3. In the last year have you been advised to have a surgical operation or test that has not yet been done or for which results are not yet known? Or in the last year been diagnosed with heart disease or heart surgery of any kind? 
  4. In the last 2 years diagnosed or treated for any internal cancer?
  5. Have you had care or been advised by a physician to get care for diabetes before age 50 or at any age with complications? Or advised by a physician to get care for Hep C, Chronic Kidney Disease, COPD, Chronic Bronchitis, Emphysema, Sarcoidosis?
  6. In the last 4 year received care or treatment for internal cancer, leukemia or melanoma? Or in the last 4 years had Chronic Kidney Disease, Systemic Lupus, Scleroderma, Bipolar Depression, Schizophrenia, Parkinson’s, or MS? 
  7. In the last 2 years been advised by a doctor to receive treatment or get treatment for heart conditions, stroke, or TIA?
  8. Last 2yrs been convicted or incarcerated for a felony. Or in the last 2 years had a reckless driving, DUI, OR used unlawful drugs or abused/misused your prescription? 
  9. In the last 2 years hospitalized for a mental or nervous disorder?
  10. In the last 12 months consulted a doctor for unexplained weight loss greater than 10 pounds, fatigue or unexplained gastrointestinal bleeding? 

Step #2 Prescription check for Living Promise Immediate Coverage

Mutual of Omaha looks back 7 years on an applicant’s prescription history. Sometimes this can be confusing because a senior may have prescriptions they forgot about or never actually digested. Mutual of Omaha does not ask a senior if they actually took a med but simply go by what shows up on the prescription check. So be advised that even though you may never have consumed a medication, Mutual of Omaha will see it if you filled it at a pharmacy in the last seven years. This could affect your acceptance. The meds that Mutual of Omaha is concerned with are not common blood pressure, diabetes, or cholesterol prescriptions. To see a list of medications that would cause a decline Click Here .  This list is not exhaustive but has the majority of medications that would cause a decline. 

Now for seniors who may find it hard to be approved for the Living Promise immediate coverage plan,  here are the most common reasons;

  • Heart condition, treatment or procedure in the last 2 years
  • A COPD Diagnosis (Congestive Obstructive Pulmonary) 
  • A cancer diagnosis in the last four years (not basal or squamous cancer) 
  • A serious medication. See here for a list of medications that Mutual of Omaha would decline if showing within the last 7 years on a prescription report.

If any of the above fits your situation do not despair. The Living Promise GRADED Coverage or Guarantee Acceptance choices may be a good fit. 

Living Promise Product-Graded Coverage

  • Coverage Amounts: $2,000-$20,000 (Not available in NY., but in::: WA State $5,000-$20,000.) 
  • Ages 45-80
  • Two year waiting period for full payout
  • Level premium & coverage amounts
  • Lifetime coverage, no expiration

If a senior does not get approved for the Living Promise Immediate Coverage plan they might get approved for the Graded Coverage. The big difference here is that there would be a two-year waiting period before a full pay-out if the insured dies from natural cause. If the insured should pass in the first two years the beneficiaries would get every penny paid into the plan at that point plus a 10% bonus. If the insured passes from an accident within the first two years the plan will still payout 100% of the coverage amount. 

Riders

The Living Promise-Graded Coverage Plan has the same riders as the Immediate Coverage plan above but no accidental coverage is available. 

Approval Process Living Promise Graded Coverage

There are still two steps to approval with this product

  • Step#1 Pass the health questionnaire on the application
  • Step#2 Pass the prescription check

Step #1: Health Questions for Living Promise Graded

To qualify for this plan the insured will have to answer NO to the first part of the health questions above, questions 1-4. But questions 5-10 can be a yes and still have an approval.

Step #2: Prescription check Living Promise Graded

An applicant will still have to pass the prescription check by not taking any of the meds listed Here . This is the exact same med list as the Immediate Coverage plan. This list is not exhaustive but it has the vast majority of the decline meds on it. Remember that Mutual of Omaha will see the last 7 years of whatever was prescribed and filled even if not consumed.   

If any of the above requirements still causes a problem to getting approved Mutual of Omaha still has a remaining plan that many love. 

Guaranteed-Issue Whole Life, GIWL

  • Coverage Amounts: $2,000-$25,000 (Not available in CT, MT) 
  • Ages 45-85
  • Two year waiting period for full payout
  • Level premium & coverage face amounts
  • Lifetime coverage, no expiratio

For those that cannot qualify for either the Immediate Living Promise or Graded plans the good news is that Mutual of Omaha does have great rates for their Guaranteed-Issue Whole Life Insurance. These plans have a 2-yr waiting period just like the Graded plan but would return all premiums paid plus a 20% bonus if the insured passes from natural causes. Also if the death is accidental in the first two years the full amount will pay out just like the Graded plan would. After the first two years the entire amount will pay out for any kind of death. 

