Sproutt is a company that offers life insurance to young people, particularly married couples and parents. Is Sproutt Life Insurance Legit or a scam? In this article, we give you information that will help you decide on taking life insurance coverage with Sproutt.
Industry: Life insurance
Founded: 2018 (formerly Aktibo)
Are you young and healthy? Life insurance is an important investment for you, no matter how young or healthy you may be. Don’t let your age and good health fool you.
However, when you think about it, gold & silver might be an even more intelligent insurance in these times, right?
About Sproutt Life Insurance
Sproutt is a startup that was founded in 2018 by Yoav Shaham, Assaf Henkin, and Itai Brickner, to make life insurance more accessible through the use of technology. Its offices are in Hartford, Connecticut; New York, and Tel Aviv, Israel.
The company uses AI to personalize policy recommendations based on a customer’s healthy behaviors. The company’s Quality of Life Index (QLI) is classified into five aspects of an individual’s lifestyle: movement, sleep, emotional health, nutrition, and balance.
Sproutt experts evaluate life insurance companies to help you find the best policy and premium. They also assess the financial strength, customer satisfaction, policy features, and riders of each insurer and give a rating of one to five stars based on their offerings and reputation in the industry.
How Sproutt Life Insurance Works
Sproutt is an independent broker that connects you with a provider and policy that matches your needs and budget. You can choose from among its selection of over 40 top-rated life insurance companies. These include AIG, Principal, SBLI, and Sagicor Life. Depending on the chosen insurer, you can get cover for;
- Term life or whole life insurance
- Non-Medical exam life insurance (such as guaranteed issue, simplified issue, final expense, and graded death benefit policies),
- A universal life insurance
- variable life insurance.
Additionally, through Sproutt you can get life insurance that can help your family cover lost income and funeral expenses in the event of your untimely death. It also protects your family from inheriting debts, such as student loans, which do not go away when you pass away.
Pros of Sproutt Life Insurance
- It is available to people ages 25 to 60
- Coverage ranges between $100,000 to $4 million
- No medical exams required
- You can Apply online as an independent broker and
- uses state-of-the-art software.
- It is a reputable life insurance company.
Cons of Sproutt Life Insurance
- It only offers term life insurance
- It has limited quote options
Sproutt’s QL Index Feature
The QL Index, Sproutt’s proprietary tool, evaluates;
- your sleep habits,
- vegetable consumption,
- positive outlook, and estimated lifespan.
This is done through a 10-minute virtual Q&A with their AI (manifested as a bespectacled leaf petal). At the end of the questionnaire, the QL Index will assign you a score out of five and provide a full report to your email with suggestions for lifestyle improvements.
Scoring well on the QL Index may not directly lower your life insurance quotes, but it can identify hidden factors that may affect your quotes in the future. Additionally, a high score on the QL Index may qualify you for Sproutt’s next perk.
The Graded Death Benefit Policy
Sproutt offers a graded death benefit policy. To apply for the policy, you only need to answer a few simple questions about your health. Once approved, the insurer will structure the death benefit based on when you die and when you took out the policy.
In many cases, the payout is graded in the following way: if you die within the first year of taking out the policy, your beneficiaries will receive 25% of the death benefit. If you die in the second year, your beneficiaries will receive 50% of the death benefit. If you die in the third year or beyond, your beneficiaries will receive 100% of the death benefit.
Sproutt’s Life Insurance Riders
Sproutt allows you to add riders to your policy during the application process with Sproutt’s system. Common options include the:
- Waiver-of-premium rider,
- Accelerated death benefit rider,
- Accidental death benefit rider,
- Critical illness benefit rider,
- The disability income benefit rider,
- The child and term insurance riders.
Applying For Term Life Insurance
You can apply for a term life insurance policy that can be completed online in about ten minutes. The application consists of answering 20 simple questions. The system also asks for
- Personal and contact information,
- Your annual income and number of dependents,
- The lifestyle and basic health history,
- Any recent traffic violations record.
Based on the information you have given, the system will recommend the best policy for you and provide quotes from various life insurance companies.
You can adjust the coverage and cost as desired, and once you are satisfied, you can move on to the next step of the application. Additionally, If you are interested in a permanent or simplified issue policy, you can speak with a licensed insurance advisor.
As an independent broker, Sproutt contracts with a large number of companies. So their rates may be similar to those offered by small, local insurance brokers with a limited number of companies they work with.
