5 Star Life Insurance At a Glance:
- Founded in 1996
- Offers life insurance for military service members
- Part of the Armed Forces Benefit Association (AFBA)
- “A-” (excellent) rating by A.M. Best
- “A+” (excellent) rating by the Better Business Bureau
- Strong financial stability
- Offers employee, group, and individual policies
- Offers no-exam life insurance
- Coverage available to individuals and employees
- Network of independent insurance agents
5Star Life Pros: Offers coverage to military members and federal government workers, as well as first responders. Great ratings from both A.M. Best and the BBB. Strong financial strength and stability. Offers payouts for service members who are killed in the line of duty. Coverage is available to service members’ family members as well. Offers no-exam coverage. Does not penalize applicants for smoking or other choices that could influence health. Works with independent insurance agents.
5Star Life Cons: Coverage only offered to military service members, federal government employees, and first responders. Rates are higher than some comparable carriers. Carrier has not been around as long as many others. Coverage not offered through every employer. Carrier does not offer universal or whole life insurance. Concerning volume of poor ratings from customers.
What Type of Insurance Does 5Star Life Offer?
A specialty insurance company, 5Star Life focuses their efforts on life insurance. Their coverage offerings include:
- Basic life and AD&D insurance: A combination of term life insurance and accidental death and dismemberment coverage.
- Family protection plan: Includes terminal illness coverage for spouses and dependent children.
- Group accident plan: Covers treatment for employees after an accident resulting in an injury. Can also be applied to the employee’s family members.
- Group critical illness insurance: Provides payouts upon the diagnosis of illnesses in specific categories, including cardiovascular conditions and cancer diagnoses.
- Healthcare indemnity insurance: Provides cash benefits to employees who are hospitalized.
If you’re an individual or employee who is a military service member, first responder, or federal government employee and you’re in the market for life insurance, 5Star Life may be the right carrier to meet your needs.
What to Know about 5Star Life
5Star Life was founded in 1996 as a part of the AFBA, which started offering life insurance coverage to service members in 1947. Though 5Star Life is a relatively new carrier, being the primary life insurance underwriter for the AFBA, which has more than 70 years of experience in the insurance industry, aids its credibility considerably.
Coverage is offered nationwide through 5Star Life. The carrier now has more than 800,000 policyholders, and nearly $42 billion of in-force insurance. 5Star Life has also been evaluated as having better-than-average liquidity and surplus. The carrier’s LinkedIn page states that they have between 51 and 200 employees in their workforce.
The history of the AFBA and 5Star Life’s high ratings through both the BBB and A.M. Best aid the carrier’s reputation as a financially stable insurance provider. A.M. Best, the leading global credit rating agency monitoring the insurance industry, gives 5Star Life an “A-” rating, indicating the carrier is an excellent choice for insurance customers. The “A-” rating assures customers that 5Star Life Insurance is capable of offering guaranteed, secure coverage from a trustworthy and reputable carrier.
Established in 1899, A.M. Best is one of the oldest rating companies in the world. Reviews from A.M. Best indicate an insurance company’s financial strength and creditworthiness, and are based on comprehensive evaluations of the company’s operating performance, business profile, and balance sheet. For customers who aren’t as familiar with insurance companies’ reputations, A.M. Best’s rating system allows them to make an informed decision about who they can trust to meet their needs in the short term, and also to remain a strong, financially sound company in the long term.
What Discounts Does 5Star Life Offer?
Though 5Star Life doesn't readily provide information about any specific discounts offered, there are several discounts and ways to save money on premiums that are commonly offered to customers who purchase life insurance. These discounts and premium-saving hacks can include:
- Healthy blood pressure discount: Offered to life insurance customers who have what’s considered to be a healthy blood pressure upon evaluation.
- Healthy BMI discount: Offered to life insurance customers who are found to have a healthy body mass index (BMI) upon evaluation.
- Safe hobbies discount: Offered to life insurance customers who do not partake in dangerous hobbies such as sky diving, rock climbing, etc.
- Safe occupation discount: Offered to life insurance customers who work in safer occupations that are not typically life-threatening.
- Non-tobacco use discount: Offered to life insurance customers who report not using tobacco products in any form.
An independent insurance agent can help you find out for certain which specific discounts are available through 5Star Life, in order to help you get the most bang for your buck out of your coverage.
5Star Life Customer Service
5Star Life allows customers to handle customer service issues over the phone or online. The following customer service options are available:
- Claims reporting via phone or email only.
