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The 7 Best Whole Life Insurance Companies (2024)
Nationwide, New York Life and State Farm are three of our top picks for the best whole life insurance companies based on our comprehensive ratings.
Whole life was the most popular type of coverage purchased by 1,000 life insurance policyholders we surveyed in February 2024, accounting for 42% of respondents.
More survey participants (13%) purchased whole life from State Farm than any of the 33 other companies respondents purchased coverage from.
Saad Imran is a personal finance writer with expertise in insurance, loans, credit cards and mortgages. When not writing, he’s a cat enthusiast who loves playtime with his furry companion.
Tori Addison is an editor who has worked in the digital marketing industry for over five years. Her experience includes communications and marketing work in the nonprofit, governmental and academic sectors. A journalist by trade, she started her career covering politics and news in New York’s Hudson Valley. Her work included coverage of local and state budgets, federal financial regulations and health care legislation.
After an in-depth analysis of 34 companies nationwide, we at the MarketWatch Guides team have chosen Nationwide and New York Life as our top whole life insurance providers. We researched and reviewed life insurance companies to determine the best picks for whole life coverage based on factors such as policy and rider options, cash value benefits and overall financial stability.
Our editorial team follows a strict methodology for reviewing life insurance companies.
34
Companies Reviewed
60,346
Quotes CollectedOur team collected more than 60,000 sample quotes from life insurance companies using unique user profiles to give readers an accurate view of pricing across competitors. We gather quotes for ages 18 to 75 years old for 62 life insurance providers.
19
Rating FactorsWe score life insurance companies based on 19 different factors to provide you with a comprehensive rating.
100
Hours Reached
Our Top 7 Picks for Whole Life Insurance Companies in 2024
“I chose whole life insurance because it was the option that provided my family with the best protection in the event that I’m gone and not providing as I do today.”
We chose Nationwide as the best whole life insurance provider because it offers two options for coverage, is financially stable and has one of the highest customer satisfaction ratings on our list. Its whole life policy comes with two payment options, allowing you to choose the ideal coverage based on your situation. When we surveyed 1,000 life insurance policyholders in February 2024, Nationwide customers said that general coverage was the most important factor in their decision before purchasing a policy.
The company received a score of 840 out of 1,000 on J.D. Power’s 2023 Individual Life Insurance Study, which is significantly higher than the industry average. It also has an A financial strength rating from AM Best, suggesting an “excellent” ability to meet its financial obligations and settle claims promptly.
Our Ratings
The table below provides a more detailed look at how Nationwide performed in our 2024 life insurance study. You can also see how Nationwide compares to average scores for other whole life providers.
Pros & Cons
ProsOffers whole-life coverage with two payment options Received the second-highest score on the J.D. Power customer satisfaction survey with 840 out of 1,000 pointsHolds a financial strength rating of A with the credit rating agency AM BestConsMust talk to an agent for a quote Doesn’t have a convenient live chat feature for customers to reach support, based on our review
Coverage and Riders
Nationwide offers two options for whole-life coverage — Whole Life 100 and 20-Pay Whole Life. Both types of policies differ in terms of payment options. Here are a few key takeaways based on our analysis of the company’s coverage:
Whole Life 100 policy premiums remain the same overall and stop when the policyholder turns 100 years old.
20-Pay Whole Life features fixed premiums the policyholder must pay for 20 years, but coverage lasts for your entire life.
The minimum coverage amount for a whole life insurance policy is $10,000.
You can also purchase the following riders with your whole life insurance policy:
Chronic illness
Critical illness
Terminal illness
Accelerated death benefit
Children’s term insurance
Guaranteed insurability benefit
Premium waiver
New York Life
Best for cash value policies
4.0
Coverage: 4.7/5
Riders: 5/5
Availability and Ease of Use: 4.7/5
Brand Trust: 4.6/5
Established more than 175 years ago, New York Life is the largest life insurance company by market share, according to the National Association of Insurance Commissioners (NAIC). The company offers multiple whole life insurance options, including a Secure Wealth Plus plan, which has a quick approval process and allows you to benefit from early, tax-deferred cash value growth. For this reason, our team chose the company as the best for cash value policies.
New York Life also features a standard whole life insurance plan and customizable whole life insurance, in which you can choose how long you want to pay your premiums. The provider holds an A++ financial stability rating from AM Best, indicating a strong ability to settle financial obligations. The company received a score of 794 out of 1,000 in J.D. Power’s 2023 Individual Life Insurance study, which is higher than the industry average.
Our Ratings
In the table below, we’ve provided a more detailed breakdown of how New York Life scored in our 2024 life insurance study. You’ll also see the average scores of all 34 providers in our most recent study to make it easy to compare.
Pros & Cons
ProsLets you customize the premium-paying period of your whole life policyOffers a Secure Wealth Plus plan with early cash value build-up and a quick underwriting processHigher-than-average score in the J.D. Power Individual Life Insurance Study ConsMust contact an agent to purchase a policy Does not have information about coverage limits on its website
Coverage and Riders
New York Life offers a standard whole life insurance policy, custom whole life insurance and Secure Wealth Plus plan. We analyzed these plans and summarized essential details to help you decide on the right coverage for you.
The standard whole life insurance policy provides guaranteed insurance coverage and lets you build cash value over time.
The custom whole life policy lets you choose the number of premium-paying years, maximizing cash value accumulation.
The Secure Wealth Plus plan provides a streamlined underwriting process with application approval within 48 hours and an early cash value build-up.