Is Sproutt Life Insurance Right For You?
Sproutt offers a distinctive approach of assessing your situation before providing quotes for life insurance coverage. It also helps to save time and money, especially if you have a less ideal medical history.
However, even if you have a clean medical history, Sproutt’s range of insurance carriers is similar to that of the largest comparison sites, and the company provides a smooth online customer experience.
Is Sproutt Life Insurance Legit?
So, is Sproutt Life Insurance a scam? The best way to decide if a company is a good one or not is (in my humble opinion) to look what rating it got from the most well-knwon and trusted independent third-party consumer protection agencies. Below are the overall ratings that Sproutt has at the moment:
BBB (Better Business Bureau) (Sproutt is NOT BBB accredited)
Overall rating: (1 / 5) (out of 1 review) click here for details (opens in new window)
Overall rating: (4.8 / 5) (out of 425 reviews) click here for details (opens in new window)
Conclusion & (something weird):
I find it a bit weird that Sproutt has received an A+ rating from the Better Business Bureau (BBB) while it in the same time have a very bad review from a client there together with a 1 out of 5 stars
plus it is NOT being accredited by the BBB.
What´s going on there?
AND, on the Sroutt official website you can see that they proudly state that they are accredited by the BBB…
However, that was clearly not the case (see screenshot from the Sproutt website below):
On Trustpilot (it looks better), Sproutt has received a rating of 4.8 out of five stars based on 425 reviews, with 89% of customers ranking the company as “excellent” and 8% ranking it as “great.”
There have been minimal negative reviews (2% 1-star), but some customers have complained about lack of responsiveness and reps not getting back promptly. Sproutt has responded to almost all negative comments on Trustpilot.
P.S. As an online insurance broker, Sproutt does not receive a financial strength rating from A.M. Best, which only rates direct insurance providers.
Frequently Asked Questions( FAQ)
Is Sproutt a legit company?
Sproutt is a licensed company with insurance brokers who are licensed to do business in various states. This means that they have met the necessary requirements and regulations to operate legally as insurance brokers in those states. Information about Sproutt’s licenses can be found on their website.
Does Sproutt have any partnerships or collaborations with other companies?
No! Sprout is an independent broker and does not have any affiliation with insurance companies. Its primary focus is on serving customers and providing them with the best options. However, they have access to a wide range of life insurance companies and regularly review and rate the top companies and products objectively, without any undisclosed biases.
What sets Sproutt apart from other companies in the same industry?
Sproutt helps people obtain insurance coverage that fits their lifestyle, preferences, and needs by combining technology and human touch to map a wide range of insurance products and companies. This allows for a seamless, transparent, and optimal way to match people with the insurance coverage they need.
What methods does Sproutt use to choose and rate an insurance company?
Sproutt rates a variety of life insurance companies based on several parameters, including financial strength, competitive pricing, product suite, ease of process, and customer reviews. This allows our readers and customers to compare and evaluate products from different companies. Our rating helps them make informed decisions about the best life insurance option for their needs.
What is a term life Insurance policy?
Term life insurance is a type of life insurance that provides coverage for a specific period of time, also known as the term of the policy. This term can range from a few years to several decades, depending on the policy. The policy typically only offers death benefits, meaning that if the policyholder passes away during the term of the policy, the policy pays out a death benefit to the named beneficiaries.
Final words & verdict
Overall rating: (3.5 / 5)
You might want to consider Sproutt if you’re looking to buy life insurance. As an online life marketplace, you can get quotes from several major insurance companies with a single application. Sproutt offers live customer support, which can be helpful for an all-online platform. They also have a Quality of Life Index that tracks and helps you improve your health if you’re proactive about it. However, keep in mind that Sproutt primarily serves younger, healthier applicants. If you’re older or have a significant health condition, you may be better served by working with an independent life insurance broker. Hopefully, this information was helpful.
As always, the decision is up to you to make, we are only here to present points of views to make that job easier for you!
Best insurance there is? (Gold & Silver)
Yes, I would think (in my humble opinion) that gold & silver is one of the best, if not the best insurance you can get in these times. There are different ways to invest in gold but physical is my favorite way without a doubt!
I hope you found this short review of Sproutt Life Insurance to be helpful and that you now have a better understanding on what it is and that it is a legit company. If you have used any of their services then please share your experience in the comment section below as it can help others!
I wish you success!
Glanz, investor and team member of goldretired.com