What Is BMI Super Preferred Life Insurance?
BMI Super Preferred is a type of whole life insurance offered by BMI (Bureau of Insurance) that provides a guaranteed death benefit with a cash value component. Unlike term life, it lasts for the policyholder's lifetime and builds equity over time.
More from this site
Keep reading the latest coverage
Eligibility and Underwriting
To qualify for the Super Preferred rating, applicants must meet strict health, age, and lifestyle criteria:
- Age 18‑65 (varies by state)
- Non-smoker or smoker with a minimum 5‑year quit period
- BMI under 30 (hence the name)
- No major pre‑existing conditions
Underwriting typically involves a medical exam, lab work, and a review of medical history. Applicants who pass receive a "Super Preferred" rating, which can lower premiums by 10‑20% compared to standard whole life.
Key Benefits
The Super Preferred policy offers several advantages:
- Lifetime coverage with a guaranteed death benefit
- Cash value growth at a guaranteed rate (often 2‑3% annually)
- Policy loans available with flexible repayment
- Potential dividends if the insurer performs well
How It Compares to Standard Whole Life
Below is a quick comparison:
| Feature | Super Preferred | Standard Whole Life |
|---|---|---|
| Premium Discount | 10‑20% lower | Standard rates |
| Cash Value Growth | Guaranteed 2‑3% | Variable, insurer‑dependent |
| Eligibility | Strict health criteria | More inclusive |
Costs and Pricing
Premiums are calculated based on age, gender, health, and coverage amount. A typical $500,000 Super Preferred policy for a 35‑year‑old non‑smoker might cost $1,200–$1,500 per year, whereas a comparable standard policy could be $1,500–$2,000.
When Is It Right for You?
Consider Super Preferred if:
- You have a stable, healthy lifestyle and meet BMI criteria
- You want lifetime coverage with a cash value component
- You're willing to lock in a higher initial premium for long‑term savings
Application Process
The steps are:
- Complete an application online or via agent
- Schedule a medical exam
- Submit lab results and medical records
- Receive underwriting decision (usually within 7‑10 business days)
Common Misconceptions
1. "Super Preferred means no medical exam." A medical exam is still required.
2. "Premiums stay fixed forever." While rates are guaranteed for the policy's duration, they can be higher than term life.
3. "You can't borrow against cash value." Policy loans are available but must be repaid to avoid reducing the death benefit.