Foresters Financial offers excellent life insurance products. In the following Foresters review, we will cover the strengths of the company, its ratings, its history and its various products and features available with the goal of helping you decide if Foresters is the right choice for you.
Review of Foresters Financial
Finding the company that best fits your needs, goals and objectives is no easy task. There are over 800 companies offering life insurance and annuities. With so many carriers in the marketplace, it can be a bit overwhelming to whittle your decision down to the top 10 best whole life insurance companies thanks to the company’s flagship product, Advantage Plus Whole Life Insurance.
So, let’s take a look at the company itself to get a better idea of what it is and what it offers.
About Foresters Financial
Founded in 1874, Foresters has been around for over 140 years. Foresters is a not-for-profit company, called a fraternal benefit society. To become a Foresters member, you can apply as part of your life insurance purchase.
Foresters Financial offers its various life insurance products through The Independent Order of Foresters and Foresters Life Insurance and Annuity Company. The company boasts over $34 Billion in total funds under management.
Foresters Ratings
As of August 2020, The Independent Order of Foresters (Foresters Financial) financial strength, as measured by A.M. Best Company, is rated “A”, which signifies the companyโs overall financial strength and claims-paying ability.
According to Foresters Financial, The A.M. Best ratings assigned on August 5, 2020 reflect overall strength and claims-paying ability of The Independent Order of Foresters. An โAโ (Excellent) rating is assigned to companies that have a strong ability to meet their ongoing obligations to policyholders and have, on balance, excellent balance sheet strength, operating performance and business profile when compared to the standards established by A.M. Best Company. A.M.Source
If you are looking for a solid financial foundation, look no further than Foresters Financial. The company has done an excellent job of maintaining a strong financial position.
Foresters Products
Foresters Financial offers products and services in four different areas, life insurance, mutual funds, retirement and savings plans, and annuities. The primary focus of this article ill be targeting the company’s life insurance products which include:
- Term Life
- Whole Life
- Universal Life
- Variable Universal Life
- Variable Life
Foresters Life Insurance Policies
Foresters Financial offers a full range of both term life and permanent life insurance coverage.
Although there are benefits to all types of coverage, in our opinion there is a clear winner when comparing the benefits between term life insurance vs whole life insurance.
Benefits of Whole Life Insurance |
Benefits of Term Life Insurance |
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Foresters Life Insurance Policies
Plans and Features
Foresters Financial offers a comprehensive line of life insurance policies, including both term life and permanent life insurance protection.
Foresters Term Life Insurance
Foresters Life Insurance and Annuity Company offers level term coverage with 10, 15, 20, 25 and 30 year convertible term life insurance policies available.
The following riders are included at no additional charge:
- Common Carrier Accidental Death Rider: Pays your beneficiary an additional death benefit if you die due to an accidental death that occurs while you are a fare-paying passenger on a common carrier.
- Family Health Benefit Rider: A benefit that pays out if your family has expenses that occur due to natural disasters.
- Accelerated Death Benefit Rider: A portion of the death benefit is available if you are diagnosed with a qualifying illness, which may include critical, chronic, and terminal illnesses.
Universal Life Insurance
Offered through The Independent Order of Foresters, SMART Universal Life Insurance provides flexible permanent coverage with both a death benefit and cash value growth.
The policy offers a 10 year no lapse guarantee as long as you pay your premiums.
In addition, the policy offers a guaranteed 3% interest rate.
Further, the product offers additional riders at no extra cost.
- Common Carrier Accidental Death Rider
- Family Health Benefit Rider
- Accelerated Death Benefit Rider
You can also add additional riders, including:
- Childrenโs Term Rider: term coverage that can be converted to permanent coverage down the road. An inexpensive choice when considering life insurance for children.
- Accidental Death Rider: additional death benefit if death is due to accidental bodily injury.
- Disability Income Rider (Accident Only): provides a regular monthly income benefit for up to two years.
- Waiver of Monthly Deductions Rider: your premium is waived if you are totally disabled and unable to work for at least 6 months.
