Getting a life insurance policy that can provide you with a plethora of benefits can be difficult, but finding a company that suits your needs is a whole other story. Senior citizens who are looking to buy life insurance generally do not know the best companies to buy from and they may end up getting less than their worth.
What is Life Insurance?
Life insurance, at its root, is a financial safety net for the family of a dead individual. When the insured person dies, the named beneficiary receives the death benefit from the life insurer as a means to protect from the impact of the financial loss that occurs after the insured’s death.
This is simply the definition of life insurance. However, a myriad of policies is available that can provide a savings component along with the insurance pay off.
Why do Seniors Need it?
There are various reasons why life insurance is necessary, especially for seniors. Some seniors may use life insurance to cover their financial expenses, while others use it to provide financial security to their beneficiaries after they die.
Life insurance is a necessary financial net to have because of the benefits it provides you and your loved ones. It may seem like too much of a hassle when you make payments according to your policy, but the payback is worth it. In addition, depending on your policy, you can reap various benefits by having life insurance. After all, it’s one of the last major investments most people make.
What Should I Be Looking For?
When looking for the best life insurance policy, the three main components to focus on include:
- The company
- The product
- The value
It is very important to find a company that you are comfortable with. You need to ensure that the company you choose is certified and doesn’t commit insurance fraud. A trustworthy and affordable company is essential to ensure that your money remains in safe hands. The company you choose will also guide you to the correct product that you should consider buying.
The product or policy that you choose from the company you select needs to cater to your specific needs, otherwise, you may end up with a policy that you do not need. Your policy needs to help you achieve your specific financial aims and not burden you with unnecessary payments.
The value of the policy you choose is the most important aspect of it as your primary aim would be to pay less for greater benefits. The value will also be the difference between accepting one policy and rejecting another as many policies come quite close to each other with regards to their value.
What is the Best Life Insurance Policy for Seniors?
With all of the different types of life insurance policies available nowadays, you may get confused about the best one for you, especially if you are a first-time buyer. While it may seem possible to determine the best overall policy for seniors, your decision should solely depend on your needs and goals.
However, one of the most popular insurance policies for seniors is guaranteed universal life insurance (GUL). This insurance is a permanent type that includes both protection and savings components. The benefits of this policy include death benefits, premium payments, and a savings component.
What are the Best Life Insurance Companies?
The first issue that needs to be handled when you decide to buy an insurance policy is to find the best, most trustworthy and affordable company for you. There are an infinite number of companies these days and simply relying on their advertisements or website claims is not enough to decide.
The following is a list of the 15 most standout insurance companies that can provide you with the best policies and guidance you need when making this huge investment:
1. Transamerica Life Insurance Company
Transamerica is one of the best overall companies for the provision of life insurance for seniors because it provides many different options that can cater to several different needs, you can even add accidental life or long-term care insurance to the policy you choose. The company has an A A.M rating. No medical examination is required when applying to Transamerica and they provide reasonable policies to anyone with a medical condition.
Transamerica is a very old company with tons of experience (about 110 years), so they know what the customer wants. They have impeccable customer service and ensure that all of their customers are satisfied with their work. They also provide a great amount of value for your specified budget.
Some believe that Transamerica has become too corporate to deal with something as personal as life insurance; however, the company has been at the top of its game for quite some time and their reputation exceeds them. Transamerica is one of the top picks for most customers due to its flexibility, customer service, and experience in the insurance industry.
2. American General Life Insurance Company (AIG)
American International Group Inc. (or American General) is a highly trustworthy company. It has been in business for over 160 years and has an extensive populace of clientele. American General offers the most flexibility when it comes to their insurance policies. Its A.M rating is an A (which is the second highest a company can achieve) and it beats all other companies in terms of the value it gives to its clients.
If you are looking for a product that provides you with great value for your investment, American General offers guaranteed universal life insurance. American General’s policy is one of the best ones available in the market because of its rates.
While some say that American General lacks in good customer service, it more than makes up for this in the rates that it offers. However, if you are a first-time insurance buyer and need someone to hold your hand throughout the shopping process, American General might not be the perfect fit for you. Instead, you may want to look elsewhere for similar rates and a company that provides excellent guidance to its customers.
3. Mutual of Omaha Life Insurance Company
The Mutual of Omaha Company has been around for over 90 years. The company is an extremely popular company with an A+ A.M rating. It provides the best customer service and one of the best values available in the market. Their customers always report the highest customer satisfaction rates. The company prides itself on its effective and efficient customer service, with unique touches that add to the convenience for the customers. It also has a smooth and easy policy management process, meaning your registration would be a breeze.
Mutual of Omaha ensures that you can place your trust blindly on them. They guarantee to provide their customers with the satisfaction they need when it comes to an insurance policy.
However, the company’s products may not be the most affordable options in the market. Therefore, if you are shopping in a budget, Mutual of Omaha’s policies may not fall within your range. Also, they do not provide much information about their policies online, so you would have to inquire about their policies with one of their agents.
