Top 5 Life Insurance Companies USA
Life insurance can provide peace of mind that your loved ones will be able to cover expenses such as funeral costs and outstanding debts. You can choose from whole life or universal life policies. These policies include benefits such as a cash value component and lifetime coverage.
The top five providers based on market share are Northwestern Mutual, State Farm, New York Life, MetLife, and Prudential. These companies also have excellent financial strength ratings. Some offer dividend payments, which can be used to pay premiums or earn interest on your policy.
Coverage
For those looking for peace of mind, life insurance can provide a death benefit to your loved ones when you die. However, choosing the best life insurance company can be difficult. NerdWallet has analyzed companies and ranked them based on their financial strength, customer service, and coverage options. We looked at term and permanent policies and used weighted averages of ratings from reputable 3rd party rating agencies.
Some of the top-rated life insurance companies include State Farm, which earned the number one spot in J.D. Power’s life insurance customer satisfaction survey, and Guardian. Both offer a wide selection of term and whole life policies with competitive pricing, as well as no-medical exam policy options.
MassMutual stands out as a top whole life insurer with an A++ financial strength rating from AM Best, and Pacific Life offers a variety of permanent life insurance policies with specialized features that can help you achieve your goals. These firms have also received high marks in customer experience and have had fewer complaints than the industry average.
Benefits
The best life insurance companies offer a variety of policies that fit the needs of most buyers. These include term and permanent coverage options, as well as different types of riders and a savings component. Many companies also have a good track record of customer service and financial strength.
For example, State Farm ranked number one in customer satisfaction among all life insurers in J.D. Power’s 2022 U.S. Individual Life Insurance Study, and it receives fewer complaints than you might expect for a company of its size. It also has an A++ rating from AM Best and offers a range of policy options, including no-exam life insurance.
Northwestern Mutual is another top choice for those looking for a traditional life insurance policy. The company has been around for more than 140 years and offers a variety of permanent life insurance coverages, including whole, universal, and indexed universal life insurance policies. It also offers a no-exam term life policy for customers under 50.
Cost
If you’re looking for a life insurance company that will cover your family in the event of your death, it’s important to consider the cost. Some providers have lower premiums than others, and you can also save by buying a term policy instead of a whole or universal life insurance plan.
The largest life insurer, Northwestern Mutual, has a 7.1% market share, according to 2022 data from the National Association of Insurance Commissioners (NAIC). It’s been around for more than 160 years and boasts high marks from third-party rating agencies for financial stability.
MassMutual is another good choice for a whole life policy, as it pays dividends to eligible policyholders. It has a long history of operating successfully and has top ratings for customer satisfaction.
Securian Financial, which previously operated as Minnesota Life Insurance, offers term life, whole life and indexed universal life policies. It also offers a range of other types of insurance, including auto and home and property coverage.
Complaints
If you’re in the market for life insurance, it’s worth looking at other customers’ experiences. Look for providers with good J.D. Power customer satisfaction scores, AM Best and Standard & Poor’s financial strength ratings and a wide range of policies.
For example, Pacific Life offers a full range of whole life policies including return-of-premium policies that provide a refund of any premiums paid if the policy is not used. It also offers indexed universal life insurance, which allows investments to grow based on stock market indexes but has a guaranteed floor that protects policyholders from losses.
MassMutual is another heavyweight with a long history of paying dividends to policyholders. It also has an excellent AM Best rating and a variety of whole life policies that include several no-exam options. However, it does not offer a complete online portfolio of policy details and requires that you speak to an agent to learn about your options.