What Is Guaranteed Issue Life Insurance?

Guaranteed issue life insurance (also called guaranteed acceptance life insurance) is the most accessible type of life insurance available to seniors. It accepts all applicants within the eligible age range, regardless of health history.

Key Features of Guaranteed Issue Life Insurance

• No health questions: You cannot be asked about or declined for any health condition
• No medical exam: No blood tests, no doctor visits, no physical examination
• Guaranteed acceptance: If you are between ages 50–85, you are approved
• Permanent coverage: The policy never expires as long as premiums are paid
• Fixed premiums: Your monthly payment never increases
• 2-year waiting period: Full benefits are paid after 2 years; during years 1–2, beneficiaries receive 110% of premiums paid

Who Needs Guaranteed Issue Life Insurance?

Guaranteed issue is designed for seniors who have serious health conditions that prevent them from qualifying for simplified issue or graded benefit coverage. Common conditions include active cancer (non-skin), recent heart attack or stroke (within 12 months), COPD with oxygen dependency, kidney failure or dialysis, Alzheimer's or dementia, and HIV/AIDS.

Guaranteed Issue vs. Simplified Issue

The 2-Year Waiting Period

The waiting period is the main trade-off of guaranteed issue coverage. If the insured passes away during years 1–2 from any cause, the beneficiary receives 110% of all premiums paid — not the full death benefit. After year 2, the full death benefit is paid for any cause of death.

Best Guaranteed Issue Carriers

Gerber Life, AIG (American General), and Mutual of Omaha all offer competitive guaranteed issue final expense policies. Coverage amounts range from $2,000–$25,000 with monthly premiums starting around $50–$80 for a 65-year-old.