4. State Farm
Founded in 1922, State Farm has been recognized as one of the most popular insurance companies in the United States. State Farm offers several different unique insurance policies and products, which allows customers a wider variety of choices than other companies do. This is another company that is constantly praised for its amazing customer service.
State Farm also provides extra-long coverage, which is more than what other companies offer. Their website also provides comprehensive information on its policies and products. State Farm is also exceptional when it comes to fulfilling your temporary coverage needs, which includes 10-, 20- and 30-year plans. They provide exceptional options that exceed those offered by other companies, including term life and limit conversion over the age of 65 years.
However, State Farm is more famous for its auto insurance and this may be disconcerting for some customers as it may be a sign for them that the company does not have proper handling of its life insurance. The company also has very high medical standards, so you would have to go through rigorous testing before being registered as a client at State Farm.
5. Prudential Life Insurance Company
With over 140 years of experience, the Prudential Life Insurance Company has an A+ A.M rating. Prudential offers extreme lenience when it comes to medical considerations and they provide the most reasonable rates to clients with health and medical problems. Their customer service and satisfaction rates are great as they go far and beyond to ensure their customers are happy with the policies they buy. Prudential also provides the best guidance to its customers and makes sure that each customer finds the perfect life insurance policy for their needs. Their policies and products are also quite flexible and they provide customers with a satisfying amount of coverage for their individual needs.
However, Prudential’s website may not be so transparent. In addition, their rates are only a little above average. Both of these may be deterrents for some customers, but Prudential still provides customer service that goes above and beyond the average insurance companies. Thus, Prudential may be a viable option for any senior looking for a helping hand and policies that meet their needs.
6. Haven Life Company
Haven Life is another life insurance company that has outstanding customer service. They provide their customers with a very easy online registration process (which is good news for seniors). Most of the paperwork can be completed online. Haven Life also has very affordable rates that are cheaper than insurance policies at other companies. They offer the best medically underwritten insurance.
The leniency that Haven Life shows to its customers is commendable and most of their customers show great satisfaction after buying their insurance from Haven Life. The online process is one of the unique features of the company as it is highly convenient.
However, Haven Life is not a very well known company and this may be a problem for some customers, as Haven Life does not have as much experience as other companies. Also, due to its online application process, you may not get the attention and guidance you need when choosing an insurance policy. Thus, choosing Haven Life may seem like a risk, but it provides a lot of advantages to its customers.
7. Sagicor Life Insurance Company
Available in 45 states and with over 60 years of experience, Sagicor is a highly reliable and trustworthy company. This company requires no medical examination, so it provides insurance to any senior with health conditions. It is by far one of the best options for people with conditions like diabetes or high blood pressure. They have reasonable rates available for all types of customers.
The company is renowned for its very fast approval times and this makes it very convenient for senior customers when applying for life insurance. They provide their customers with all of the necessary tools they need when applying for a life insurance policy.
While Sagicor’s A.M rating is an A-, its customer service experience goes beyond to make up for this. They are very lenient and provide their customers with the convenience they need in an insurance policy. Thus, it is best to recognize how the pros outweigh the cons in the case of Sagicor when considering it as your insurance carrier.
8. Banner Life Company
Banner Life has been in business for over 70 years and they have an abundance of experience in the field. This is the best company for any retirees with little to no debt to pay off, seniors who have a budget to abide by and customers who have been turned down by other companies. Banner Life provides its customers with an online application process that is very convenient and easy to understand.
Banner Life also guarantees that your application will be accepted and does not require a medical examination in order to qualify for service. The company has commendable customer service and its application acceptance rate is the highest amongst the companies on this list.
However, they have a low maximum death benefit rate and this may be a problem for some customers looking to avail higher rates for their beneficiaries. Also, due to the fact that most of their application process is done online, you may not be given the help you need while filing your application.
9. Lincoln Financial Life Insurance Company
Lincoln Financial is over a century old, so they have experience beyond that of any other insurance company on this list. They are one of the very few companies left that caters to seniors that are older than 70 years and that too, at some of the best rates available in the market. They are a part of the top three companies that provide the best insurance rates for people with medical conditions. They even provide great rates to their customers with high-risk occupations. The company has an A+ A.M rating (which is very difficult to achieve).
With all these years of experience, Lincoln Financial has established itself as one of the longest standing and highest quality services in the insurance industry. They provide their customers with quality policies and services that ease their decisions while making an investment. Lincoln Financial has a large variety of rider options, which means senior customers can find something that will suit their specific needs.
However, this company is not ideal for those who need to find a policy on a budget as their entry point is quite expensive.
10. Metropolitan Life Insurance Company
Founded in 1868, Metropolitan Life, commonly known as MetLife, is a very well-known insurance company that was named the number 4 World’s Most Admired life insurance company by Fortune in 2016. They have an A+ A.M rating, which is quite exceptional. MetLife is a very popular insurance company because of its affordability and the value they provide their customers.
