Whether you or your clients already have a life insurance policy or are looking to purchase one, Insure.com has tried to make shopping for a company a little easier.
Insure.com offers a comprehensive consumer guide for insurance information. This is the 11th year it has rated auto, home, life and health insurers.
The company surveyed more than 1,500 people with auto, home, life and health insurance (540 with life insurance). The online survey was conducted in the fall by market research company Slice MR. The respondents were asked to name their insurer and to gauge certain attributes such as the company’s customer satisfaction, ease of service, policy offerings and trustworthiness, among other factors.
Using those responses, the editors at Insure.com then selected the top life insurance companies and analyzed them using information collected from the National Association of Insurance Commissioners’ complaint data, which ranks a company by the number of customer complaints it receives. A complaint index score of higher than 1.0 indicates that the company receives more complaints than average. Data from AM Best, which measures financial strength, was also used in the analysis.
The AM Best survey information contributed 25% to the final total score, while the National Association of Insurance Commissioners’ complaint data contributed to 15% of the score. Sixty percent of the total score was contributed by the Insure.com/Slice MR survey responses. The companies were rated from one to five stars, with five stars being the best ranking.
The editors hope the list of top life insurance companies helps you narrow down your choices. But they also caution that you may want to consult with a financial advisor before making a final decision.
Here is Insure.com’s list of the best life insurance companies of 2023.
9. Globe Life
Globe Life claimed the ninth spot with an overall rating of 2.1 out of 5 stars. The insurer received a high score (94%) for policy renewal. It also received an "A" rating from AM Best and scored 812 out of 1,000 from J.D. Power, well above the industry average of 774 and the highest among the ranked companies.
8. AIG
AIG received 2.3 stars out of 5. Loyalty was one of the key points cited by survey respondents, as 100% said they would renew their AIG life insurance policy. The insurer also received decent marks for policy offerings. It received an "A" rating from AM Best and a J.D. Power score of 744, below the industry average of 774.
7. Amica
Amica received a 2.6 star rating out of 5. The multi-line company allows customers to bundle all of the basics of personal insurance—auto, home and life—in one place. The insurer has the lowest number of customer complaints (an index score of 0.17 from the National Association of Insurance Commissioners) among the ranked companies. It received an "A+" rating from AM Best.
6. AAA
AAA received 2.9 stars out of 5. The insurer has a lower rate than the industry average and nearly all policyholders (98%) indicated that they would renew their policy. The company also received high marks for ease of service. It received an "A" rating from AM Best.
5. Prudential
Prudential received a 3.4 star rating out of 5. The insurer was one of the few companies that scored 100% for policy renewals. The company received an "A+" rating from AM Best and a score of 773 from J.D. Power, just below the J.D. Power industry average of 774.
4. Mutual of Omaha
Mutual of Omaha received a 3.5 star rating out of 5. Customers gave the insurer high marks for ease of service and policy offerings. All policyholders surveyed by Insure.com said they would renew their Mutual of Omaha policy. The company also received an "A+" score from AM Best and a J.D. Power rating of 801.
3. Northwestern Mutual
Northwestern Mutual landed in third place with 3.7 stars out of 5. The insurer scored well for ease of service and being trustworthy. Also, 95% of policyholders said they would renew their policy with the company. The company received a rating of "A++" from AM Best and it also received the lowest index score (.05) from the National Association of Insurance Commissioners.
2. New York Life
New York Life captured second place with a 4.2 out of 5-star rating. The insurer received high survey scores in the 80th and 90th percentiles for most of the categories, including customer satisfaction, ease of service and policy renewals. It received an "A++" rating from AM Best and a 0.27 index score from the National Association of Insurance Commissioners. And based on Insure.com data, the company ranked as the most affordable, costing about 3% less than the industry average.
1. State Farm
State Farm tops the list of the best life insurance companies in 2023. The insurer came out on top with 4.8 out of 5 stars. It ranked first in multiple categories including customer satisfaction, ease of service, policy offerings and trustworthiness. The company received high scores from AM Best ("A++") and the National Association of Insurance Commissioners (a 0.33 index score). Furthermore, State Farm received the highest J.D. Power score of all the ranked insurers, 839 out of 1,000.
The full report can be viewed here: https://www.insure.com/best-life-insurance-companies/
