Gerber Life guaranteed issue: when no-questions coverage is the right call and when it isn't

Gerber Life is the carrier clients ask about by name because of the ads, and its guaranteed issue whole life is the product agents place when nothing else will issue.

What it is. No health questions, no exam. A two-year graded structure: if death from natural causes occurs in the first two years, the benefit is a return of premiums plus interest; accidental death is typically covered from day one; full benefit after two years. Face amounts are capped.

When it's right. A client with recent cancer treatment, oxygen use, a recent stroke, dialysis, dementia, or any of the conditions that decline at simplified-issue carriers. Guaranteed issue gives the family something, and it's honest about what.

When it's wrong. A client who would qualify for level or graded coverage elsewhere. Guaranteed issue is more expensive per dollar of coverage and has the two-year wait. Run the health questions before you default to it.

The conversation. Say the two-year rule out loud and write it on the leave-behind. The complaint that follows a guaranteed issue sale is always "they didn't pay the full amount," and the file has to show the client was told.

Direct-to-consumer note. Many seniors already own a Gerber policy from the TV ads or the mailer. Ask. A client with a small Gerber policy may need more coverage, not a replacement.

Process. Simple application, quick issue, draft setup.

What's your rule for when guaranteed issue is the right first answer rather than the last resort?