Colonial Penn Burial Insurance Review

Item: Colonial Penn
Author: The Secure Final Plan Insurance Team

Independent review by Secure Final Plan. We are a brokerage, not Colonial Penn — we compare its products against other carriers we represent.

By The Secure Final Plan Insurance Team · Reviewed by a licensed insurance agent · how we review

Last updated July 21, 2026

Carrier facts

A.M. Best rating: A (Excellent) · source
Headquarters: Philadelphia, Pennsylvania

Colonial Penn is the most heavily advertised name in guaranteed acceptance life insurance — per its website, it has sold direct-to-consumer since 1957, offers guaranteed acceptance whole life for ages 50–85 in most states, and is rated A (Excellent) by A.M. Best.

How the famous “$9.95 plan” really works

Colonial Penn prices coverage in units, with options starting at $9.95 per month. The unit price is fixed — but the death benefit one unit buys is not: it depends on your age, gender, and state, and it shrinks as your age at purchase rises. A budget-friendly monthly number can therefore translate to a modest face amount at older ages. Up to 25 units can be combined for a larger benefit. None of this is hidden — it’s in Colonial Penn’s own product description — but many shoppers miss it.

The two-year limited benefit period

Because acceptance is guaranteed with no health questions, Colonial Penn’s guaranteed acceptance policy includes a two-year limited benefit period. Passing away from natural causes during those first two years returns a limited benefit rather than the full face amount.

The independent alternative

Guaranteed acceptance exists for people health questions would decline. If that’s genuinely your situation, Colonial Penn is a legitimate option worth comparing. If you can answer a few health questions, simplified issue policies typically offer first-day coverage and more benefit per dollar. We compare both paths across the carriers we represent and show you the math.

Strengths

True guaranteed acceptance ages 50–85 in most states — no exams, no health questions
Fixed price per unit that never increases once purchased
Direct-to-consumer since 1957, per the company

Drawbacks

Unit pricing obscures the actual coverage amount — the benefit a unit buys shrinks with age
Two-year limited benefit period on guaranteed acceptance policies
Coverage per dollar is often lower than simplified issue alternatives for people who can answer health questions

The independent alternative

Compare Colonial Penn against other carriers — in one call

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Estimates only, based on illustrative sample rates — not a quote or an offer of coverage. Actual premiums are set by the issuing carrier and vary by state, age, health, and tobacco use. Coverage is not bound until confirmed in writing by the carrier.

Frequently asked questions

How does Colonial Penn's $9.95 plan actually work?

Colonial Penn sells guaranteed acceptance coverage in units with options starting at $9.95 per month, per its site. The price per unit is fixed, but the death benefit one unit buys depends on your age, gender, and state — the older you are, the less coverage each unit provides. Up to 25 units can be purchased.

Does Colonial Penn have a waiting period?

Yes. Its guaranteed acceptance whole life includes a two-year limited benefit period. Colonial Penn states coverage is guaranteed because of this period — death from natural causes in the first two years doesn't pay the full face amount.

Can Colonial Penn turn me down?

Not for health reasons on its guaranteed acceptance product: ages 50–85 in most states are accepted with no medical exam and no health questions, per colonialpenn.com.

Is there a better option than Colonial Penn?

If you can answer a few health questions, simplified issue policies frequently offer full first-day coverage and more benefit per premium dollar. Guaranteed acceptance is the right tool only when health questions would decline you — an independent comparison shows which side you're on.