Haven Life Insurance Review
The best life insurance is term. And Haven Life Insurance claims to provide term life insurance with less fuss and cost than other companies. We put these claims to the test in our Haven Life Insurance review.
Haven Life Insurance is a 100% online, tech focused life insurance company. It provides fully medically underwritten term life insurance in as little as minutes on many policies.
The company is a relative newcomer to the life insurance field. It’s fully owned by one of the largest companies in the life insurance industry.
We spent time putting Haven Life to the test. We wanted to know whether its website is easy to use. And of course, we wondered if its premiums on life insurance were competitive.
In short, Haven Life is an excellent choice for anyone who wants to get hassle-free coverage in the shortest amount of time possible.
About Haven Life Insurance
New York City based Haven Life Insurance was founded in March, 2013. But don’t let the company’s recent founding scare you away. Haven Life is a wholly owned subsidiary of Massachusetts Mutual Life Insurance Company (“Mass Mutual”).
Mass Mutual is one the largest and best established insurance companies in the United States. The company was founded in 1851 and has over $560 billion in life insurance in force.
Third Party Ratings of Mass Mutual and Haven Life Insurance
Mass Mutual has a rating of A++ (Superior) from insurance industry ratings provider A.M. Best.
Haven Life Insurance has a Better Business Bureau rating of A+ (on a scale of A+ to F). The company has been BBB accredited since July, 2016.
Haven Life also has a Trustpilot rating of five stars out of five (Excellent), based on 284 reviews.
How Haven Life Insurance Works
Haven Life Insurance offers only term life insurance. It doesn’t offer any of the various flavors of permanent insurance, such as whole life, variable life or universal life. Their policies are available in all 50 states, plus the District of Columbia.
Unlike many traditional insurance companies, Haven Life uses a fully automated, 100% online underwriting process. They refer to this as their algorithmic underwriting process. It uses the information you provide on your application, as well as external data, such as:
- Underwriting information exchange among member insurance companies
- Pharmacy benefit managers
- Consumer reporting agencies
- Other publicly available sources
Haven Life uses sophisticated technology to analyze the data, inform you if you are qualified for coverage, or if additional medical information is needed. The entire process takes place in a matter of minutes.
Eligible applicants: In order to be eligible to apply with Haven Life Insurance, you must meet the following criteria:
- Be a U.S. citizen and resident
- Between the ages of 18 and 64
- Not active military or in the process of enlisting
- Have no intention to use the policy for business purposes
- Not planning to use the policy to replace another policy
Policy limits: Policies are available for a minimum of $100,000, up to $2 million for applicants under 60, or no more than $1 million for applicants between the ages of 60 and 64.
Policy terms: Policies feature terms of 10 years, 15 years, 20 years and 30 years.
Premium payments: Haven Life Insurance offers only one payment method, and that’s a monthly draft through a pre-authorized checking account (PAC). The draft takes place on the “monthinversary” of your policy effective date. There is currently no capability to make annual, semi-annual, or quarterly payments.
Payments include a 31-day grace period. Within that time, you can make the premium payment with no lapse in coverage, nor any interest charged on the late payment.
Customer service: Available by phone and live chat, Monday through Friday, 9:00 AM to 6:00 PM, Eastern Time. If assistance is needed after business hours, customer service is available by email.
Haven Life Insurance Policy Features
All life insurance companies have certain provisions, in addition to the basic death benefit. Haven Life Insurance has the following provisions:
Level Premium: Your monthly premium payment will remain fixed throughout the length of the policy term. If your payment is $30 per month, and you have a 20-year term policy, the premium will not change for 20 years.
Accelerated Death Benefit: This provision provides you with access to a portion of your policies death benefit should you become terminally ill. This is defined as an illness with a diagnosis ranging from 12 to 24 months to live. It allows you to collect a significant portion of the death benefit while you are still living. The proceeds are mainly to cover medical expenses, but can be used for just about any purpose. The amount advanced against the death benefit accrues interest, and reduces the final death benefit.
Waiver of premium: In the event you become fully disabled due to either illness or injury, you will not have to make premium payments during the full duration of the disability. If the disability lasts longer than six months, you will be entitled to a full refund of premiums paid since the date of disability (since it often takes several months to establish a disability determination). This provision is available only on applicants under age 50, and does require an additional monthly fee.
Period of Contestability: All policies include this provision, and it’s fairly common in the insurance industry. For the first two years the policy is in force, the insurance company has the option to not pay the death benefit if death is the result of suicide. The company also has the right to contest payment of the death benefit due to other factors, such as information not disclosed on the application. This means that if you die within two years of the effective date of the policy, the company has the right to review the claim, to determine if payment will be made.
Free Look Period: In some states, you may have at least 10 days from when the policy is presented to decide if you want to accept it. This gives you an opportunity to read the insurance contract, and decide if you want to accept it. Should you decide to cancel for any reason, you can get a complete refund of your premium paid within 7 to 10 business days.