- Customer service department is available during the following hours:
|Monday-Friday||8:00 am - 6:00 pm|
5Star Life sells insurance through a large network of brokers, including independent insurance agents. These agents are also available to handle claims and insurance concerns for you, making customer service even easier.
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5Star Life FAQ
What is 5Star Life's average claim response time frame?
5Star Life provides a toll-free phone number for customers to report claims. Unfortunately, the carrier does not offer a specific claims response time frame on their official website or through their social media, though their Facebook page states that they typically respond to inquiries within one day. The carrier’s official website states that after you contact 5Star Life, they will respond “as soon as possible.”
What is 5Star Life's customer service availability?
5Star Life offer restricted customer service hours and is only available via phone Monday-Friday. However, customers can fill out the contact form on the carrier’s website or submit email inquiries at any time. The carrier also accepts and responds to messages through its Facebook and Twitter pages.
What is 5Star Life's claims process?
5Star Life handles claims primarily over the phone. Separate phone numbers are provided for family protection plan, critical illness, and group life claims, and for final expense claims. Multiple claims forms are also available through the carrier’s website. Unfortunately, however, the carrier’s official website provides virtually no other information about their claims process, including a response or reimbursement time frame, how to check a claim’s status, etc.
Does 5Star Life create a user-friendly experience for customers?
For both current and prospective insurance customers, 5Star Life’s official website leaves a lot to be desired. The website is not laid out in the most intuitive way, and a disturbing amount of pertinent information seems to be missing entirely. Further, the carrier’s options for contacting them seem extremely limited and don't induce confidence about receiving a prompt response or help with an inquiry. Claims cannot even be filed through the carrier’s website.
However, for fans of social media, 5Star Life has a presence on Facebook, Twitter, and LinkedIn, which does increase their accessibility. Overall, 5Star Life is lacking in the user-friendly department.
5Star Life Customer Reviews
|Better Business Bureau|
|“The coverage is excellent, especially when you consider the lack of exclusions and restrictions. Thank you!!”|
|“While 5Star isn’t a massive company or a household name just yet, it is beginning to make a solid footprint among the life insurance marketplace in its focus areas. 5Star is a reputable carrier and a strong choice for seniors and a select few applicants looking for no-exam coverage. With comparable premiums and the typical riders most used by consumers, 5 Star’s workplace policies could be worth considering to supplement your life insurance needs.”|
|Better Business Bureau|
|“Very poor accounting practices. Takes your money and then it gets lost and they want you to pay again even though the bank provides proof they already took your money.”|
|Better Business Bureau|
|“I have been trying to get in touch with these people to get the status on a claim on my wife that passed away on May 21, 2019. I have not gotten through for more than 3 weeks. How can these people take your insurance payments each month on time and I can't seem to get any information on this one claim. You stay on hold for 30 to 45 minutes only to be told we have to transfer you to the claims department and then you never get to speak to anyone. This is ridiculous.”|
|Better Business Bureau|
|“My wife had AFBA thru her employer. She died in July of '19. AFBA was kind enough to send me $15 of her $50 policy as "Emergency Funds.” By sending me $15, it seems to me that her death was acknowledged. I had three other life insurance companies that paid in full, no problems. I was told that I had to fill out a claim form and send in an original death certificate which I did. I wait around, nothing. I call AFBA. Well, of course they never got it. I ask them to send yet another claim form, nothing arrives. I call Mary on 10-01-19 and I'm told they have the original claim form, but no death certificate. She would check around and call me the next day. Two days later, still no call back. Today I try to call in, and of course there are no representatives to take my call. I guess my next step will be a consultation with an attorney. The only reason I gave them one star is because there is nothing lower. 5Star, they are not!”|
TrustedChoice.com's Final Review
We award 5Star Life Insurance a final rating of 3 out of 5 stars. The carrier’s affiliation with the AFBA and strong financial strength are huge pros within the insurance industry, but a concerning number of customer complaints clearly demonstrates that 5Star Life still has plenty of room to grow in certain areas. Additionally, 5Star Life’s rates are said to be higher than comparable coverage options from other carriers. The carrier’s official website also leaves much to be desired, as does their customer service availability. Most other modern insurance carriers offer claims filing online through their website, which makes 5Star Life feel a bit stuck in the past. However, the fact that 5Star Life offers no-exam life insurance policies makes them an ideal choice for customers who just want coverage without having to undergo a doctor’s visit. The carrier also offers payouts to the families of service members who are killed in the line of duty, and offers protection for policyholders’ family members, which certainly makes them a respectable choice for life insurance coverage.
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