MetLife is known as one of the cheapest life insurance companies in the country because their insurance policies are so reasonable and affordable that they can accommodate any budget. They also provide a great amount of value for your investment. They also provide customers with any medical condition with affordable and reasonable policy options. The company also uses niche-underwriting methods that make them stand out from other insurance providers.
MetLife understands how to take care of their customers, so they make certain to provide high-quality customer service and this boosts their satisfaction rate. Customers almost never have negative feedback when they invest in a policy with MetLife.
11. North American Life Insurance Company
North American Life has been in the business for over 130 years. They have unfailingly provided senior citizens with some of the cheapest insurance options in the market and this has made them a very popular choice amongst most insurance seekers. Because the company is privately owned, they have greater liberty to invest in secure assets. This has also allowed them to invest in their customers and provide them with policies that cannot be found anywhere else.
They provide highly competitive rates for older seniors and very affordable products to all senior customers. They have dedicated themselves to providing highly personalized service to their customers and guiding them through this process every step of the way. The company also shows lenience when it comes to policies for different age brackets and customers with various medical conditions.
However, it is important to consider the fact that the company may not provide as high value as other insurance companies may, as their policies are highly affordable.
12. New York Life Insurance Company
New York Life has partnered with AARP to provide its customers with top quality products and policies that would suit their individualistic needs. The company is not very well-known but has gained quite a reputation for its various policy options and flexible benefits. The company has an A++ A.M rating and has been well-received by its senior customers.
New York Life provides its customers with very flexible death benefits with a highly affordable entry point, making the company a budget-friendly one. They provide insurance without any medical examination, so senior customers with medical conditions are not discriminated against. They also carry a Living Benefits Rider, which allows the insured to access a certain amount of their money while they are still alive.
However, the company’s website is not completely transparent and it will not provide much information to customers. Also, even though the company is highly considerate of their customers, they have average customer service that cannot rival that of the other companies mentioned in this list.
13. American National Life Insurance Company
American National is another A++ A.M rating recipient. They provide customers with affordable entry points and reasonable policy options. Their coverage range and options are the best of any company on this list because their coverage is clear and concise. American National also provides extensive living benefits, which can act as your safety net in chronic illnesses.
However, the company does not observe leniency with smokers and highly limits their options. Also, the company has placed an age limit on its issuance of policies (only serving people until the age of 80 years), which is less than that of other companies. On the other hand, being stringent on their acceptance of applicants is one of the reasons for their high financial strength.
Thus, American National may not be considerate of all types of customers and their customer service also lags behind other companies. Such conditions may be deal-breakers for seniors; however, their affordability makes American National one of the best companies for seniors that are on a budget.
14. Phoenix Life Insurance Company
Phoenix has been around for over 160 years, so the company has a great understanding of what their customers need. Phoenix is the one company that completely caters to the needs of its customers and is considerate of their conditions. They provide no medical examination insurance (called Safe Harbor Term Life Express), making it easier for people with medical conditions to obtain the life insurance they need. While they only have a B A.M rating, they are highly regarded by their clientele and anyone that invests with them says they deserve a higher rating. Phoenix provides customers with a large variety of products, express options, and flexible underwriting.
However, the company has stricter age limits than other companies and its B rating may make it an option that many would not want to avail, especially with other A++ companies providing cheaper entry points. Phoenix is also not a very well-known company, even though it has been in business for over 160 years.
15. Principal Life Insurance Company
Yet another company that has been in business for a long time (over 125 years), Principal Life is a global insurance company that provides services to individuals and organizations. Principal Life is a very popular company that has made a name for itself in providing seniors with life insurance that suits their needs. The company has an A+ A.M rating, making it very reliable and trustworthy. They have a unique underwriting process and provide customers with top quality policies.
Principal Life also has amazing customer service and they work to provide their customers with proper guidance and reliability. They provide services to both healthy people and people with medical conditions. Also, they have very reasonable, affordable and market competitive products that help them provide customers with the value they want from their investment.
However, Principal Life’s application process has been known to be quite long (4 to 8 weeks). Also, they do not really provide any unique life insurance plans as their plans are quite similar to those of other companies.
Finding a suitable life insurance company as a senior may seem daunting. When considering what insurance company you would like to buy your life insurance policy from, it is important to understand what your specific needs are. It is also crucial to do some research beforehand to understand the basics of insurance and the different types that are available. This understanding will prevent you from being completely clueless and it will aid you in investing your money wisely.
Some of the best companies have been listed above and they can provide you with everything you need when it comes to a reliable and profitable insurance policy. All that is left to do is to shortlist the companies you feel are a match with your needs and do some research on them to finalize your choice. Your company choice will affect the policy you choose and how much value you get in return.
Make sure to go about the decision wisely because you will be investing a substantial amount and you need to be certain that you are getting the needed value for your money.