Best Life Insurance Companies In USA In 2022 {UPDATED}

The best life insurance policy for you depends on your financial goals, your budget, and the amount of cash you want to accumulate within a policy. We use data from Veralytic, an independent provider of life insurance research and analysis, to find the best life insurance companies.

The life insurance market in the United States is competitive and consists of a mix of long-established insurers and newer "underwriters" who sell policies online. To narrow down our list of the best life insurance companies, we looked at data on customer complaints, consumer experience, and financial strength. We also cover the types of insurance available and how you can buy insurance.


Based on these factors, these are our top life insurance companies for 2022.


Best Life Insurance Companies In USA In 2022 {UPDATED}

How We Ranked The Top Life Insurance Companies?


Life insurance ratings are based on consumer experience, an index of complaints from the National Association of Individual Life Insurance Administrators, and a weighted average of financial strength scores, which indicate a company's ability to pay future claims. . Within the consumer experience category, we consider ease of communication and website transparency, which examines the depth of policy information available online. To calculate each insurer's score, we converted the scores to a 5-point curved scale.


These ratings are a guide, but we encourage you to shop around and compare multiple insurance quotes to find the best price for you.


Our picks for the best life insurance companies in the USA


Learn more about our top life insurance companies for August 2022 by reading the short summaries below and checking out our detailed reviews.

  • Mutual of Omaha: Best for Indexed Universal Life Insurance
  • Haven Life: Best for Instant Coverage
  • Nationwide: Best for Gen X and Millennials
  • Northwestern Mutual: Best for Customizing Policies
  • USAA: Best for members of the military
  • Liberty Mutual
  • State Farm: Best for Customer Satisfaction
  • MassMutual
  • New York Life: Best for high amounts of coverage
  • Guardian Life
  • Transamerica: Best for Term Life Insurance

Top 10 Best Life Insurance Companies In 2022


1. Mutual of Omaha


Mutual of Omaha

Why We Chose It: Mutual of Omaha offers the best combination of high financial strength ratings, competitive in-house insurance costs for indexed universal life insurance, and higher mortgage and bond interest rates.


PROS

  • Many plans with subsistence subsistence
  • Wide selection available
  • Guaranteed launch options
  • Return the in prime time available

CONS

  • Online applications are not available for term policies

2. Haven Life


Haven Life

Why We Chose It: Haven Life offers an unusually wide variety of life insurance options, including plans with particularly high death benefits. Additional benefits such as online will services are also available.


PROS

  • Easy to navigate website
  • Online applications
  • Same day decision
  • Financial Strength A++
  • Good price

CONS

  • Only life insurance available is temporary
  • The terms and conditions are immutable
  • Limited driver

3. Nationwide


Nationwide

Why We Chose It: General offers benefits to younger life insurance buyers who typically need charts that are reliable over the long term and policies that have historically well-performing invested assets to increase cash value.


PROS

  • Ranked 2nd in JD Power's 2021 Customer Satisfaction Survey
  • Removed some customer complaints.
  • The living allowance is included in most policies
  • Allows credit card payments

CONS

  • No live chat available

4. Northwestern Mutual


Northwestern Mutual

Why We Chose It: Northwestern Mutual offers an excellent combination of high financial strength ratings, good life insurance prices (for many age groups and health risks), and good access to cash within life insurance.


PROS

  • Long list of optional riders
  • Many strategy options
  • Possibility of earning dividends
  • Highly rated by third parties

CONS

  • Policies must be purchased through agents
  • Medical exam required for most
  • Limited online bidding tools

5. USAA


USAA

Why We Chose It: USAA is not on our main list because it is only available to military personnel and their families. Although not included in JD Power's latest customer satisfaction study or rated by rating agencies, the company has a strong track record in this regard, including a favorable record of complaints to insurance regulators.


PROS

  • Soldiers can get cover during war
  • Offer support to survivors
  • High cap on the value of your policy

CONS

  • Medical exam required for all policies
  • Some policies are not available in New York

7. Liberty Mutual


Liberty Mutual

Why We Chose It: Liberty Mutual is not on our main list, in part because other companies on our main list provide more detailed policy information and offer a broader selection of term insurance.


PROS

  • Instant online approval for passport appointment (simplified issuance insurance)
  • Continuous coverage when the term ends

CONS

  • Monthly premiums are higher than average
  • There is no detailed policy information on the website

7. State Farm


State Farm

Why We Chose It: If a happy consumer experience is your top priority, State Farm should be a leading choice. It has an excellent reputation for customer service, along with an excellent track record of financial stability.


PROS

  • Companies positioned for customer satisfaction
  • Low number of customer complaints
  • Many strategy options
  • Rules for simplified versions (without tests) available

CONS

  • Online quotes are not available for all policy options
  • Most policies require a medical exam
  • No discount if combined with auto or homeowners insurance

8. Mass Mutual


Mass Mutual

Why We Chose It: MassMutual is not on our top list because, although it has a wide variety of life insurance products, the policies have few or no optional riders.


PROS

  • Young and/or healthy applicants may not require a medical exam
  • Offer two whole life policies with long-term care bikes
  • Direct life insurance can be purchased instantly online

CONS

  • No conversion options for some rules
  • You can only receive dividends with whole life insurance
  • Few or no policy makers

9. New York Life


New York Life

Why We Chose It: New York Life's insurance options include term and permanent life insurance. Their terms and conditions include a conversion option if you decide you want permanent coverage at a later date. It also underwrites AARP's life insurance plan.


PROS

  • Long term, comprehensive and comprehensive life policies available
  • Some optional clauses can be added to the rules
  • Companies with a high rating
  • Possibility of earning dividends

CONS

  • Must work with an agent
  • No online offers available

10. Guardian Life


Guardian Life

Why We Chose It: Guardian Life didn't make our top list due to its below-average JD Power rating and limited rider offerings for its policy.


