Reviewed: Gerber Guaranteed Issue Life Insurance

We will examine Gerber guaranteed issue life insurance – the benefits, qualifications, and details in the fine print. 

Guaranteed life insurance products offer peace of mind to someone who might otherwise be uninsurable due to medical conditions, health history, and other hurdles in the application process. Companies offer this type of guaranteed acceptance policy so that every family has the ability to cover burial costs and medical bills with life insurance protection.

Let’s take a look. 

Quick Summary

Gerber guaranteed issue life insurance offers a whole life policy (plus cash value accumulation) with no health questions or medical exam. (Click here for other types of no exam policies.)

Everyone gets accepted. 

Gerber Life Insurance Company also offers a surrender option if you find you no longer want the policy after several years. 

You can compare rates to other guaranteed issue policies using the free instant quotes tool on this page. Two other great guaranteed issue policies with fast turnaround times are AIG GIWL and Great Western.

Gerber Life Guaranteed Issue Life Insurance

Gerber offers quality policies at reasonable rates and has a financial strength rating of A from AM Best

They were one of the first to offer policies for children, ensuring that kids with medical conditions in childhood could have insurance when they grew up. 

The Basics

Gerber’s guaranteed issue life insurance policy offers a whole life insurance policy to anyone between 50 and 80 years old. Unlike term life insurance, this type of life insurance coverage lasts until it matures (i.e., pays out) at age 121.

The coverage amount starts at $5,000 and caps at $25,000. 

South Dakota limits the amount of coverage to a $15,000 maximum. This policy is not available in Montana. However, we have other options that will work if you live there.

Since there are no health questions and everyone qualifies for this policy, it has a graded death benefit. This means that if there is a death within the first two years, the policy pays out a reduced benefit. The graded structure works as follows:

  • Year 1 – 110% of premiums paid
  • Year 2 – 110% of premiums paid
  • Year 3 – 100% of benefits

Even though this policy has a graded death benefit, deaths resulting from an accident pay out at the full benefit from day 1 of the policy.

You can buy the policy online, although Gerber does require an insurance agent for the process. You’ll contact an independent agent, like the ones here at Abrams Insurance Solutions. They’ll send you the quote and can facilitate you signing everything over email. Once Gerber issues you the policy, the cost is locked in. You will never pay higher premiums.

Gerber Guaranteed Issue Brochure

You can take the brochure with you as you compare different guaranteed issue life insurance plans. Remember, the best way to save money is by comparing policies. It also has a chart with sample monthly premiums.

Gerber also has a PDF you can print and fill out to offer guidance to your heirs. It explains your insurance policies, where you keep your trust papers, wishes for final rights, and that type of information. 

The Fine Print

At the three-year mark on your policy, you get extra perks. 

You’ve moved beyond the graded benefit period. But you also get cash-out options. 

If at any point you decide that you don’t need the policy or don’t want to keep paying the premiums, you can do one of two things. 

First, notify your insurance agent that you want to do a cash surrender. 

This lets you surrender your policy for the accumulated cash value. Gerber sends you a check for the current amount, minus any previous loans from the cash value. You no longer have to keep paying for a life insurance policy you don’t need. 

Second, you can notify your agent that you want the Reduced Paid Up option. This option locks your benefits in place based on the policy’s accumulated cash value

Think of it as locking in the benefit for the premium amount you’ve paid so far. 

Gerber Guaranteed Issue has an additional feature we particularly like. It also kicks in after three years of policy ownership. 

If you don’t pay your premiums by the end of the grace period, Gerber won’t just cancel your policy. They’ll automatically change it to a reduced paid up option. 

Gerber Guaranteed Life Insurance Rates

The chart below shows sample monthly rates. Guaranteed issue policies do not have health classes, and some variations may exist between states. 

Gerber guaranteed issue life insurance rates


What does guaranteed issue amount mean in life insurance? 

A guaranteed life insurance policy simply means that the policy accepts everyone regardless of any health conditions. As long as the person falls within the age range for the product, they will qualify. These plans often have a lower face amount than traditional life insurance, but will still cover the average cost of a funeral in the United States ($10,000.)

Occasionally, you will see other conditions on a guaranteed issue product, like the company will not accept someone when another person has Power of Attorney. 

Can you cash out a Gerber Life plan? 

You can cash out the Gerber Life guaranteed issue life insurance policy. If you no longer need it and have held the policy for three years, let your agent know that you want to do a “cash surrender.”

They will help you get the paperwork and can tell you what your cash-out check will be. 

Does Gerber life insurance pay for suicidal death? 

Gerber’s guaranteed issue policy covers suicide after the 2-year graded portion. If suicide occurs within the first two years of policy ownership, then Gerber will return the premiums paid plus 10%. 

Is Gerber life insurance worth it? 

Gerber has a great reputation within the life insurance industry. The best life insurance for you will depend on your insurance goals and your health. Gerber’s guaranteed issue policy is one of the best choices for seniors who may not otherwise be able to qualify for life insurance. You can read reviews of their product on their website.


Gerber offers one of the best guaranteed issue life insurance policies on the market. It has competitive rates, a cash value accumulation, and a fantastic cash-out feature. It’s also one of the fastest life insurance policies available.

You can also lock in the benefit for the current cash value if you find yourself unable to keep up with the premiums. 

The best way to save money is to shop around. Use the instant quotes tool on this page to compare rates. You can also have us compare policies for you by calling (858) 703-6178. We will also compare riders and policy details to get you the right policy for the lowest possible price. 

How Abrams Insurance Solutions Can Help

We’re a small, family-owned, independent insurance agency. We focus on helping clients get the best policy possible for the least amount of money. Whether finding a policy for someone who has been declined before or ways to cover final expenses and build financial stability, we will shop the market until we find the best option for your unique family needs.