Variable Universal Life
Variable Universal Life from Foresters Life Insurance and Annuity Company offers the benefits of Universal Life with an additional opportunity to grow your cash value through the allocation of premiums to professionally managed sub accounts or a fixed account.
The death benefit can be increased or decreased at any time and you can choose two different death benefit options:
- Option A. Death benefit is equal to the policy’s “face amount.”
- Option B. Death benefit is equal to the sum of the policy’s face amount plus the total Cash Value.
Whole Life Insurance
Foresters offers 4 different whole life insurance plans.
Plan Right Whole Life Insurance
Final Expense Whole life Insurance protection to age 121.
- 3 Plans: Level, Graded and Modified
- Available for ages 50-85
- Face Amount: $2,000 – $35,000 based on age
Your Legacy Whole Life Insurance
Single premium whole life insurance
Interest Sensitive Whole Life Insurance
Ordinary life insurance
Advantage Plus Whole Life Insurance
Forester’s Advantage Plus Whole Life Insurance is an excellent policy offering many perks. The primary benefits provided include:
- Custom built dividend paying whole life insurance
- Available as limited pay life insurance
- Available in 20-Pay Whole Life and Paid-up at 100
- No Medical Exam Whole Life Insurance up to $400,000
- Guaranteed Insurability Rider available on issue ages 0-37
Whole Life Insurance Guarantees
Whole life insurance is permanent coverage and offers specific guarantees, including:
- Guaranteed death benefit,
- Guaranteed cash accumulation and
- Guaranteed level premiums.
Additional cash value growth is available through dividends. Although not guaranteed, Foresters has paid dividends
Dividends are valuable and can be used to:
- Purchase paid up additions
- Pay Premiums
- Earn interest with the company
- Cash Out
Foresters Whole Life Insurance Dividend History
Additional Benefits of Whole Life Insurance
In addition to the guarantees and dividends, whole life insurance also offers three additional benefits associated with cash value life insurance.
Tax free life insurance policy loans
Life insurance loans using your cash value as collateral are income tax free. And policy loans do not have to be repaid. However, if your policy lapses and you have an outstanding policy loan, it could result in a taxable event.
Tax deferred cash value growth
Cash value life insurance grows tax deferred. If you practice proper policy management, you may never need to pay taxes on the cash value growth.
Paid up additions rider (PUAR) can also be used to increase the policyโs death benefit and cash value. However, when using a PUAR it is important to understand that over funding a policy can result in the policy being considered a modified endowment contract (MEC).
Tax free death benefit
The death benefit from your policy goes to your beneficiary income tax free. A death benefit may be taxed is if your estate exceeds the federal estate tax exemption limit or you live in a state with an inheritance tax. Therefore, if you have a large estate, careful asset protection planning is necessary.
Foresters Review Conclusion
Have questions or would you like to see an illustration for Foresters or any of the other dividend paying life insurance companies we represent?
Give us a call today for a complimentary life insurance consultation with an advanced markets professional.
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29 comments
Tom Skinner
I would like to know more information on whole life insurance for my child to set up for some generational wealth thank you.
SJG
Hello Tom, thanks for connecting. It looks like you connected with Denise who is one of our top whole life experts so you’re in good hands.
Best, Steve Gibbs for I&E
Peter H
What is infinite banking for n a nut shell . No bull shit. Please
Insurance&Estates
Hi Peter, thanks for connecting. We’ve done literally dozens of “no b.s.” webinars to answer your question in detail. That said, the short summary is that infinite banking is a properly structured high cash value permanent life insurance policy that can serve as a safe bucket cash account to leverage for numerous purposes. The problem with short statement of description is that this concept may challenge some traditionally held financial sacred ideas. Check out our resources tab and infinite banking webinars to get more detail.
Best, Steve Gibbs for I&E
Matoya Hampton
I have a smart UL am I able to switch to whole life? Which is better for dividends?
