When I help families navigate the life insurance landscape, one company that consistently comes up is Security Life Insurance Company. If you’re researching this carrier, you’re likely wondering whether they’re the right fit for your needs—and I understand why. With so many insurance companies out there, it’s crucial to understand what makes each one unique.
For a complete overview, see understanding burial insurance.
Security Life Insurance Company has been serving families for decades, and in my experience working with multiple carriers, they offer some solid options, particularly in the final expense market. But like any insurance company, they have their strengths and areas where other carriers might serve you better.
Let me walk you through everything you need to know about Security Life Insurance Company, so you can make an informed decision about your coverage.
Security Life Insurance Company: Company Background
Security Life Insurance Company of America was founded in 1892 and is headquartered in Minneapolis, Minnesota. They’re part of the ING Group, which gives them significant financial backing and stability. This is important when you’re choosing a life insurance company—you want to know they’ll be around when your beneficiaries need them most.
The company has been serving families for over 130 years, which tells me they’ve weathered multiple economic storms and market changes. That kind of longevity doesn’t happen by accident—it comes from solid financial management and a commitment to policyholders.
Financial Strength Ratings
When I evaluate any insurance company for my clients, financial strength is one of my top priorities. Here’s how Security Life Insurance Company stacks up:
- A.M. Best Rating: A- (Excellent)
- Standard & Poor’s: A-
- Moody’s: A3
These ratings indicate strong financial stability and the ability to meet policyholder obligations. While not the highest ratings in the industry, they’re solid and demonstrate a company that manages risk well.
Types of Life Insurance Offered
Security Life Insurance Company focuses primarily on final expense and simplified issue life insurance products. This specialization can be both a strength and a limitation, depending on what you’re looking for.
Final Expense Life Insurance
This is where Security Life Insurance Company really shines. Their final expense products are designed for seniors who want to ensure their funeral costs and end-of-life expenses don’t burden their families.
Key features typically include:
- Coverage amounts from $5,000 to $50,000
- Ages 50-85 eligible
- Simplified underwriting (no medical exam)
- Guaranteed acceptance options available
- Level premiums that won’t increase
I’ve worked with many families who needed exactly this type of coverage, and Security Life’s products can be competitive in this space.
Simplified Issue Whole Life
Their simplified issue products offer permanent coverage without the hassle of medical exams or extensive health questions. This makes them accessible to people who might struggle to qualify for traditional life insurance.
The trade-off, as with all simplified issue products, is higher premiums compared to fully underwritten coverage. But for someone with health issues who needs coverage, this can be a viable solution.
Security Life Insurance Company: Pros and Cons
After working with multiple carriers, I can give you an honest assessment of where Security Life Insurance Company excels and where you might want to consider alternatives.
Pros
Strong Financial Ratings: Their A- ratings across major rating agencies indicate solid financial stability.
Simplified Application Process: For final expense coverage, their application process is straightforward and doesn’t require medical exams for most applicants.
Quick Issue: Many policies can be approved and issued quickly, sometimes within days.
Senior-Focused: They understand the unique needs of older adults and have designed their products accordingly.
Guaranteed Acceptance Options: For those who can’t qualify for other coverage, they offer guaranteed issue products.
Cons
Limited Product Range: If you need term life insurance, universal life, or large amounts of coverage, you’ll need to look elsewhere.
Higher Premiums: Simplified issue and final expense products typically cost more per dollar of coverage than fully underwritten policies.
Age Restrictions: Their products are primarily designed for older adults, so younger applicants have limited options.
Coverage Limits: Maximum coverage amounts are relatively low compared to other carriers.
Who Should Consider Security Life Insurance Company?
Based on my experience, Security Life Insurance Company works best for specific situations:
Ideal Candidates
Seniors (Ages 50-85): If you’re in this age range and need coverage for final expenses, they’re worth considering.
Health Issues: If you have health problems that make it difficult to qualify for traditional life insurance, their simplified issue products might be your best option.
Quick Coverage Needs: If you need coverage issued quickly without extensive underwriting, they can deliver.
Small Coverage Amounts: If you need $50,000 or less in coverage, their products are designed for this market.
Better Options Elsewhere
Young Adults: If you’re under 50, you’ll likely find better value with term life insurance from other carriers.
Large Coverage Needs: For coverage over $100,000, fully underwritten policies from other companies will typically offer better rates.
Healthy Applicants: If you’re in good health, you’ll almost certainly get better rates with a fully underwritten policy elsewhere.
Investment Component Seekers: If you want cash value growth potential, other carriers offer more robust universal life and whole life products.
How Security Life Insurance Company Compares
In the final expense market, Security Life Insurance Company competes with companies like Colonial Penn, Mutual of Omaha, and Transamerica. Here’s how they typically stack up:
Versus Colonial Penn: Both focus on final expense, but Security Life often has more competitive rates and better underwriting.
Versus Mutual of Omaha: Mutual of Omaha offers more product variety and often better rates for healthy applicants, but Security Life might be more accessible for those with health issues.
Versus Transamerica: Transamerica has a broader product range, but Security Life specializes more deeply in the senior market.
The key is matching the right company to your specific situation. What works best for your neighbor might not be the best choice for you.
Understanding Final Expense Insurance
Since this is Security Life Insurance Company’s specialty, let me explain why final expense insurance exists and whether it makes sense for your situation.
The Problem It Solves
The average funeral in America costs between $7,000 and $12,000. Add in other end-of-life expenses—medical bills, outstanding debts, probate costs—and families can face significant financial stress during an already difficult time.
