Freedom Life Insurance Review: Is the Insurance Legit?

In this review, we’ll delve into Freedom Life Insurance and assess how their life insurance offerings compare to those of their competitors.

About Freedom Life Insurance

Freedom Life Insurance Co. is based in Dallas, Texas, and has been around since 1956. They are currently a subsidiary of USHealth Group, which is also headquartered in the Dallas-Fort Worth area. 

About Freedom Life Insurance

Freedom Life primarily offers uncomplicated term life insurance plans. They also provide various other insurance options through their parent company, US Health Group. It’s worth noting that US Health Group is connected to United Healthcare, a significantly larger health insurance company, which adds to their overall financial stability and resources.

Freedom Life Insurance: Pros & Cons

Pros

  • Other Insurance Products Available: Freedom Life’s parent company offers a variety of insurance products besides term life insurance. This includes options like health insurance, accident protection, dental coverage, and vision insurance, providing you with more comprehensive coverage options.
  • Variety of Premium Options: Freedom Life allows you to choose your premium amount, which can range from $10 to $50, in increments of $5. This flexibility allows customers to find a coverage level that fits their budget. Keep in mind that lower premiums will provide lower coverage amounts.

Cons:

  • Only One Life Insurance Option: Unlike many other insurance companies that offer a range of life insurance plans (such as term, whole, and universal life policies), Freedom Life only provides a single option: term life insurance with a 10-year term. If you’re looking for a different type of plan or a longer-term policy, you’ll need to seek coverage from another insurer.
  • Not Available in All States: Freedom Life’s policies are not available in all 50 states, which may limit its accessibility depending on your location.
  • No Riders or Endorsements Available: While some insurance companies offer riders or endorsements that allow you to customize and enhance your coverage, Freedom Life does not provide any such options. Their policy remains the same for everyone and cannot be altered to meet specific needs or preferences.

Available Plans

Freedom Life Insurance Company and US Health Group have a simple approach to life insurance. They only offer one type of policy, which is called “Life Protector.” This policy is a 10-year plan that can be renewed until you turn 70.

Here’s how it works:

  • You get coverage for 10 years.
  • If you pass away during these 10 years, your loved ones receive money.
  • If you don’t pass away during the 10 years, there’s no money for your loved ones when the policy ends.

You can keep renewing this policy until you’re 70 years old if you want to continue having coverage.

Freedom Life Insurance: Available Riders

Many life insurance companies give you options to make your insurance better for your needs. These options are called “riders.” They let you add more coverage, use some benefits early if something specific happens, or cover your family.

But, Freedom Life Insurance Company doesn’t offer these extra options. With their LifeProtector plan, you can’t change or improve it. It’s a “one-size-fits-all” plan.

For example, some companies let you use your insurance money early if you get very sick. But Freedom Life doesn’t have that choice. Other companies offer this option, but Freedom Life doesn’t.

Freedom Life Insurance: What Customer Says

Customer Service

Freedom Life and USHealth Group don’t have many helpful things on their website. You can’t get a quick insurance price online, and they don’t have tools like calculators or online chat to talk to them.

If you need help, you can email them at [email protected] or call 1-866-722-8744. But, there are limits to when you can reach them. You can only call them from Monday to Friday, between 7:00 a.m. and 7:00 p.m. CT, and on Saturday, it’s from 8:00 a.m. to 1:00 p.m. CT.

Complaint Index

The National Association of Insurance Commissioners keeps track of complaints that people make about insurance companies. They use something called a “complaint ratio” to show how many complaints a company gets compared to how big it is in the market.

Here’s what you need to know:

  • The standard complaint ratio is 1.0.
  • If a company’s ratio is higher than 1.0, it means they got more complaints than what’s normal.
  • In 2022, Freedom Life’s complaint ratio was 1.09, and they got 48 complaints.
  • In 2021, their ratio was 1.16, and they got 42 complaints.

So, both in 2022 and 2021, Freedom Life got more complaints than what’s considered average in the insurance industry.

Third-Party Ratings

For more than a century, AM Best has been a well-known agency that rates how financially strong insurance companies are. They give opinions on whether these companies can meet their promises to customers.

USHealth Group and Freedom Life Insurance Company are both part of a big insurance company called UnitedHealth Group. AM Best gives UnitedHealth Group a rating of A+ (Excellent), which means they are financially very strong.

