When it comes to life insurance, State Farm is a top-tier company that stands out for its customer satisfaction and reliability. According to Power, State Farm is the best individual life insurance company based on consumer responses. Buying life insurance can be a daunting task, as products are expensive and complex. To make the process easier, we evaluated nearly two dozen different insurers, taking into account the type of policies they offer, coverage amounts, customer service, and more.
Read on to learn more about our selection process and why State Farm is our top pick. State Farm offers both temporary and permanent coverage, and even has some policies that don't require medical tests. Additionally, customers can customize their policy with optional additional clauses such as coverage for children and long-term care costs. We requested quotes from State Farm for term life coverage and found their premiums to be competitive with industry averages according to LIMRA, a research firm specializing in the life insurance industry. Plus, existing State Farm customers may qualify for discounts on several policies. State Farm also makes it easy to get quotes and apply for some types of coverage online.
Prudential term life policies also have several optional insurance guarantees that can be added to customize the policy. For example, you can add accidental death benefits so that your loved ones receive a larger death benefit if you die due to a covered accident such as a car accident or drowning. It's important to note that more complaints have been filed with the NAIC about Prudential's individual life insurance segment than are usually filed with a company of its size. Northwestern Mutual's lifetime insurance policies have fixed premiums that never change and a guaranteed death benefit. Plus, since Northwestern Mutual is a mutual insurance company, policyholders are entitled to receive dividends - an unusual benefit not available with all life insurers.
Unfortunately, Northwestern Mutual doesn't have an online quote tool for permanent life insurance; customers must contact an agent for pricing information. Mutual of Omaha's guaranteed issuance policy is available to people up to 85 years of age - a higher maximum age than other companies allow. However, Mutual of Omaha doesn't offer other forms of comprehensive life insurance; those who want permanent coverage with a higher death benefit should work with another insurer that offers larger lifetime policies. The Haven Simple product is not available in all states; residents of California, Delaware, New York, North Dakota, and South Dakota are not eligible for this policy. You must also be between 20 and 55 years old to qualify for coverage. Sproutt is an insurance broker that allows you to purchase long-term, guaranteed issuance, comprehensive and universal lifetime coverage through its platform.
However, Sproutt wasn't one of our best options because he doesn't share the insurance companies he works with, and the specific details about the policies available online are very limited. Overall, term life insurance is significantly cheaper than permanent life insurance. For those who need coverage for a limited time, term life coverage may be a better option - for example when your home is paid off and your children are independent. On the other hand, there are situations in which permanent coverage may be useful - such as if you have a child with a disability or need important medical care or plan to leave your family a substantial inheritance. We chose State Farm as the best insurer in terms of customer satisfaction and reliability. It offers competitive prices on term life coverage and allows customers to get quotes and even apply for some types of coverage online.
Plus, it has several optional additional clauses that you can add to your policy to customize your coverage. Northwestern Mutual is also a top-tier company in terms of customer satisfaction in J. D. Power studies and offers a variety of life insurance options.