Riders

There are no riders available on this product.

Warning on GIWL

First-day full coverage is always the best choice but sometimes GIWL is the only coverage someone can get. At the same time know that Mutual of Omaha sends loads of mailers direct to seniors who end up buying this product without shopping out other choices or talking to an independent agent. A senior should NOT pick this coverage up until they first talk to an independent agent because they may in-fact be eligible for first-day full coverage at another carrier. The call-center at Mutual of Omaha can easily put any senior under age 86 into the GIWL product and sometimes that is the best choice. But for many others this results in a senior ,s over-pay for their plan and getting a 2-year delay they can avoid. There are providers that can offer immediate coverage for Whole Life/Burial Insurance that Mutual of Omaha will not offer.  You can learn about those plans on this site or by calling us directly.   

Guaranteed Universal Life Express (GULE)

  • Coverage Amounts: $25,000-$150,000 (Not available in NY) 
  • Ages 18-70 (18-65 for smokers)
  • Level premium & coverage face amounts
  • Lifetime coverage, no expiration point

Finally, for healthy seniors under age 71 looking for death benefits of at least $25,000 the Guaranteed Universal Life Express can be a great choice. This product can offer a lower-rate than the whole life plans for the amount purchased since there is minimal cash-value plus the ability to get larger coverage amounts yet still have the convenience of not needing a medical exam for approval. 

Now the word Guaranteed here does not mean Guaranteed-Issue as discussed above with Guaranteed-Issue Whole Life. The Guarantee with the GULE product means Guaranteed to stay in-force & maintain the chosen coverage amount as long as premiums are met. This is in contrast to other Universal Life plans on the market. This plan can be awesome for those who want more than basic funeral/burial coverage and are in decent health but still don’t want to hassle with a medical exam. 

Riders

The GULE product has two free riders 

  • Terminal Illness; this is a free built-in rider allows the insured to take a portion of the death benefit while alive if the insured is determined to have a 12 month or less life expectancy. The remaining death benefit will be reduced by the amount advanced.
  • Chronic Illness Rider (FL only); This is a free rider built-in that allows an insured to accelerate a portion of the death benefit if the insured is determined to need help with at least two activities of daily living due to chronic illness. 

Approval Process, GULE

The GULE has two steps to approval with this product:

  • Step#1 Pass a more extensive health questionnaire. 
  • Step#2 Pass a more stringent medication check

Step #1-Health Questions for GULE

The GULE health question go into more detail than the Living Promise product above. Here is a slightly abbreviated version of the health questionnaire for the GULE Product. Questions 1-7 must be NO to pass. Questions 8-10 a senior may answer yes could be still approved. Smokers who have diabetes are not eligible. 

  1. Has the proposed insured ever been diagnosed with or treated for AIDS or ARC?
  2. Has the proposed insured ever been diagnosed, treated for or been told to get treatment for Coronary Artery Disease or Bypass Surgery, Heart Attack,  Angioplasty, Stent placement, Valvular Heart Disease with Repair or Replacement, Cardiomyopathy, Congestive Heart Failure, Congenital Heart Disease, Stroke, TIA, mini-stroke, abnormal heart rhythm, Cerebral/Aortic/Thoracic Aneurysm? Or Chronic lung disease, COPD, Chronic Bronchitis, Emphysema, Sarcoidosis, Cystic Fibrosis, Bipolar Depression, Schizophrenia, Alzheimer’s Disease, Dementia, Parkinson’s Disease, Sickle Cell Anemia, Lou Gehrig’s Disease, Muscular Dystrophy, Demyelinating Disease including MS, Huntington’s Disease, Hydrocephalus, Quadriplegia, Paraplegia, Down’s Syndrome, Autism, Mental Incapacity, or any other disease of the Central nervous System/Chronic Kidney Disease, End-Stage Renal Disease w/Dialysis, Liver Disease including Cirrhosis, Hep B or C, Cancer, Leukemia, Melanoma, or other internal cancer? System Lupus or Scleroderma, Organ Transplant? 
  3. In the last 12 months required the assistance of another person or a device for bathing, dressing, eating, toileting, getting in and out of chair or bed, or the management of bowel or bladder? Or received or been advised to receive care in a nursing home, assisted living facility, adult day care, home health care, or the currently confined to a hospital or medical facility. In the last 12 months used any of the following walker, wheelchair, electric scooter, oxygen, or catheter? 
  4. In the last 12 months have you been advised to have a surgical operation or test that has not yet been done or for which results are not yet known? In the last 12 months consulted a doctor for unexplained weight loss greater than 10 pounds, fatigue or unexplained gastrointestinal bleeding? 
  5. In the next 2 years will you engage in motor sport racing, boat racing, parachuting/skydiving, hang gliding, base jumping, rock or mountain climbing? 
  6. In the past 10 years have you used alcohol to a degree that required treatment or been advised to limit or discontinue its use, been convicted of possession of unlawful drugs or misused your prescription? Been convicted of a felony or awaiting trial, been hospitalized for high blood-pressure or any mental or nervous disorder? 
  7. In the past 5 years has the proposed insured been convicted of DUI reckless driving or had 4 or more moving violations? 
  8. Has the proposed Insured ever received care treatment for or been advised by a physician to health care provider to seek treatment for diabetes, diabetes before 50 (Gestational Diabetes is fine), Diabetes at any age with complications of retinopathy, Nephropathy, Neuropathy, Peripheral Vascular Disease? 
  9. In the past 12 months has the proposed insured applied for or received disability, hospital, or medical benefits from any insurance company, government, employer, or other source? 
  10. In the past 5 years has the proposed insured consulted with a doctor or been hospitalized or treated by a health care provider for any other healthy condition?  