But, USHealth Group and Freedom Life were not part of a study by J.D. Power in 2022. This study looked at different life insurance companies and ranked them based on how they set prices, what they offer, and how happy their customers are. So, we don’t have information about how they did in that study.

Cancellation Policy

Canceling a Freedom Life term life insurance policy is pretty straightforward. You just need to stop paying your premiums, and the policy will end because it only lasts as long as you’re making payments.

But, it’s a good idea to get in touch with your Freedom Life insurance agent or the company itself if you want to cancel your policy. They can guide you through the process and make sure everything is done correctly.

Cancellation Policy

How Much Does Freedom Life Insurance Cost? 

You can’t get a price for Freedom Life’s term insurance on their website; you’ll need to talk to an insurance agent to get a quote.

The cost of your monthly payments depends on things like your age, where you live, and whether you’re a man or a woman.

Even though you might have to choose between being a man or a woman when getting a quote, it’s essential to know that most insurance companies haven’t changed their processes to include nonbinary options. But being nonbinary doesn’t mean you can’t get life insurance.

Is Freedom Life Insurance Legit?

Freedom Life Insurance is a legitimate insurance company affiliated with USHealth Group, a trusted insurance provider. If you already have supplemental health insurance from USHealth Group and want to add life insurance, it can be convenient. 

However, there are limitations to be aware of. They offer only one type of life insurance, a 10-year term, and don’t have options for older adults with guaranteed issue. Customizing your policy is also challenging due to the lack of additional options.

Customer service reviews are poor, and their online application process is not efficient. If you value good communication and support, this may not be the best choice. Customers have reported long wait times and unclear communication with Freedom Life Insurance.

Competition

Freedom Life Insurance Company has only one type of life insurance, which is a 10-year term policy. This might work for some people, but not for everyone. If you need a longer or different type of life insurance, you’ll have to look elsewhere.

A good alternative is Transamerica. They are one of the largest insurance companies in the country and offer different types of life insurance, including term, whole, and universal policies. Some of their term policies don’t require a medical exam.

Transamerica provides more options with various plans and lets you customize your coverage by adding extras like accelerated death benefits, benefits for children, and accidental death coverage. According to the National Association of Insurance Commissioners, Transamerica was one of the top 10 insurance companies in the United States in 2022.

Our Methodology

Our life insurance company reviews use a systematic method that looks at several factors:

  • Stability and reliability
  • Customer service quality
  • How well they handle claims
  • Variety of insurance products they offer
  • How much their policies cost

We also compare their policies to other major insurance companies, looking at things like coverage amounts, extra options, and how you can pay your premiums.

Lastly, we check their ratings from other trusted organizations to see if they’re considered trustworthy and have a good reputation.

Frequently Asked Questions

What type of insurance is Freedom Life Insurance Company?

Freedom Life Insurance Company offers only term life insurance policies. It does not cover pre-existing conditions, and there is no option for an accelerated death benefit rider for chronic or terminal illness.

Does Freedom Life Insurance cover pre-existing conditions?

Freedom Life Insurance provides only one kind of life insurance, which is term life insurance. Unfortunately, it does not include an accelerated death benefit rider for chronic or terminal illnesses. Therefore, you cannot access your policy benefits early if you experience a serious illness, and pre-existing conditions are not covered.

How do you cancel Freedom Life Insurance Company of America?

To cancel a Freedom Life Insurance Company of America policy, you can contact your insurance agent directly, or you can simply stop paying your premiums. Your term insurance policy remains in effect as long as you continue to pay during the term, and if you no longer want the policy, you can end it by discontinuing payments.

Is USHealth Group health insurance ACA-compliant?

 USHealth Group offers various health insurance plans, and whether they are ACA-compliant depends on the specific plan. Some plans may meet the Affordable Care Act’s requirements for minimum essential coverage, while others may not. It’s essential to review the details of the specific health insurance plan to determine its compliance with the ACA. However, it’s important to note that life insurance, like what Freedom Life offers, is not health insurance and does not fulfill any ACA requirements.

Final Thoughts

If you already have health, vision, or dental insurance from USHealth Group and you like your insurance agent, it might seem convenient to add a term life insurance policy with Freedom Life Insurance. However, there are some limitations to consider.

Freedom Life offers only one type of policy, which is a 10-year term life insurance. It’s also not available in every state.

For most people, having more options and better coverage is important when it comes to life insurance. You might be better off with a company that offers different types of policies like whole or universal life insurance and additional benefits like accelerated death benefits.

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