Consumers Look for Simplicity in Life Insurance in Challenging Times

The recent financial crisis has brought new attention to the complexity and confusion consumers often face when it comes to contracts and investments. In fact, 50 percent of consumers find their insurance, credit card and wireless phone contracts extremely or somewhat difficult to understand.1

In terms of life insurance specifically, 67 percent of consumers would have increased interest in purchasing a policy if jargon-free, plain English explanations and disclosures were used.1

To help address this need and create a simpler and more comfortable approach to life insurance, Farm Bureau Financial Services is launching Simple Term life insurance, which can provide consumers with protection for their financial obligations in a matter of minutes.

“In these complex times, we focus on making insurance simple,” said Rich Kypta, executive vice president, Farm Bureau Life Insurance Company. “Our Simple Term product helps consumers who realize how important it is to prepare for the future with a process that’s streamlined and very easy.”

This simplified process usually includes answering a small number of questions online, generally without a medical exam and with minimal paperwork. Minutes later, they can have the protection they’re looking for – a death benefit that can help cover their mortgage, vehicle payments, college tuition or personal loans.

In addition to helping cover family and/or business financial obligations, some of the key advantages of Simple Term include:

• Customized coverage – Coverage is available, depending upon financial needs, in amounts from $25,000 to $75,000.
• Budget friendliness – For ease and convenience, affordable premiums are paid via electronic funds transfer.
• Set coverage periods – For people between the ages of 18 to 50, coverage is available for 10-, 15- or 20-year periods. For those ages 51 to 55, coverage may be available for 10- or 15-year periods.
• Guaranteed premiums – Monthly premium payments remain the same throughout the coverage period selected.
• Tax-free benefits – Proceeds from the policy usually are received income tax free.
• Option to extend protection – If a person finds that his or her financial needs or goals have changed, they have the option of converting their term coverage to a permanent life policy with Farm Bureau Financial Services.

“Simple Term makes it easy for people to have the coverage they need – and the peace of mind that comes with the knowledge that their loved ones are protected,” Kypta said.

For more information about Simple Term life insurance, consumers can click here. For information about life insurance in general or other life insurance options, consumers can contact their agent or visit SimplifyMyInsurance.com.

About Farm Bureau Financial Services

Through an exclusive, multi-state agent force, the companies affiliated with the Farm Bureau Financial Services brand underwrite, market and distribute a broad range of financial services products, including life insurance, investments, annuities, property-casualty insurance products and services and more, to individuals and small businesses within a marketing territory that includes 15 states. For more information about products and services, log on to www.fbfs.com or call or visit your local Farm Bureau agent.

1 Sigel+Gale Simplicity Survey: A Clarion Call for Transparency 2009