Best Universal Life Insurance Companies – If you require a significant amount of coverage that offers flexibility and could last for a lifetime (as far as you make payments), universal life insurance might be the right one for you.
Regardless of your challenges, most policies enable you to adjust your premium and death benefits, so you can spend your money wisely over time.
This blog post contains some of the best universal life insurance companies based on their cost, rider options, client satisfaction, and more. In addition, these selected companies are worth thinking about if you are looking for strong universal life insurance.
7 Best Universal Life Insurance Companies
Universal life insurance is one of the best life insurance coverages that is commonly known to policyholders as an attractive choice that offers not only coverage but also death benefits.
Moreover, considering both the insurance coverage and the ease with which plans may be used as investment vehicles, 7 of the best universal life insurance companies are stated below:
Guardian
Guardian may be an excellent option for individuals searching for universal life insurance coverage without the need for a medical exam. In addition, this company has a unique feature that provides a no-exam UL alternative. It has been rated A++ (superior) by AM Best, known as the highest feasible financial strength rating.
Moreover, this implies that Guardian has excellent financial management and the ability to cover any significant amount of claims. However, one disadvantage of this insurance provider is that it doesn’t provide online quotes for universal life insurance due to its coverage complexity. Furthermore, to obtain coverage and quotes, it’s essential to reach out to your provider who offers Guardian products.
Northwestern Mutual
Northwestern Mutual is known as one of the oldest and largest life insurance companies, established in 1859, with a total market share of 9.02%. This provider offers traditional universal life (UL) and variable universal life (VUL).
Similar to other UL policies, its Custom UL policy produces cash value on a tax-deferred basis and features an adjustable premium and death benefits.
Moreover, similar features are also accessible in the provider’s VUL policy. This however enables you to invest the cash value in a variety of subaccounts like mutual funds.
It also has automated portfolio rebalancing and dollar-cost averaging. Furthermore, you can select from 40 various investment funds or get pre-packaged options that abide by various asset allocation patterns.
Pacific Life
Pacific Life provides both term and permanent life insurance coverage. Additionally, it offers a variety of universal, indexed universal, and variable universal life insurance coverage, excluding whole life insurance. With an extra medical exam, both of its term insurance can be switched to universal life insurance.
Furthermore, you can buy term insurance and change it to universal coverage at a later period. For this reason, it offers some flexibility when shopping if you are uncertain if the coverage is required for your circumstances. And every life insurance policy offered by Pacific Life needs to be obtained via an agent.
State Farm
State Farm provides a wide range of life insurance coverage in addition to home and auto insurance. It provides a coverage amount of $50,000 for individuals up to the age of 50 or for a 10-year term without a medical exam. In addition to other insurance products, it provides a range of choices for term, whole, and universal life insurance.
Generally, it has excellent ratings for both customer service and financial soundness. Furthermore, the company is known for its high score among other companies listed (843 out of 1000), with the best customer service.
MassMutual
Massachusetts Mutual Life Insurance Co., also recognized as MassMutual, is one of the biggest life insurance companies in the nation. This provider was established in 1851 and provides a variety of products.
This includes variable universal life insurance, a permanent policy type with adjustable premiums and investment options, and term life insurance.
Being a mutual life insurance organization, MassMutual is partially owned by its policyholders and distributes dividends to qualified customers. At over $2.2 billion, the dividend payout in 2024 is expected to be the largest to date.
Also, it supports online claims, but most policies necessitate a medical examination.
Lincoln Financial
Lincoln Financial may be an ideal option if you prefer flexibility and want the best permanent life insurance coverage. The company provides indexed universal life and variable universal life, among other types of UL coverage. Additionally, the provider offers an easy-to-use online interface where you may monitor your policy and make monthly payments.
Also, it offers a comprehensive range of financial products, including long-term care planning services and annuities, all conveniently located in one convenient location.
However, Lincoln Financials’ customer satisfaction score is below average, and despite its strength, its financial strength rating is lower than some of its competitors.
Protective
Protective provides coverage for both permanent and term life insurance. Any of its permanent policies you might be able to convert within the first five years of its term policies.
You can only convert it to a whole-life policy after the first five years. Additionally, Protective provides 40-year term life insurance coverage.
Term life insurance policies typically have a maximum duration of 30 years. Protective’s website allows you to obtain a term life insurance quote. But you might need to speak with an agent to begin the application process.
Protective Life provides various life insurance policies, including whole, universal, indexed, variable, and survivorship universal life, with coverage limits starting at $1,000 and $100,000, respectively.
Frequently Asked Questions
Is Universal Life Insurance Worth Getting?
This insurance may be worth it for policyholders who require a death benefit and want to pile up cash value along with the additional benefit of adjustable premium payments and death benefits. Depending on your needs, universal life insurance may be worth it.
Can I Borrow From A Universal Life Insurance Policy?
It is possible to borrow from a universal life insurance policy cash value. Before this process starts, policyholders are to request an in-force policy example to check how life insurance policy loans work and how they affect your policy.
What Are The Differences Between Universal Life Insurance And Term Life Insurance?
One of the differences between these life insurance policies is the policy terms and their cash value component. Universal life insurance is one of the types of permanent life insurance that lasts for a lifetime. While term life insurance has a certain end date where you are to renew your policy when it ends.
Another difference between these life insurance policies is that universal life insurance offers cash value elements. While term life insurance does not.