I saw an ad for Ethos on TikTok. They claim they can get me $1 million in coverage for $6 a day (term policy). Is it really that simple, or is there a catch?
As a broker, I’ve stopped using Ethos. The rates they show upfront are rarely what you end up paying once you go through the process. They almost always come back higher.
You’re better off getting quotes from companies like Mutual of Omaha, Banner, or Foresters. Or work with a broker who can shop around for you.
@Tegan
Exactly. Feels like a bait-and-switch, and they offer little help when rates come back higher than expected.
Cooper said:
@Tegan
Exactly. Feels like a bait-and-switch, and they offer little help when rates come back higher than expected.
Ethos actually assesses risk upfront using data points from multiple sources.
When people see a different rate than expected, it’s often because the system flags something in their medical or prescription history that wasn’t mentioned in the application. This is why some quotes don’t match final pricing.
@Skylar
That sounds nice in theory, but in practice, their system is unpredictable. Many people get quoted one price, only to find out later that the final rate is much higher. I’ve seen this too many times.
@Tegan
The ad pricing is based on a best-case scenario—a young, healthy person getting a short-term policy. Most people won’t qualify for that rate.
It’s just marketing. Many companies advertise low prices based on ideal conditions, but few people actually qualify for those rates. It’s similar to what Globe Life has been doing for years.
Joss said:
It’s just marketing. Many companies advertise low prices based on ideal conditions, but few people actually qualify for those rates. It’s similar to what Globe Life has been doing for years.
Can you explain more?
@Keaton
Sure. If you click through the ad and start the application, you’ll find that:
- You won’t get the $1M for $6/day offer unless you fit a very specific profile.
- If they do offer $1M, it may be an accidental death policy, not regular term life.
You might be able to find better rates elsewhere, especially with a broker. Ethos is convenient, but their pricing isn’t always the best. They also recently added a term policy with living benefits, which is a nice feature.
If you want something fast and don’t want to deal with a broker, Ethos works. But be aware that the price you see in the ad may not be what you actually pay.
Ethos is just a platform that works with different life insurance companies. Their policies aren’t great, and their pricing is often misleading. They lure people in with low rates, then hit them with higher premiums after underwriting.
I sell Ethos policies, so here’s the real deal:
Ethos isn’t an insurance company. They’re a broker that partners with companies like Banner Life, Ameritas, Trustage, and John Hancock. The application process is quick, and in many cases, you can get approved in minutes without a medical exam.
But it’s not the cheapest option. You’re paying for convenience. If you want the absolute best rates, you’ll probably do better working with an independent broker.
As for the ads, the rates they show are for the healthiest applicants. If you don’t meet their top-tier criteria, your price will be higher.
@Phoenix
That was helpful, thanks.
I applied with Ethos but got denied because I had suicidal thoughts over 10 years ago. They also quoted way higher rates than their ad. Felt like clickbait to me.
Since Ethos doesn’t require medical exams for many policies, they take on more risk. That means higher premiums for consumers. You can probably get a better price if you’re willing to do a full underwriting process.
You have to qualify for the advertised rate, and most people won’t. But the company itself is legit.
The catch is that some of their policies increase in cost every five years. Always read the fine print before signing up.
Bex said:
The catch is that some of their policies increase in cost every five years. Always read the fine print before signing up.
That only applies to certain policies. If you get a standard term policy, the rate stays fixed.