PROS

  • Online bidding and account management
  • Policies available for people with HIV

CONS

  • You must apply (and cancel) through an agent
  • Does not offer any test rules (warranty case)
  • Lifetime options are essential

11. Transamerica


Transamerica

Why We Chose It:
Transamerica's life insurance policies consistently have excellent rates across a range of customer ages and policy amounts. It offers top-tier benefits in its Trendsetter Living Benefits life policy, such as the option to access your own death benefit early if you have a chronic or serious illness.

PROS

  • Many policy options without medical exams
  • The living allowance is included in some policies with no upfront costs
  • Wide selection of riders available

CONS

  • More complaints than expected
  • Misclassifies for customer satisfaction

Life Insurance Guidelines


We created this life insurance guide to answer questions related to life insurance, different types of insurance, and coverage options to help you choose the best life insurance policy.


What is Life insurance?


Life insurance is a contract between the policyholder and the insurer, where the latter guarantees to pay the life insurance policyholder the annuitant upon his death. This amount, known as the death benefit, is financed by the premium payments made by the insured throughout his life.


How does life insurance work?


Life insurance is intended to protect loved ones and loved ones from financial hardship following the death of the primary breadwinner. However, life insurance is not only available for adults and seniors. Many companies also offer life insurance for children, which can cover all expenses in the event of death, help with future insurance, and provide financial support through the cash value component of the policy. The life insurance experts at Money have also put together a list of the best life insurance for seniors and the best life insurance for young people.


Basically, life insurance has two main components, the death benefit, and the premium.

  • Death benefit, also called face value, refers to a lump sum that the insurer agrees to pay to designated beneficiaries upon the policyholder's death.
  • Premiums are payments that the policyholder pays to the insurer in exchange for the insurance. Life insurance premiums depend on the estimated life expectancy of the insured. High-risk individuals, or those who purchase larger amounts of death benefits or permanent life insurance, typically pay higher premiums.

Whole life and permanent insurance policies also include a cash value component that can serve two functions:

  • As a savings account where cash is accumulated on a tax-deferred basis and to which the insured usually has access during his life. Some policies may limit withdrawals, depending on how the withdrawal will be used.
  • The cash value can also be used to cover premiums or purchase additional insurance.

It is important to note that the cash value is the survivor benefit that will remain with the insurance company when the policyholder dies. Any loans outstanding against her will reduce the policy's death benefits.


What are the different types of life insurance?


What is life insurance?

This lasts for a predetermined period (usually 10, 15, or 20 years) and then expires.

What is whole life insurance?


Insurance covers the insured for life as long as the premiums are paid. Includes guaranteed cash value components and fixed monthly premiums.


What is universal life insurance?


Similar to whole life, this protects the insured for the duration of their life as long as premiums are paid and include a cash component. The cash value portion of this policy is not guaranteed and will fluctuate with the market.


What is life insurance without proof?


A policy that does not require a medical exam for approval. It's a good option for those with pre-existing conditions who have difficulty getting their policies approved by traditional underwriters.


Other types of life insurance


Other types of life insurance include:


Burial Insurance: Also called funeral insurance or final expense insurance, burial insurance typically has a small death benefit designed to pay for final expenses, such as $10,000. They are usually whole-life policies and will have a high cost for the sum insured.


Survivorship life insurance: Survivor life insurance, also called survivor life insurance, provides coverage for a husband and wife. Death benefits are not paid until both of you die.


Mortgage life insurance: Mortgage life insurance pays your mortgage if the policyholder dies. The payment goes directly to the mortgage lender.


Supplemental Life Insurance: Supplemental life insurance is free or low-cost group insurance that may be offered by an employer or a group. If the supplemental coverage is tied to an employer, you will likely lose that coverage if you quit or are fired.


Life Insurance Companies FAQ


How does life insurance work?

Life insurance is insurance that is contracted in life and paid in the event of death, to protect those who depend financially on you. The proceeds can be used to pay for your final medical or funeral expenses or used to establish a trust fund for your children's education, for estate planning, or to pay off remaining debts and mortgages.


How much life insurance do I need?

There is no hard and fast rule for pricing your life insurance needs and peace of mind. However, a basic starting point is to determine your future and eventual financial obligations and expenses and then subtract any liquid assets you may have.

In any case, it is good to consider life insurance in a larger financial context. If you can, it's a good idea to discuss your life insurance needs with a financial advisor.


What does life insurance cover?

Life insurance covers death due to illness, accidents, and simply old age. This includes deaths from disease, falls, car accidents, and Covid. Accidental drug overdose deaths are covered.


A limited type of life insurance called accidental death and breakdown only covers accidental death, such as an accident or car crash. It does not cover deaths caused by sickness, disease, or old age.


What is the difference between life insurance and life insurance?

The main difference between life insurance and life insurance is that the first type of insurance only lasts for a certain period (its term). By contrast, comprehensive or permanent insurance covers the policyholder for (essentially) their entire life.


How much does life insurance cost per month?

The cost of a life insurance policy depends on several factors, including the type of policy and the amount of coverage. The monthly premium also depends on the applicant's age, gender, lifestyle and health. According to Haven Life, a 35-year-old non-smoker living in New York and in good health will pay a monthly premium of about $30 for a 20-year term life policy with a $500,000 death benefit.


What is the best life insurance?

There is no one best life insurance policy or company for everyone. Your choice of life insurance depends on your needs and how you intend to use the policy. Before you choose, check out BigTechBank's Reviews of the Best Life Insurance Companies.

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