Mutual of Omaha Life Insurance Company Review

When an individual who has certain health issues applies for a fully underwritten policy, the insurance company will check into all their health-related details, and if the insurer feels that there’s a risk, it is possible that they will deny the coverage.

Luckily, just because one company has rejected your application doesn’t mean every carrier will. Each company will have various requirements and restrictions.

You not only need a company which will accept your application, but has a solid history, good financial outlook, and affordable policies. To help you along with your purchase, we have spent the time to review some of the biggest companies.

The History of Mutual of Omaha Life Insurance Company

Mutual of Omaha Life Insurance Company ReviewMutual of Omaha is a privately held Fortune 500 mutual insurance and financial services company. For more than 100 years, Mutual of Omaha has been committed to its customers’ needs by assisting them with growing, diversifying, and protecting their wealth.

Compare Life Insurance Quotes from Multiple Companies
About You
Your Health

The company began in 1909 as the Mutual Benefit Health and Accident Association, with a purpose of providing health and accident insurance in the state of Nebraska. Over just its first eight years in business, the company had more than 3,000 policyholders. In the mid-1910s, Mutual also extended coverage to working women as they flooded into the workplace to fill the vacancies left behind by the men who were fighting in World War l. By 1920, with just over a decade in the industry, the company had nearly $1.3 million in premiums and was licensed to offer coverage in 15 states.

Less than 20 years later, in 1939, Mutual was licensed in all 48 of the then-U.S. states, and two territories. It has continued to grow and thrive since that time, adding more products that help fill various customer needs.

Over the years, Mutual of Omaha has become known for many “firsts,” such as being the first insurance company to include a rehabilitation provision in its disability income protection policies, as well as a first in setting the standard for today’s wildlife and reality television programming, with the Mutual of Omaha Wild Kingdom program. Recently, the company was one of the first few insurance carriers to offer an online application for Medicare Supplement insurance coverage.

Mutual of Omaha Life Insurance Company Review

Today, Mutual of Omaha is considered to be one of the most financially sound insurance companies in the United States. As of year-end 2016, the company reported a pre-tax operating income of more than $526 million, on revenues of nearly $8 billion. Both of these figures represent an increase over its 2015 results. The company also reported an after-tax consolidated net income of more than $356.5 million, as compared with $333 million in 2015.

In 2016, the company had consolidated total assets (on December 31, 2016) of $38.5 billion, and retained earnings of roughly $5.6 billion – here, too, both figures represent an increase over the year prior.

Insurer Ratings and Better Business Bureau Grade

Given its strong financial standing, Mutual of Omaha has earned:

  • A+ (Superior) from A.M. Best Company
  • A1 (Good) from Moody’s Investor Services
  • AA- (Very Strong) from Standard and Poor’s

The company’s subsidiaries have also received high marks. For example, Companion Life Insurance Company has an A+ from A.M. Best and an AA- from Standard & Poor’s. Likewise, United World Life Insurance Company has been given an A+ from A.M. Best Company, as well as an AA- from S&P.

From the BBB, Mutual has an A+ rating (the best grade), and they also have accreditation. In fact, they’ve held accreditation since 1940.

No Exam Life Insurance Coverage Offered Through Mutual of Omaha

Mutual of Omaha offers many life insurance coverage options to choose from. This is helpful, as there is not a one-size-fits-all solution for coverage needs. The company’s products include both term and permanent plans.

Term life insurance provides affordable coverage for a set period. Your rates stay the same.

It’s “temporary” insurance coverage (due to its time limits), but this form of protection can be an excellent choice for those who are seeking financial resources for the following needs:

  • To pay off a mortgage
  • An emergency fund
  • To help to provide for an education fund
  • To pay off other personal debts

Mutual of Omaha policies are available to anyone between the ages of 30 and 74, and the coverage can remain in force until age 80. Death benefit coverage can range between $25,000 and $100,000.

When applying for Mutual of Omaha’s term life insurance protection, there are only a few health questions to answer and no exam. Because of this, policies can be issued very quickly – sometimes within just a matter of days (or even less).

*It is important to note that, while there is no medical examination required, Mutual of Omaha will order a Medical Information Bureau (MIB) report, as well as a pharmaceutical report when evaluating an individual for coverage.

