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Fabric Life Insurance Review 2021

Jan. 4, 2021
Insurance, Life Insurance
Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own.

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FABRIC LIFE INSURANCE

  • Rated 4 stars out of 5 by NerdWallet.
  • Fewer complaints to state regulators than expected for a company of its size.
  • No medical exam required for some term life applicants.

Launched in March 2017, Fabric sells accidental death insurance and term life insurance policies online and through its mobile app. Policies are issued by Vantis Life, a subsidiary of Penn Mutual Life Insurance.

Fabric’s application process is simple, taking as little as 10 minutes to complete, and may not require a medical exam. If you’re looking for a term life policy with potential for immediate coverage and easy online management tools, Fabric may be a good fit.

Fabric life insurance

4.0 NerdWallet rating

Fabric earned 4 stars out of 5 for overall performance. NerdWallet’s ratings are determined by our editorial team. The scoring formula takes into account complaint data from the National Association of Insurance Commissioners and financial strength ratings.

» MORE: Compare life insurance quotes

Fabric life insurance policies

Term life insurance policies are available for 10, 15 or 20 years, with coverage from $100,000 to $5 million. In some states, a 20-year term is the only option. The application involves a medical questionnaire for approval, but some applicants may also need to take a life insurance medical exam.

Fabric will match 1% of the term policy’s death benefit coverage and donate it to a charity of the policyholder’s choice. A policy can be converted into a whole life insurance policy without a medical exam. Term life insurance isn’t available in Montana or New York.

Accidental death insurance is available for people 25 to 50 years old, with no health questions or medical exam required. Applicants can choose coverage of $100,000, $250,000 or $500,000. Accidental death coverage pays out only if the insured person dies in an accident, not from any other cause, such as illness. Fabric doesn’t offer accidental death insurance in Colorado, Massachusetts, Montana, New York, North Dakota, Pennsylvania, Virginia or Washington.

» MORE: Term life insurance vs. accidental death & dismemberment

Customer complaints for Fabric life insurance

Over three years, Vantis Life Insurance, which issues policies for Fabric, has drawn fewer complaints to state regulators than expected for a company of its size, according to a NerdWallet analysis of data from the National Association of Insurance Commissioners.

» MORE: The best life insurance companies

More about Fabric life insurance

You can apply for a policy and manage your account through Fabric’s website or mobile app. Monthly premiums can be paid by debit or credit card.

Fabric’s mobile app can be used to create a free will, open a savings account or 529 college savings plan, and sync finances with your partner or spouse, including savings accounts and 401(k) retirement savings plans.

Fabric life insurance pros and cons

ProsCons
Simple online and mobile application process.Term life policies not available for longer than 20 years.
1% of death benefit coverage amount donated to a charity of the policyholder’s choice.Not available in every state.
Some applicants won’t need a medical exam for term life insurance.

Methodology: Life insurance ratings

NerdWallet’s life insurance ratings are based on weighted averages of financial strength ratings, which indicate a company’s ability to pay future claims, and complaint index scores from the National Association of Insurance Commissioners for individual life insurance. To calculate each insurer’s rating, we adjusted the scores to a curved 5-point scale.

These ratings are a guide, but we encourage you to shop around and compare several insurance quotes to find the best rate for you. NerdWallet does not receive compensation for any reviews.

Insurer complaints methodology

NerdWallet examined complaints received by state insurance regulators and reported to the National Association of Insurance Commissioners in 2016-2018. To assess how insurers compare to one another, the NAIC calculates a complaint index each year for each subsidiary, measuring its share of total complaints relative to its size, or share of total premiums in the industry. To evaluate a company’s complaint history, NerdWallet calculated a similar index for each insurer, weighted by market shares of each subsidiary, over the three-year period. Ratios are determined separately for auto, home (including renters and condo) and life insurance.