Haven Life Insurance Quotes
Obtaining life insurance quotes is one of the big advantages that Haven Life Insurance provides. In my experience, most life insurance companies require you to provide uncomfortable amounts of information, only after which you will be contacted by an agent. It’s a jumping-through-fiery-hoops process, usually followed by repeated solicitations.
With Haven Life, there’s none of that circus. You answer a few questions–without even disclosing any personal contact information–and you get quotes instantaneously. It couldn’t be easier.
The series of six questions is as follows:
- I identify as: male/female
- I was born on: enter birthdate
- I use nicotine containing products: yes/no
- I consider my health: average/good/excellent
- I’m looking for a coverage amount of: increments from $100,000 up to $2 million
- With a policy length of: 10/15/20/30 years
Once completed, you hit the “Calculate” button beneath, and your quotes appear immediately.
I entered information for a 40 year-old male, non-smoker, in excellent health, for a $500,000 20 year term policy, and got the following results:
I then entered information for a 40 year-old female, non-smoker, in excellent health, for a $500,000 20 year term policy, and got the following results:
Now notice that even though I entered both profiles as being in excellent health, the quotes provided showed monthly premium rates for all three health classes–excellent, good and average.
This isn’t just a mere convenience. One of the issues in applying for life insurance is that health level is highly subjective. It’s not unusual for applicants to state their health is excellent, then the insurance company–based on a search of your medical records–comes back with a rating of “good” or “average”. The advantage with a quote from Haven Life is that you will already know the premium range of the lower health classifications.
It’s important to remember that the quote you receive is just the starting point. You must still make application, and in many cases it will take a few weeks to get from the quote to policy issuance.
Haven Life Insurance Application Process
Like the life insurance quote, the application process takes place completely online. Naturally, the process is more involved and will take more time, though there is a fast-track process that can bring an approval immediately. We’ll get into that shortly.
To get started, you’ll need the following information:
- Driver’s license number and expiration date
- Social Security Number
- Current height and weight
- Personal and family medical history
- Your financial information, including salary and existing debt
- Lifestyle and health history information
- Ages of your dependents and intention to cover future college education costs
- Your spouse’s age and income
- Contact information for your primary care physician
InstantTerm. This is the fast-track approval. It provides an immediate decision on your eligibility for coverage, that way you can get coverage upon signing your documents and making your initial premium payment.
It works this way:
Option One: If you qualify for InstantTerm, you will not be required to take a medical exam. This will be possible for qualified, healthy applicants, up to age 45, applying for no more than $1 million in coverage. This will require that you are absolutely truthful in completing the insurance application, and that information is verified as accurate by third-party sources.
Option Two: If it’s determined that you do need to take a medical exam, the final approval process will take longer. Once the exam has been completed, and labs have been processed–which will generally take between seven and 10 days–the final approval can be issued. This can extend the final approval by an additional 2 to 4 weeks, depending upon how quickly the medical exam is scheduled and all results are in. This will generally happen if underwriting has concerns, either with the information in your application, or from third-party sources.
The medical exam involves a paramedic coming to your home or office. It will be scheduled at a date, time and location that works best for you. The exam will typically require that you provide blood in urine samples, and that other tests be performed as deemed necessary by underwriting.
Haven Life Insurance Pros and Cons
- Quick and easy life insurance quotes. You answer a few questions online, and get a quote back instantly. Most insurance companies collect your information, then have an agent contact you, making for a more complicated process just to get a quote.
- If you qualify for InstantTerm, final approval can be had within minutes of application, rather than the four-to-six weeks it takes for traditional life insurance underwriting approval.
- The quote you receive provides premium rates for all three health classifications, excellent, good an average. There’s less of a surprise if the final approval comes back with a lower rating.
- You can get the benefit of a fully medically underwritten premium rate, even though a medical exam isn’t required.
- Haven Life does not offer the ability to replace an existing life insurance policy.
- A noncitizen, or nonresident of the US is not eligible for coverage.
- You can purchase a policy for yourself and either your partner or spouse. But policies are not available for other members of your family, including your children.
- Term coverage only, no permanent options are offered.
- There is no provision for a Haven Life term policy to be converted to permanent life insurance.
- No coverage available for applicants over 64.
Should You Get Life Insurance from Haven Life Insurance?
Haven Life Insurance is an excellent choice if you want a hassle-free term life insurance policy in the shortest time possible. And if you’re young, in excellent health, and not a fan of medical exams, you can take advantage of Haven Life’s InstantTerm approval.
That’s no small advantage. A lot of people really don’t like undergoing medical exams. With other life insurance companies, a no-medical exam policy will result in a higher premium, and offer a much smaller policy. With Haven Life’s InstantTerm, you can get the same premium as you would on a policy with a medical exam, but without the exam.
There are some disadvantages to Haven Life Insurance, as described in the “Cons” above. And any time you’re shopping for life insurance, you should always get quotes from several companies. This is even more important if you do have less than perfect health.
But other than those caveats, Haven Life Insurance should be on your short list of carriers if you’re in the market for a policy.