Mutual of Omaha also offers permanent life insurance. This type of policy provides protection that can last for the entire lifetime of the insured (provided that the premium is paid). Permanent life insurance also offers a cash value component that allows funds to grow without paying taxes until you draw them.

In most cases, the premium will remain the same with permanent life insurance, regardless of whether he or she contracts an adverse health condition. A permanent life insurance policy could be a good fit for someone who has needs such as:

  • Paying for final expenses
  • Providing an ongoing income for their family
  • Supplementing retirement income
  • Funding an estate or business continuation plan

There are two primary types of permanent life insurance offered by Mutual of Omaha. These are whole life and universal life. Whole life insurance is guaranteed to remain in force (once approved), provided that the premium is paid. This is the case, even as the insured gets older.

The whole life insurance coverage issued by Mutual of Omaha can range in benefit between $2,000 and $25,000, and qualified applicants can be between the ages of 45 and 85 (except in New York, where the age range is 50 to 75).

As with Mutual of Omaha’s term insurance plans, there is no medical exam required on whole life insurance policy applications. There are also no health questions to answer.

These plans have a graded death benefit, which means that if the insured’s death occurs within the first two years that the policy in force, the policy’s beneficiary will receive back all of the premiums that were paid in, plus 10 percent. Once the initial two-year period has ended, the full amount of the stated death benefit will be received if the insured should die.

Mutual of Omaha also offers a children’s whole life insurance policy option. Eligible applicants are between the ages of 14 days and 17 years old. While nobody ever wants to think about it, accidents and unexpected illness can occur even with young children. Should that be the case, this policy will pay out a benefit.

It will also build cash value, which can act as a type of savings vehicle for a child. Funds grow on a tax-deferred basis, and the money can be either borrowed or withdrawn for any reason. Also, because this is a whole life plan, the premium rates will not go up – and coverage is guaranteed into the child’s adulthood, regardless of his or her future occupation and health.

Another form of permanent life – universal life insurance – is offered by Mutual of Omaha. Universal life insurance is a permanent and flexible life insurance plan that lasts for the lifetime of the insured or the life of the policy.

With universal life insurance, the benefit amount and the premiums are flexible – and, should the needs of the insured change over time, he or she may be able to either increase or decrease the amount of life insurance coverage that they have.

Universal life insurance can build up cash value on a tax-deferred basis. With no tax due on the gain (while the funds remain in the policy), the cash value can grow and compound exponentially over time.

These funds can also be borrowed or withdrawn for any reason, such as the supplementing of retirement income or even for taking a nice, long-awaited vacation.

Mutual of Omaha offers four universal life insurance policy options. These include the following:

  • Life Protection Advantage – Indexed Universal Life
  • Income Advantage – Indexed Universal Life
  • Guaranteed Universal Life – Universal Life
  • AccumUL – Universal Life

Other Products and Services Available

Mutual of Omaha sells a handful of other products. These include the following:

  • Medicare Supplement
  • Long-Term Care Insurance
  • Disability Income Insurance
  • Critical Illness Insurance
  • Cancer, Heart Attack, and Stroke Insurance
  • Dental Insurance
  • Retirement Annuities
  • Investments
  • Banking Services
  • Mortgages

The company also offers many helpful resources for it policyholders and its website visitors, such as information regarding:

  • Understanding your Medicare costs
  • How much life insurance is enough
  • How long will your money last

Should you Buy with Mutual of Omaha?

Once upon a time, buying life insurance was much simpler. Term insurance was pretty much the only option, and there weren’t a thousand carriers.

Now, there are over 6,000 companies and dozens of plans. It can make your head spin trying to pick a policy, this is where we come in.

You make a call to us, we give you quotes from 60 companies. Just think about the hours it will save you.

Ready to get started? Go ahead and call us.


Susan Wright, CLU, ChFC, RHU, REBC, ADPA, CITRMS, CIPA has been in the insurance and financial field for over 27 years. Even with years of experience, she continues to create new resources for others. Everything from books to training material.

Susan received her MBA from St. Louis University and her BA from Michigan State University.

She has worked in several areas but excels in writing material for both finances and insurance. Her goal is to give professionals credibility and assist in streamlining the sales process.

She has written countless articles for a variety of websites.

This entry was posted in Life Insurance Companies. Bookmark the permalink.

Compare Life Insurance Quotes from Multiple Companies
About You

Your Health