Insurance&Estates
Hello Matoya, to have your current policy reviwed and do an educated comparison, go ahead and schedule a call with one of our IBC experts. A good start is to request a call with Barry or Denise by emailing barry@insuranceandestates.com.
Best, Steve Gibbs for I&E
Victor
I would like information on starting infinite banking and receiving dividends through a whole life cash growth insurance that has a solid track record with flexible
Insurance&Estates
Hello Victor, I forwarded your request to Barry Brooksby, our IBC expert, to connect with you and you can also e-mail him at barry@insuranceandestates.com.
Best, Steve Gibbs for I&E
Albert Cosio
Iโm looking for a mutually owned company with a whole life insurance with high cash value and pays dividends. I would also like to be walked through the infinite banking process. Thank you
Jerry Walker Jr
I need to have a agent break down my cash options at this time. Im a long term policy hold who do to pandemic reasons need to evaluate my potions at this time
Insurance&Estates
Hello Jerry, to get the best evaluation, go ahead and reach out to Barry Brooksby directly at barry@insuranceandestates.com.
Best, Steve Gibbs for I&E
Linda
looking to start infinite banking receiving dividends through a whole life cash growth insurance that has a solid track record with flexible premium design and paid up addition to maximize cash value accumulation regardless of a policy loan
Insurance&Estates
Hi Linda,
Our IBC Practitioner Expert, Barry Brooksby, can help you. I suggest that you connect with him directly at barry@insuranceandestates.com to schedule a call.
Best, Steve Gibbs, for I&E
Erick
I would like to know what are the cost differences between going through medical underwriting and not with a whole life insurance policy. Please email me ASAP.
Insurance&Estates
Hello Erick and thanks for reading, I suggest you pursue this question directly with a Pro Client Guide by e-mailing barry@insuranceandestates.com.
Best, I&E
Jerry Day
I currently have a 100K Term policy with Foresters and would like to convert it to Whole life policy for IBC. I have contacted a foresters agent but he does not seem to understand high cash value policies. could you help me with this?
Jerry Day -genopv1@gmail.com 559-756-1816
Insurance&Estates
Hello Jerry and thanks for commenting. Barry Brooksby or Jason Herring will be reaching out to you if they haven’t already.
Best,
I&E
Tirus T Tholen
I need more information on the
Cash-value life insurance
Insurance&Estates
Hello and thank commenting. Your inquiry has been forwarded to our Pro Client Guide team who will reach out to you ASAP.
Best, I&E
Tim Brecheen
Would like information on whole life Insurance, to use as infinite banking concept
Insurance&Estates
Hello Tim, your request has been forwarded to Jason Herring for follow up concerning IBC. Thank you and best.
Steve Gibbs for I&E
Thomas Swift
65, retired, currently no insurance. All funeral plans already in place.
Chance
Hello and thanks for making available such insightful articles on various life insurance policies, especially participating whole life. I am very interested in such a policy but a close friend (who is a financial advisor) has warned me that these policies may be scams as they pertain to personal longterm wealth growth and personal banking. My hunch is otherwise, so I’d love to find an honest agent who can help structure a policy for my needs. I’m 30, engaged, a college grad, very healthy, a small organic farmer, and I’m eager to save responsibly and invest in my business.
Jerome
IS Forester’s a non-direct recognition company?
Insurance&Estates
Hi Jerome, thanks for your inquiry and interest and yes it is.
Let us know if you’d like some more information and will connect you with a Pro Client Guide.
Best,
I&E
Windell Compton
Would like to more about your whole life insurance.
Insurance&Estates
Hi Windell, thanks for inquiring about Whole Life Insurance. One of our whole life pro client guides, Jason Herring, has e-mailed you to assist in your search. Please send him some feedback to continue the conversation when you can.
Best, Steve
Rick L.R.
…married non- Smoker. Sold insurance for 15 years. Relatively good health few problems. no cancer, diabetes or high cholesterol, or heart problems. Exercise by walking daily
Insurance&Estates
Rick,
Thank you for the contact information. We will reach out to you shortly.
Sincerely,
I&E