When choosing the right life insurance company, it’s imperative that you do your research. Unlike other types of insurance policies, you’ll likely have this one for decades or more. And while you might have life insurance through your employer, you might want to purchase additional coverage. When comparing the best life insurance companies, we looked at factors like financial strength, customer service, website functionality, coverage types, and rider options to come up with a list of our favorites. No matter your circumstances or the kind of life insurance policy you need, there’s sure to be a company on this list that will meet your needs.
The 7 Best Life Insurance Companies
- Northwestern Mutual Life: Best Overall
- State Farm: Best Term Life Insurance
- USAA Life: Best for Military Families
- Mutual of Omaha: Best for Pre-Existing Conditions
- New York Life: Best for Seniors
- Principal Financial: Best for Affordability
- MassMutual: Best Whole Life Insurance
Compare the Best Life Insurance Companies
| Reviews.com Score Score is based on company’s customer experience, financial stability, and coverage options. | AM Best Financial Strength AM Best rates insurance providers creditworthiness. Ratings are based on the provider’s ability to follow through with a payout when a consumer files a claim. | J.D. Power Overall Customer Satisfaction J.D. Power scores are based on surveys for customer satisfaction and product quality. | ||
|---|---|---|---|---|
| Pin Northwestern Mutual | 5/5 | A++ | 790/1,000 | |
| Pin State Farm | 5/5 | A++ | 838/1,000 | |
| Pin USAA Life | 4.7/5 | A++ | N/A | |
| Pin Mutual of Omaha | 4.2/5 | A+ | 789/1,000 | |
| Pin New York Life | 4.2/5 | A++ | 784/1,000 | |
| Pin Principal Financial | 3.8/5 | A+ | 772/1,000 | |
| Pin MassMutual | 3.6/5 | A++ | 769/1,000 |
Northwestern Mutual Life
Best Overall
Why we chose it
Why we chose it
Pros
- High customer service ratings
- Easy conversion from term to whole life
- Broad range of dividend-generating products
Cons
- Dividends not guaranteed
- Must work with their financial advisors
Life insurance products offered
- Term life
- Whole life
- Universal life
- Long-term care
Unique features
The major ranking companies all point to Northwestern as one of the top life insurance companies in the U.S. It offers term, whole and universal life policies at reasonable rates and with fantastic customer service.
*J.D. Power 2019 U.S. Life Insurance Study, based on a 1,000-point scale
Further Reading on Northwestern Mutual Life:
- Northwestern Mutual Life Insurance Review
- Best Life Insurance Companies for Seniors
- Best Whole Life Insurance
State Farm
Best Term Life Insurance
Why we chose it
Why we chose it
Pros
- Best in customer satisfaction & financial strength
- Informational and intuitive website
- Able to customize policies
- Discounts available for bundling with auto or homeowner insurance
Cons
- Not licensed in Massachusetts
- Premiums can be higher than average
- Changes must be made through an agent
Life insurance products offered
- Term life
- Whole life
- Universal life
Unique features
With its whole life coverage, you can choose from a range of payment plans and living benefit options to create a policy that reflects your needs.
*J.D. Power 2019 U.S. Life Insurance Study, based on a 1,000-point scale
Further Reading on State Farm:
- State Farm Life Insurance Review
- Best Term Life Insurance Companies
- Best Homeowners Insurance Companies
USAA Life
Best for Military Families
Why we chose it
Why we chose it
Pros
- Highest possible AM Best rating
- Strong online community for military members
- Inexpensive policies; starting at $12 a month
- Coverage geared toward military needs
Cons
- Only available to former and current military and their families
- Quotes only available with military ID
- Few discounts if you bundle with auto or home
Life insurance products offered
- Term life
- Whole life
- Universal life
Unique features
USAA Life policies are optimized to meet the specific needs of active, deployed, and retired service members.
*J.D. Power 2019 U.S. Life Insurance Study, based on a 1,000-point scale
Further Reading on USAA:
Mutual of Omaha
Best for Pre-Existing Conditions
Why we chose it
Why we chose it
Pros
- Policies available for those who have had cancer or other serious illness
- Riders include children’s whole life and accidental death
- Informational website
- Online quote tool
Cons
- Not a lot of add-ons
- Policies not as customizable as others
- Guaranteed life policies have a maximum benefit of $25K
Life insurance products offered
- Term life
- Whole life
- Universal life
- Long-term care
Unique features
Available for customers ages 45-85, your benefits are never reduced because of your age or health. Rates are higher for this type of policy, but if it works for you, that may not be an issue.
*J.D. Power 2019 U.S. Life Insurance Study, based on a 1,000-point scale
Further Reading on Mutual of Omaha:
- Mutual of Omaha Life Insurance Review
- Best Cheap Life Insurance Companies
- Best Long-Term Care Insurance
New York Life
Best for Seniors
Why we chose it
Why we chose it
Pros
- Flexible policies
- Good fiscal management
- AARP partnership
- Riders for accidental death, chronic care, and more
Cons
- Sparse website
- No online quote tool
- Hard to find answers to your questions
Life insurance products offered
- Term life
- Whole life
- Universal life
- Variable universal life
Unique features
One of the company’s unique factors is its long-standing partnership with the American Association of Retired Persons (AARP), through which it offers both term and whole life policies that don’t require a medical exam.
