For individuals over 50, life insurance needs often mirror those of younger applicants, yet the cost escalates with age, and coverage requirements can shift as children become independent. Based on thorough research, Investopedia has identified the leading life insurance companies catering to this demographic. These companies offer a diverse range of policies, competitive rates, and beneficial features.
Investopedia’s evaluation, encompassing 45 companies and 70 criteria, focused on customer satisfaction, financial stability, and available policy types. This analysis revealed the following top picks:
- Best Overall, Best for Living Benefits, Best for Final Expense Insurance: Nationwide
- Best for Whole Life Insurance: Lafayette
- Best for Term Life Insurance: Protective
- Best for Financial Stability: State Farm
- Best for No-Medical-Exam Life Insurance: Penn Mutual
- Best for Cheap Term, Best for Seniors: Thrivent
- Best for Dividends: MassMutual
Nationwide
Nationwide stands out as a premier choice for individuals in their 50s due to its financial strength, favorable customer satisfaction ratings, and an extensive selection of policy options. The company also boasts a wide array of riders, including the option for coverage up to $1.5 million without a medical examination and prompt decision-making processes. Nationwide’s final expense insurance is also notable, providing up to $50,000 in coverage, surpassing the limits of many competitors.
Key Advantages
- Product Selection: Offers a wide spectrum of policy types and riders.
- Financial Strength: Holds a superior financial strength rating (A+).
- Customer Satisfaction: Receives relatively few customer complaints.
- Living Benefits: Includes three living benefits riders with many policies and offers the option of a long-term-care rider.
Potential Drawbacks
- Service limitations: No online claims filing or live chat support.
- Dividend Restrictions: Whole life insurance policies do not pay dividends.
- Age restrictions: Eligibility for specific term policies may be limited based on age and gender.
Founded in 1925 and headquartered in Columbus, Ohio, Nationwide provides a comprehensive suite of insurance products.
Lafayette
Lafayette is recognized for its strong whole life insurance offerings, making it a top choice for individuals seeking this type of coverage. The company offers seven distinct whole life policies, each carrying generous coverage limits, including a final expense policy with a $50,000 maximum. Furthermore, Lafayette includes living benefits riders at no additional cost.
Key Advantages
- Policy Variety: Extensive selection of whole life insurance options with high coverage limits.
- Customer Service: Receives fewer complaints relative to its size.
- Additional benefits: Includes living benefit riders on some policies.
Potential Drawbacks
- Accessibility: No online quotes, applications, or live chat.
- Geographic Limitations: Does not operate in New York State.
Established in 1905 and based in Cincinnati, Lafayette caters to a diverse range of life insurance needs.
Protective
Protective is particularly attractive for its affordable term life insurance premiums, especially for those aged 55 and 65. The company offers policies to applicants up to age 80, with terms extending up to 35 years for those in their 50s.
Key Advantages
- Affordability: Offers competitive term premiums for people over 50.
- Terms: Provides term lengths up to 35 years.
- Convenience: Offers online quoting and application processes.
Potential Drawbacks
- Service: Lacks final expense insurance options.
- Support: Does not offer live chat support.
Protective was founded in 1907 and is based in Birmingham, Alabama.
State Farm
With an A++ financial strength rating from AM Best, State Farm demonstrates a high capacity to meet its financial obligations. The company has an excellent customer satisfaction record, according to J.D. Power’s survey and a strong lineup of life insurance products.
Key Advantages
- Financial Strength: High financial strength rating.
- Customer Satisfaction: High customer satisfaction.
- Variety: Offers a wide selection of policy types.
Potential Drawbacks
- Rider Costs: Charges for living benefits riders.
- Limitations: Low coverage limits for no-medical-exam policies.
Established in 1929 and headquartered in Bloomington, Illinois, State Farm provides a full suite of insurance products.
Penn Mutual
Penn Mutual allows individuals to obtain no-medical-exam life insurance policies with death benefits up to $10 million. This limit is notably higher when compared to its competitors, making it a strong option, especially for larger policies.
Key Advantages
- Coverage limits: Offers large coverage limit for no-medical-exam policies.
- Customer Service: Has a good complaint record.
- Product Selection: Offers various life insurance policy options.
Potential Drawbacks
- Final Expense Limitation: Doesn’t sell final expense insurance.
- Online Service: No online application or live chat functions.
Located outside of Philadelphia, Penn Mutual has been in the insurance industry since 1847.
Thrivent
Thrivent is a top choice for individuals over 50 looking for affordable term life insurance. It offers policies to a wide range of ages and has a good reputation for customer satisfaction and robust financial strength.
Key Advantages
- Cost: Lowest term life premiums for people over 50.
- Accessibility: High maximum issue age on applications.
- Customer Service: Few complaints.
Potential Drawbacks
- Eligibility: Exclusivity to Christians and their spouses.
- Limitations: Few riders available.
Founded in 1902 and based in Minneapolis, Thrivent offers insurance to a specific demographic.
MassMutual
MassMutual is recognized for its impressive dividend interest rate on its whole life policies, a significant advantage for those seeking this type of coverage. Furthermore the company’s dividend payouts have set new records.
Key Advantages
- Dividends: Market-leading dividend interest rate for Whole Life.
- Customer Satisfaction: Stellar customer complaint record.
Potential Drawbacks
- Online Service: No online quotes, or online applications.
MassMutual has been in business since 1851 and is located in Springfield, Massachusetts.
Investopedia’s recommendations are built upon rigorous research and analysis to provide a useful guide to consumers seeking life insurance. The companies highlighted have consistently demonstrated strong financial health, customer satisfaction, and overall value, making them worth considering.
