Whole life insurance is a type of permanent life insurance that offers lifetime coverage and gradually increases in cash value. In contrast to term life insurance, which lasts for a set period of time, whole life insurance continues to provide coverage throughout the lifetime of the policyholder as long as the premiums are paid. Peradventure, you are in search of the best whole life insurance companies; you are in the right space!
Choosing the best whole life insurance company is essential since the policy features, financial stability, reputation, and customer service of the company have a big influence on the policyholder’s value and experience.
5 Best Whole Life Insurance Companies of 2024
Based on research and our analysis, highlighted below are the five best whole life insurance companies:
1. Pacific Life
Our top pick for the best whole life insurance companies is Pacific Life. We chose this company because of the competitive rates it offers and the reliable VUL policies it provides. Pacific Life has a competitive rate and really dependable illustrations for its variable universal life insurance policies.
Variable universal life insurance (VUL) policies have the ability to build cash value over time. The company also offers extremely cost-competitive pricing for the majority of cash value policies.
In addition to the wide range of benefits Pacific Life Insurance Company offers, it features low costs for smokers, and even in the early years of the policy, it can develop financial worth through the cash value it builds. In essence, Pacific Life offers the best whole life policy and even an affordable term life insurance policy.
2. Protective Life
Coming second on our list is Protective Life. This life insurance company is popular for the vast array of coverage options it offers individuals. The company’s investments have historically performed better, and as such, the premiums are lower.
Just like every other life insurance company, the whole life policy offered by Protective has the potential to build cash value. Not just that, the insurance rate for term life is low, and the policy provided is very cost-competitive.
If you seek an extended term life span of 35 to 40 years, then you should consider Protective Life. In addition, if you convert a term life policy, you can select up to eight cash value policies. The only downside of Protective Life Insurance Company is that the growth of cash value may be sluggish.
3. Corebridge Financial
Corebridge Financial, formerly known as AIG Life and Retirement, has an excellent rating when it comes to whole life insurance policy. According to our review, Corebridge stands out for having a reasonably accommodating underwriting for marijuana users.
Individuals might still be eligible for life insurance policies from Corebridge Financial even if they use marijuana eight days a month or less. On the other hand, applicants for life insurance who use marijuana regularly, more than four days per week, may be denied coverage.
Corebridge Financial offers term length between 10 and 35 years, and this can be customized. You just need to speak to the insurance company and let them know how you want your policy to be.
4. Penn Mutual
Penn Mutual is another of the best whole life insurance companies that we recommend to anyone who is in search of universal life insurance policies that provide excellent financial standing, affordable policies, and trustworthy policy illustrations.
This mutual life insurance company gives you the option of optimizing your death benefit for the premiums paid for universal life insurance policies. The cash value policies offered by this insurance company are reasonably priced. Another enviable thing about Penn Mutual is that a permanent life insurance policy may be converted to a term life policy.
However, it is important to note that not all permanent life insurance builds cash value early enough. Also, the premiums for converting term life insurance to permanent life insurance are always high, so prepare to pay higher amounts of money.
5. Mass Mutual
One thing that makes Mass Mutual stand out from other insurance companies is the financial strength and stability of its whole life insurance policy. As a mutual company, the focus is on delivering long-term value to individuals, and the policy guarantees cash value growth and greater flexibility.
Mass Mutual offers a wide range of whole life insurance policies that offer lifelong coverage and build cash value that is easily accessible by the policyholder at any time. This ultimately gives individuals peace of mind and confidence, knowing that the cash value builds early enough and can be accessed when needed.
Factors That Affect the Cost of Life Insurance
Besides the type of coverage selected on your policy, there are numerous factors that can affect the cost of your life insurance policy. Most insurance companies evaluate these variables and determine how much you will be charged for the type of coverage you seek. Some of these factors include:
- Your age
- Gender
- Health status
- Preexisting conditions
- Location and driving record
- Claim history
- Lifestyle and hobbies
The insurance company you are purchasing a life insurance policy from will review these factors and then decide on the cost of your policy. One of the major factors that affects your life insurance premiums is your health status. If your medical history shows that you have a critical illness, you are likely to pay higher premiums.
FAQs
Does whole life insurance have a cash value?
Yes, one of the key benefits of a whole life insurance policy is that it builds cash value. Unlike term life insurance that lasts for a specific period of time, whole life insurance has a cash value component that continues to provide coverage throughout the lifetime of the policyholder. Whole life insurance features a fixed interest rate, and growth in cash value is guaranteed.
Can I buy life insurance on someone else?
Yes, you can get life insurance for someone else, provided the person gives his/her consent. You cannot buy a life insurance policy for someone without his permission or if you cannot prove an insurable interest in the person. Ensure the person you are purchasing the policy for is aware and gives his approval before you proceed with the policy application and payment.
Can I customize my whole life insurance policy?
Of course, you can! Many insurance companies grant their policyholders the privilege of adjusting their policy to their preferred taste. If you wish to adjust the premium payment date or death benefit, you should contact your insurer and ask for information on how to go about it.
