The best life insurance companies are not hard to research!
With the internet at your fingertips, it only takes minutes to review the financial strength of a life insurance company. It’s an important financial decision – and it is one that may impact the financial future of you, as well as your family or beneficiaries for years to come.
In many instances, a plan will be in force for a number of years before a claim is filed and a tax-free death benefit is received by your loved ones. It’s critical for you to know how to determine the best life insurance companies in the market today.
Even more important, to recognize which carriers are likely to still be in business for many years in the future to pay your important life insurance claim.
Buying a plan isn’t as easy as going to the first agency you find. If you do that, you’ll pay way more than you should.
Recommended Top Ten Life Insurance Carriers In 2020
Are you looking for speed, convenience, and the financial strength of a billion-dollar carrier? Haven Life is an excellent choice when deciding on a life insurance carrier. Simple and easy online application, often with no medical exam required. What more could you ask for? Learn more about this company by reading our Haven Life Insurance Review!
Interested in a guaranteed whole life policy for final expenses? Apply in five minutes over the phone and be covered in less than a day. AIG offers an excellent policy backed by a financially strong, well-respected carrier. Learn more about this company by reading our AIG Life Insurance Review.
Owned by Legal & General America, the 9th largest insurance company in the world, Banner Life is deeply committed to providing low term insurance rates. With over 10 million customers worldwide, Legal & General’s reputation is stellar. Banner’s focus is on excellent customer service and timely payouts. Learn more about this company by reading our Banner Life Insurance Review.
Truly an American institution. Mutual of Omaha’s name recognition is 2nd to none. Providing numerous term policies, guaranteed issue policies and whole life insurance, Mutual of Omaha is a smart choice when choosing a life insurance policy. Financially strong with a trusted track record. Learn more about this company by reading our Mutual of Omaha Life Insurance Review.
Did someone mention speed? Sagicor is one of the fastest carriers in the industry when it comes to application approvals. They offer no exam policies up to One million $$. Application is easy and completed on a phone call. Fabulous underwriting efficiencies resulting in unprecedented approval results. If you desire fast, quick and no exam, Sagicor is a “must see” carrier. Learn more about this company by reading our Sagicor Life Insurance Review.
Seeking strength, trust and a wide variety of life insurance options? Transamerica is up to the task. Founded in 1928 with a top-rated A+ from A.M. Best, Transamerica is a household name in the insurance industry. Learn more about this company by reading our Transamerica Life Insurance Review.
With over the telephone applications and no exam options, American National is a popular choice when seeking a life insurance policy with a strong carrier. Founded in 1905 and enjoying a prestigious “A” rating from A.M. Best, you can feel confident doing business with this carrier. Learn more about this company by reading our American National Life Insurance Review.
Seeking a stable, strong and innovative life carrier? Then you must take a moment and look at North American Company, established in 1886. Offering a wide range of term, whole life and indexed universal life policies, North American is an excellent solution for your life insurance needs. Learn more about this company by reading our North American Life Insurance Review.
Foresters is fast becoming a terrific choice for those seeking a no exam policy for older insureds. Noted for excellent underwriting and quick processing, Foresters is well-worth your time to review a quote. Learn more about this company by reading our Foresters Life Insurance Review.
Noted for their superior ratings and wide range of products, Principal Financials’ reputation is stellar in the life insurance industry. Underwriting completion is often two days or less. No exam policies offered up to $1M. Learn more about this company by reading our Principal Life Insurance Company Review.
There are some additional life insurance companies that didn’t make our top 10 list, but may still be able to provide you with the best policy. These companies may specialize in a single type of coverage or offer services and discounts that are worth researching.
- AARP Life Insurance
- American Amicable Life Insurance
- Assurity Life Insurance
- Bestow Life Insurance
- Columbian Mutual Life Insurance
- Fidelity Life Insurance
- Geico Life Insurance
- Gerber Life Insurance
- Globe Life Insurance
- Lincoln Financial Life Insurance
- Navy Mutual Life Insurance
- Phoenix Life Insurance
- Prudential Life Insurance
- Reliastar Life Insurance
How To Determine The Best Life Insurance Companies
Locating a reputable life insurance company involves finding out various criteria that, when combined, signal that the insurer is financially sound and always pays it claims.
To conduct business in a particular state, insurance companies are required to meet certain standards, as well as to comply with specific state insurance regulations and laws. If a consumer does purchase insurance from a company that is not licensed, he or she will have little recourse if they have an issue. Worse yet, should an unlicensed insurer go out of business due to bankruptcy, consumers who own policies through that company will have no protection under the state’s guaranty associations.
Each state has its own department of insurance. These agencies can provide consumers with important information such as:
- Whether the insurance company is licensed in a particular state (or is licensed at all as an insurer);
- The length of time that the company has held its license;
- The company’s contact information such as its address and phone number;
- Statistics on any complaints that have been filed on the company, as well as the number of such complaints that have been filed over the past few years;
- The ratings that the insurance company rating agencies have assigned to the company.