Final expense insurance is designed to cover these costs so your family can focus on grieving rather than worrying about money.
The Trade-offs
Higher cost per dollar of coverage: You’ll pay more per $1,000 of coverage compared to term life insurance.
Limited coverage amounts: Most final expense policies max out at $25,000-$50,000.
Simplified underwriting: While this makes it accessible, it also means higher premiums to account for increased risk.
When It Makes Sense
Final expense insurance makes sense when:
- You’re older (50+) and term insurance is expensive
- You have health issues that make traditional insurance difficult to obtain
- You specifically want to cover funeral and end-of-life costs
- You want permanent coverage with level premiums
What to Consider Before Applying
Before you apply with Security Life Insurance Company or any carrier, here are the key questions I ask my clients:
How Much Coverage Do You Actually Need?
Don’t just guess at this. Add up:
- Estimated funeral costs ($7,000-$12,000)
- Outstanding debts you want covered
- Any immediate expenses your family might face
- A small cushion for unexpected costs
Can You Qualify for Better Rates Elsewhere?
If you’re in decent health, it’s worth exploring fully underwritten options. Even if the application process takes longer, the premium savings over time can be substantial.
What’s Your Timeline?
If you need coverage immediately, simplified issue products make sense. If you can wait a few weeks for underwriting, you might get better rates with a traditional policy.
Are There Waiting Periods?
Some final expense policies have graded death benefits, meaning full coverage doesn’t kick in immediately. Make sure you understand these terms before applying.
Working with an Independent Agent
Here’s something important I’ve learned after years in this business: the company that’s right for one person might be completely wrong for another. Security Life Insurance Company has its place in the market, but so do dozens of other carriers.
This is why I always recommend working with an independent agent rather than going directly to any single company. When you work with a captive agent (someone who only sells one company’s products), you’re only seeing one slice of the market.
As an independent agent, I can compare Security Life Insurance Company against:
- Mutual of Omaha
- Transamerica
- Colonial Penn
- Globe Life
- American General
- Foresters
- And many others
This means finding the carrier that offers the best combination of coverage, price, and underwriting for your specific situation.
Questions to Ask Any Agent
Whether you work with me or another agent, here are the key questions to ask:
What companies do you represent? If they only work with one or two carriers, you’re not seeing all your options.
Why are you recommending this specific company? There should be clear reasons beyond “it’s what I sell.”
What are the potential downsides? Every product has trade-offs. A good agent will explain them honestly.
Can I see quotes from multiple companies? Comparison shopping is essential in life insurance.
What happens if my health changes? Understand your options for increasing or adjusting coverage later.
Common Misconceptions About Final Expense Insurance
Let me clear up some confusion I often see:
“It’s Just for Funeral Costs”
While final expenses are the primary purpose, the death benefit can be used for anything your beneficiaries need—medical bills, probate costs, or even just financial support during a difficult time.
“I Can Just Save the Money Instead”
In theory, yes. In practice, most people struggle to maintain dedicated savings for this purpose. Insurance guarantees the money will be there when needed.
“My Existing Life Insurance Is Enough”
Maybe, but many people’s life insurance needs change over time. If you have term insurance that’s about to expire or become expensive, final expense coverage can fill the gap.
“All Final Expense Policies Are the Same”
Not even close. Coverage amounts, premiums, underwriting requirements, and policy features vary significantly between companies.
Making Your Decision
Security Life Insurance Company can be a solid choice for the right person in the right situation. They offer legitimate products backed by strong financial ratings, and they serve an important market niche.
But here’s what I tell every client: don’t make this decision in isolation. Life insurance is a long-term commitment, and you want to make sure you’re getting the best value for your specific needs.
The process should be:
- Determine exactly how much coverage you need
- Understand your health and underwriting prospects
- Compare options from multiple carriers
- Choose the combination of coverage, price, and company that makes the most sense for your situation
- Security Life Insurance Company specializes in final expense and simplified issue life insurance for seniors aged 50-85, offering coverage amounts from $5,000 to $50,000 without medical exams.
- Compare Security Life’s limited coverage options and simplified underwriting process with other carriers that might offer more comprehensive products or better rates for your specific needs.
- Consider the company’s solid A- financial strength ratings from major rating agencies, indicating strong stability and ability to meet policyholder obligations over their 130+ year history.
- Evaluate whether their guaranteed acceptance options and level premiums make sense for your situation, especially if you have health issues that make traditional underwriting difficult.
- Bring any existing Security Life quotes to an independent agent for review to ensure you’re getting the best coverage and rates available in the final expense market.
The Bottom Line
Security Life Insurance Company is a legitimate insurance carrier with over 130 years of experience and solid financial ratings. Their final expense and simplified issue products serve an important market need, particularly for seniors who need coverage without extensive underwriting.
However, they’re not the right choice for everyone. If you’re young and healthy, you’ll likely find better value elsewhere. If you need large amounts of coverage or want products with cash value growth potential, other carriers offer more suitable options.
The key is understanding your options and making an informed choice based on your specific situation, not just going with the first company you research.
The life insurance market can be overwhelming, but that’s exactly why I’m here. I’ll cut through the noise, compare your options across multiple carriers, and help you find coverage that makes sense for your situation.
Related Reading
- Guaranteed Issue Final Expense Insurance: Your Complete Guide
- Affordable Final Expense Insurance: Your Complete Guide
- Burial Insurance for Seniors Over 80: Your Complete Guide
- Understanding Final Expense Insurance
Ready to see your options? Contact me for a free quote and let’s find the right fit.