Step #2: Prescription check-GULE

The GULE has a more stringent list of medications that may cause a decline. Common blood pressure, cholesterol and diabetes meds are still fine. To see the list Click Here . This list is not exhaustive but does include most of the medications that could cause a decline.

Rates

For the sake of simplicity this section contains sample monthly rates for the Living Promise Immediate Coverage, Guaranteed-Issue Whole Life (GIWL) and Guaranteed Universal Life GULE. The below show monthly billing as a draft off checking account. Mutual of Omaha does not work with credit or debit cards and will not take a money order. You are able to pick any date during the month from the 1st to the 28th.

MALE NON-SMOKER

AGELP-Imm. Cov. $10,000GIWL
$10,000
LP-Imm. Cov. $25,000GIWL
$25,000
65$56.48$71.00$136.40$177
66$59.85$71.00$144.82$177
67$63.18$71.00$153.14$177
68$66.84$71.00$162.29$177
69$70.79$71.00$172.17$177
70$74.61$96.00$181.72$239
71$78.81$96.00$192.22$239
72$83.99$96.00$205.17$239
73$89.47$96.00$218.85$239
74$94.86$96.00$232.35$239
75$99.97$127.00$245.13$315
76$107.04$127.00$262.79$315
77$114.13$127.00$280.52$315
78$122.13$127.00$300.53$315
79$129.52$127.00$319.00$315
80$139.73$180.00$344.52$423
81$149.95$180.00$370.06$423
82$160.17$180.00$395.61$423
83$171.02$180.00$422.75$423
84$181.88$180.00$449.89$423
85$192.74$180.00$477.04$423

MALE NON-SMOKER

AGEGULE
$25,000
GULE
$50,000
GULE
$75,000
GULE
$100,000
65$102.69$205.37$308.06$395.35
66$109.84$219.66$329.49$425.53
67$115.52$231.04$346.56$450.50
68$120.71$241.42$362.13$475.98
69$126.51$253.01$379.52$501.83
70$132.35$264.69$397.04$527.54

FEMALE NON-SMOKER

AGELP-Imm. Cov. $10,000GIWL
$10,000
LP-Imm. Cov. $25,000GIWL
$25,000
65$41.01$55$97.73$135
66$43.44$55$103.80$135
67$45.86$55$109.84$135
68$48.29$55$115.92$135
69$50.81$55$122.22$135
70$53.24$72$128.29$179
71$56.21$72$135.71$179
72$58.46$72$141.33$179
73$63.55$72$154.06$179
74$67.78$72$164.65$179
75$72.41$100$176.22$249
76$78.25$100$190.81$249
77$83.51$100$203.96$249
78$88.43$100$216.29$249
79$93.41$100$228.73$249
80$98.43$143$241.28$355
81$106.21$143$260.72$355
82$113.96$143$280.09$355
83$121.31$143$298.46$355
84$128.55$143$316.57$355
85$135.91$143$334.95$355

FEMALE NON-SMOKER

AGEGULE
$25,000
GULE
$50,000
GULE
$75,000
GULE
$100,000
65$82.17$164.33$246.49$316.51
66$87.48$174.95$262.42$337.01
67$93.11$186.21$279.31$358.50
68$99.17$198.34$297.51$382.14
69$104.37$208.74$313.10$402.39
70$108.79$217.57$326.35$419.15

Summary

Here at Life Insurance for Seniors we try to give you honest non-biased information about your Life Insurance choices. For a permanent life insurance provider that does not need a medical exam Mutual of Omaha is very strong. Can you get lower rates? Not likely or at least not by much for an A-Grade carrier without any medical exam required. Mutual of Omaha’s GIWL rates for example are over 30% less pricey than other leading companies. 
So if you are looking for basic burial insurance or final expense coverage Mutual of Omaha maybe your best bet. If willing to do a medical exam you may find better rates elsewhere though it will involve more work and time. There is no one-size fits all. We highly recommend talking to an independent agent or at least shopping your choices first. You can see your choices here or contact us to see what works best for you.

 

 

 

 

 

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