What the Life Insurance Company Ratings Mean
Life insurance company ratings can be compared in many ways to a “report card.” There are two key areas in which insurers are typically rated. The first factor includes the company’s financial strength. Here, an insurance company is rated based on a quantitative and qualitative analysis of its operating performance, the strength of its balance sheet, and its overall business profile. Letter grades (A+, A, A-, B+, B, B-) are used to indicate how an insurer rates in this category.
Life insurance companies are also rated based upon their financial size. This rating can offer an indication of the total size of an insurer based on several factors, including its technical or conditional reserve funds, its policyholder surplus, other investment and operating contingency funds, and various other miscellaneous reserves that are reported as being liabilities.
While each of these agencies provides ratings that differ somewhat from each other, overall the insurance companies with the higher letter grade marks are considered to be the most stable and financially secure in terms of payment of their insurance claims.
Life insurance company ratings may be obtained via phone, through the mail, or on the Internet. In checking with a rating agency, it is important to understand what the ratings that are assigned to a particular company mean. It is also a good idea to compare an insurer’s current ratings with any past ratings that it has received to get a clearer picture of whether or not the company has run into any recent financial or liquidity issues.
Getting Cheap Life Insurance
A very common reason that people do not purchase life insurance is that they assume a policy is going to be too much for their budget. In many cases, this is just not accurate. There are numerous ways you can ensure that you’re getting the lowest premiums available.
Eliminating tobacco usage is one of the first things that you could do to decrease your life insurance premiums. If you smoke, you can expect to pay much higher premiums, up to twice as much as those who do not smoke.
Start a healthy diet and getting regular exercise. Both of these behavior adjustments can help you lose weight, lower your cholesterol, decrease your blood pressure and drastically lower your odds of being diagnosed with severe health issues. This is a good start to achieve better results from your medical exam, which is going to translate into much lower premiums.
We suggest the same thing to every person we talk to – use an independent broker. They work with many different highly rated insurance companies across the nation. Your agent does all the legwork and pre-screening for you to save you time and aggravation.
Locating The Top Life Insurance Companies
It is very easy and free to locate the strongest life insurance companies. Simply complete the free quoting form located on this page (right-hand side), and you will receive multiple life insurance quotes in seconds. Your next step? You may look up the insurance companies online to review their overall financial strength. Or… you can chat with an independent life insurance agent.
Your agent will have experience working with each insurance carrier and will offer their professional insight to match you with the right carrier and the best type of policy for your needs.
For example, certain life carriers have very tough underwriting; meaning you must be in excellent health to qualify for a life policy. On the other hand, some carriers are very lenient with their underwriting and accept less-than-perfectly healthy applicants. A professional agent will know which company to recommend after a brief conversation.
Your agent can direct you to the best no exam life carriers if that is the type of policy you are seeking. Your health will determine which specific life carrier your agent will recommend to you.
If your health is excellent than a company that requires a medical exam makes perfect sense as you will generally enjoy lower premiums compared to a no exam policy.
The key to working with a life insurance carrier is reviewing their financial strength, length of years in operation and input from your independent agent.
When making any type of financial decision, it is important to go into the process with a good understanding of where your funds are being used. Especially when working with an insurance company. Remember why you are buying life insurance in the first place. It is to protect the ones you love from having to start a “go fund me” page to help pay for food and the rent or mortgage. It is difficult enough to lose a loved one unexpectedly. It is even more painful to come to grips with the realization that come next Friday there will be no paycheck to pay your many bills.
Calculating Your Life Insurance Needs
Can you be sure your policy is big enough? Yes – you just have to do math.
To begin, you need to add up debts. What will your family be responsible for? How much debt will they have to pay?
Next, let’s examine your annual income if you are the main source of income, or if your spouse is the main source of income. Life insurance needs to be purchased on the primary wage earner. I recommend at least 5 – 10X your annual income in life insurance to adequately protect your loved ones from your unexpected death.
TIP: Remember this clearly. It is not the person who passes away unexpectedly that has to pay the bills and raise the children for the next 20 years. It is the surviving spouse. It is the survivor who will be suffering emotionally and financially from the loss of their spouse. With insurance rates at an all-time low, it is highly recommended you get started today and gather quotes and start an application to get your family protected
They say it is “better to be five years early in buying a life insurance policy than five minutes too late.”. Good words to live by.
Life insurance is truly “love insurance”. Protect those you love the most today.
We suggest you gather a free quote with our easy quoting form located on this website. Easy, fast and convenient quotes, from the best life insurance companies, at your fingertips!
For any other tips regarding life insurance, check out our comprehensive Guide to Life Insurance.