Best Whole Life Insurance Companies of 2025
Whole life insurance provides a blend of benefits not found in other life insurance types, including fixed premiums, a guaranteed death benefit, and a guaranteed minimum rate of return on your cash value. Forbes Advisor’s analysis of roughly 3,000 whole life insurance policies, considering factors such as cost, investment performance, policy illustration reliability, and financial strength, has identified the leading companies in this category. All companies included in the ratings hold an AM Best financial strength rating of A+ or better.
Our Expert Picks
- State Farm
- Northwestern Mutual
- Penn Mutual
The Best Whole Life Insurance Companies of 2025
BEST OVERALL: State Farm
- Forbes Advisor Rating: 5.0
- Our Expert Take: State Farm distinguishes itself with robust financial stability. This instills confidence in policyholders, reassuring them of the company’s long-term capacity to fulfill its obligations. State Farm particularly shines due to its policy illustrations and early cash value access.
- Whole Life Policies Sold: Limited Pay, Single Premium, Final Expense
- Dividends Possible: Yes
- Minimum Coverage Amount: $10,000 to $100,000 depending on the policy
Pros:
- Exceptional financial strength, ensuring ability to pay claims.
- Highly trustworthy policy illustrations for reliable projections.
- Competitive costs, especially for policies with death benefits under $1,000,000.
Cons:
- Investment performance is average compared to competitors.
- Internal policy costs can vary, so comparison is key.
More Details:
- Whole Life Policy Options: Limited pay, single premium and final expense
- Coverage starts: between $10,000 and $100,000 depending on the policy
- Available for ages: 0 to 80, depending on the policy
- Life Insurance Riders: Available: Waiver of premium rider, Guaranteed insurability rider, Additional insurance rider, Child insurance rider, Waiver of monthly deduction, Accelerated care benefit.
BEST FOR RELIABLE POLICY ILLUSTRATIONS: Northwestern Mutual
- Forbes Advisor Rating: 4.5
- Our Expert Take: Northwestern Mutual provides a solid blend of high financial strength ratings and good pricing on whole life insurance for many age groups and health profiles. Its policies offer early cash value access and dependable illustrations.
- Whole Life Policies Sold: Whole Life One, Whole Life Plus
- Dividends Possible: Yes
- Minimum Coverage Amount: $50,000
Pros:
- Superior financial strength.
- Very dependable policy illustrations.
- Potentially lower internal policy costs.
Cons:
- Investment performance has lagged behind top competitors historically.
- Internal policy costs can be higher in some cases.
More Details:
- Whole Life Policy Options: Whole Life One and Whole Life Plus
- Coverage starts at: $50,000
- Available for anyone up to age: 85
- Life Insurance Riders: Waiver of premium benefit (whole life only), Waiver of selected premium amount (universal life only), Additional purchase benefit, Accelerated care benefit. (Availability of riders could depend on the type of policy.)
BEST FOR HISTORICAL INVESTMENT PERFORMANCE: Penn Mutual
- Forbes Advisor Rating: 4.0
- Our Expert Take: Penn Mutual is appreciated for its financial strength and competitive internal costs, which translate into greater cash value accumulation. Penn Mutual’s asset investment has shown strong historical results.
- Whole Life Policies Sold: Guaranteed Whole Life II, Protection Whole Life, Survivorship Whole Life
- Dividends Possible: Yes
- Minimum Coverage Amount: $50,000
Pros:
- More policies offer early access to cash value.
- Strong historical investment performance.
Cons:
- Policies may be less cost-competitive compared to some competitors.
- Policy illustrations are somewhat less reliable compared to others.
More Details:
- Whole Life Policy Options: Guaranteed Whole Life II, Protection Whole Life, Survivorship Whole Life
- Coverage starts at: $50,000
- Available up to age: 85
- Life Insurance Riders: Accidental death benefit rider, Additional insurance rider, Child life insurance rider, Chronic illness rider, Disability rider, Early/enhanced cash value rider, Estate protection rider, Guaranteed insurability rider, Lapse protection rider, Overloan protection rider, Return of premium rider, Spouse/other insured rider, Terminal illness accelerated death benefit rider, Waiver of monthly deduction rider, Waiver of premium rider, Waiver of surrender charges rider. (Availability of riders could depend on the type of policy.)
Cost of Whole Life Insurance
The cost of whole life insurance fluctuates depending on factors such as age and the desired coverage amount.
Average Monthly Cost for a $250,000 Whole Life Insurance Policy
The average monthly cost for a $250,000 policy is $193 for a 30-year-old female, and $224 for a 30-year-old male.
Average Monthly Cost for a $500,000 Whole Life Insurance Policy
For a $500,000 policy, the average monthly cost is $352 for a 30-year-old female and $394 for a 30-year-old male.
If premium payments are made annually, instead of monthly, savings may occur.
Factors That Influence Whole Life Insurance Costs
Several factors influence the cost of whole life insurance, including:
- Coverage Amount: The chosen coverage amount significantly impacts the premium.
- Age and Gender: These details help insurers determine life expectancy.
- Health: Insurers review factors such as health history, prescriptions, weight, and smoking status. Medical exam results are also assessed.
- Driving Record: Infractions, such as DUIs, can affect rates.
- Criminal Record: Major or multiple felonies can lead to declines.
- Risky Hobbies and Occupation: High-risk hobbies or jobs can result in higher rates.
- Credit and Finances: Risk scores may use credit and public records.
How Does Whole Life Insurance Work?
Whole life insurance stays in force for the policyholder’s lifetime, provided premiums are paid. Premiums contribute to a cash value account that grows over time. Cash value can be accessed through withdrawals, loans, or policy surrender. Upon the policyholder’s death, beneficiaries receive the death benefit. Unless an additional rider is purchased, the cash value reverts to the insurance company.