*J.D. Power 2019 U.S. Life Insurance Study, based on a 1,000-point scale
Further Reading on New York Life:
- New York Life Insurance Review
- Best Term Life Insurance Companies in 2020
- Best Life Insurance Companies for Seniors
Principal Financial
Best for Affordability
Why we chose it
Why we chose it
Pros
- Reasonably priced premiums & flexible whole life policies
- Apply online easily
- Low NAIC complaint rate
- Partial tax-free surrender available for whole life policies
Cons
- No accidental death benefit
- No disability waiver of premium rider
- Known more for group than individual policies
Unique features
Principal’s low rates put it at the top of life insurance company reviews, so if saving money is your primary concern, it’s worth considering.
*J.D. Power 2019 U.S. Life Insurance Study, based on a 1,000-point scale
Further Reading on Principal Financial:
- Principal Financial Life Insurance Review
- Best No-Medical-Exam Life Insurance Companies
- Best Life Insurance Companies for Seniors
- Best Cheap Life Insurance Companies
MassMutual Life
Best Whole Life Insurance
Why we chose it
Why we chose it
Pros
- Top financial ratings
- Healthbridge program for healthcare workers
- Direct term insurance available
- Long term care insurance can be bundled with life
Cons
- App doesn’t work well
- Average J.D. Power customer service score
- Few policy add-ons
Life insurance products offered
- Term life
- Whole life
- Universal life
- Variable universal life
- Long-term care
Unique features
The company’s direct term policy is an option for those with health issues: it’s available for anyone up to age 64 and doesn’t require a medical exam.
*J.D. Power 2019 U.S. Life Insurance Study, based on a 1,000-point scale
Further Reading on MassMutual Life:
Further Reading on Life Insurance
- Types of Life Insurance Policies
- Is employer-provided life insurance enough?
- Life insurance misconceptions
- Life insurance tax guide
- Life insurance for children
- Guide to life insurance with pre-existing conditions
Methodology
Reviews.com scores products, services and companies using five quantifiable criteria to help readers choose the best one for them. For the best life insurance companies, our editorial team compared financial strength, number of riders offered, coverage options, customer satisfaction scores and website functionality from each company to produce our very own Reviews.com score. These ratings were evaluated with you, our readers, in mind, and are meant to be a helpful tool to simplify the process of choosing which life insurance company is best for you. Since life insurance rates vary widely among different profiles, we encourage you to continue researching options that fit your specific needs.
How to Choose the Best Life Insurance Company
When choosing a life insurance company, there are many things you need to consider. Remember that you’ll likely have this policy for decades or more, so it’s even more important to put thought into deciding which company to buy from.
- Policy types: Not all life insurance companies offer every type of policy. Consider what type of policy you want and find a company that offers it.
- Price: While price isn’t the only consideration, it’s worth looking into whether you can get the same coverage for a lower price.
- Financial strength: Agencies like AM Best and Standard & Poor’s rate the financial strength of companies. In general, the better a company’s financial strength, the more likely they are to be able to pay out claims.
- Customer service: You want a company that is responsive and easy to work with. Look at customer reviews on sites like BBB, J.D. Power, etc.
- Discounts & add-ons: Some companies offer discounts for bundling your life insurance with other products. Some also have add-ons like long-term care coverage that you can tack onto your life insurance policy.
- Company size: In most cases, larger companies with more assets on the books will be more stable. While there are advantages to shopping small, you must also consider which company is more likely to last.
- Historical performance: Don’t just look at how the company is doing right now — consider how they’ve done in the past. You’ll be holding this policy for many years, so longevity matters.
Types of Life Insurance Policies
Term life
Term life insurance is the most basic and most common type of life insurance. You purchase a policy with a term of anywhere from 1-30 years. You pay a monthly premium, and if you pass away during that term, your beneficiary receives a death benefit. Both the monthly premium and the death benefit amount remain the same for the entirety of the term.
Whole life
Whole life insurance is one of the two primary types of permanent life insurance, meaning they cover you for the rest of your life. Whole life insurance combines the death benefit of term life insurance with a cash value component. Each month you pay a monthly premium — part of it goes toward your death benefit, and the rest goes into an investment account. Like term life insurance, whole life insurance typically comes with a fixed monthly payment and guaranteed cash value return.
Universal life
Like whole life, universal life insurance is a type of permanent life insurance. When you pay your monthly premium, a portion of it goes toward your death benefit, while the rest goes into an investment account. But unlike whole life insurance, universal life policies are more flexible. You can adjust your coverage or premium or borrow funds without surrendering the policy. But unlike whole life, universal policies don’t have a guaranteed return — you’re dependent on the market.