Those looking for additional coverage can purchase any of the below riders:
Living benefit
Disability waiver of premium
Chronic care
Accidental death benefit
Option to purchase paid-up additions
State Farm
Best for customer satisfaction
4.6
Coverage: 4.7/5
Riders: 4.4/5
Availability and Ease of Use: 3.9/5
Brand Trust: 4.9/5
State Farm lets you choose from multiple whole life policies, which differ in terms of the duration of premium payments and benefits. The company also received the highest score of 843 out of 1,000 in J.D. Power’s 2023 Individual Life Insurance Study, which offers insights into how the company handles customer concerns. For this reason, it is our team’s pick for customer satisfaction. When we surveyed 1,000 policyholders in February 2024, 13% of respondents reported purchasing coverage from State Farm — a higher number than any other provider.
Additionally, State Farm holds a low 0.37 NAIC complaint index, indicating that customers filed fewer service-related complaints than with some other companies. In addition, the company has an A++ rating from AM Best, which shows it’s financially capable of paying out claims.
Our Ratings
See a more detailed look at how State Farm scored in our 2024 life insurance study in the table below. You’ll also find average scores from all 34 providers in our most recent study to compare with State Farm’s scores.
Pros & Cons
ProsReceived the highest customer satisfaction score in the 2023 J.D. Power studyOffers many types of whole life policies with different payment options Has a lower-than-average 0.37 complaint index with the National Association of Insurance Commissioners (NAIC)ConsRequires you to contact an agent for a quote Does not offer a guaranteed issue final expense policy in New York
Coverage and Cost
State Farm’s whole life insurance policies differ in premium payment duration, coverage and age limits. These key takeaways can help you understand the important details of its policies:
Limited pay life insurance lets you choose the duration of your premium payments, from 10, 15 or 20 years.
Single premium life insurance offers lifelong coverage with only one premium payment and a minimum coverage amount of $15,000. Coverage is available for applicants up to 80 years old.
Guaranteed issue final expense insurance offers up to $15,000 in coverage for individuals between the ages of 45 to 80. However, this policy is not available in New York.
The $10,000 whole life policy is for applicants in New York looking for final expense coverage. Coverage is only available for people ages 50 through 75.
Available riders can differ based on your location and chosen policy, so get a quote from State Farm directly to learn your available options. The company might offer you these riders with your policy:
Waiver of premium for disability
Guaranteed insurability option
Payor insurance
MassMutual
Best for permanent life insurance
4.8
Coverage: 4.7/5
Riders: 5/5
Availability and Ease of Use: 4.7/5
Brand Trust: 4.6/5
MassMutual is our pick for permanent life insurance because it offers a range of coverage options, including whole life, guaranteed issue, universal life and variable universal plans. The company offers eight types of whole life insurance — more than any other provider we reviewed — that vary in the length of time you pay premiums. MassMutual’s lowest premium policy offers level premiums to age 100, while another plan offers the opportunity to build cash value quicker by making premiums payable between eight and 20 years. It also lets policyholders earn potential dividends with whole life insurance policies, but this benefit is not guaranteed. Among respondents to our February 2024 survey of 1,000 policyholders nationwide, 29% of MassMutual customers purchased whole life coverage.
MassMutual has been in business for 173 years and is financially stable, as suggested by its A++ financial strength rating from AM Best. The company received the third-highest score of 809 out of 1,000 in J.D. Power’s 2023 Individual Life Insurance Study, which suggests satisfactory customer service. It also has a 0.03 NAIC complaint index, which is significantly lower than many providers in the industry.
Our Ratings
For a more granular look at how MassMutual fared in our 2024 life insurance study, see the table below. To help you compare more easily, we’ve also included the average scores of all providers in our latest study.
Pros & Cons
ProsOffers whole life coverage in eight different formats, which is more than any other provider we reviewedReceived one of the highest scores for customer satisfaction in J.D. Power’s latest study Holds the highest possible A++ financial strength rating from AM Best ConsMust speak to a financial professional to sign up for a policy Does not offer much information regarding whole life coverage on its website
Coverage and Riders
MassMutual does not provide many details about its whole life insurance policy on its website. However, the company encourages you to contact a financial professional who can help you figure out the right coverage for your needs and situation.
You might be able to purchase these riders with your policy:
Option to split, change or convert rider
Estate protection rider
Early or enhanced cash value rider
Overloan protection rider
Lapse protection rider
Long-term care rider
Terminal illness accelerated death benefit rider
Guaranteed insurability rider
Additional insurance rider
Catastrophic disability rider
Waiver of premium rider
Penn Mutual
Best for custom coverage
4.4
Coverage: 3.8/5
Riders: 4.4/5
Availability and Ease of Use: 4.7/5
Brand Trust: 3.1/5
A.M. Best A+
Why We Picked Penn Mutual
Why We Picked Penn Mutual
Penn Mutual is potentially a suitable option for those looking to customize their whole life policy with added endorsements. The company offers many different types of coverage and several riders. For instance, you can add riders that extend your coverage to other beneficiaries or offer financial assistance if you develop a severe medical condition.
The company also receives a significantly lower number of complaints about its service, with a 0.03 NAIC complaint index. It also holds a superior A+ financial strength AM Best rating, which means it will likely pay your claims on time.
Our Ratings
The table below gives a more in-depth look at how Penn Mutual performed in our most recent life insurance study. We’ve also included the average scores from all providers in our 2024 study for comparison purposes.
Pros & Cons
ProsOffers a larger number of riders than competitors such as State FarmHolds a “superior” A+ financial stability rating from AM Best Has a lower-than-average 0.03 NAIC complaint index ConsNot included in J.D. Power’s Individual Life Insurance Study Only lets you purchase a policy through an agent
Coverage and Riders
Penn Mutual offers three types of whole life policies, which include Guaranteed Whole Life II, Protection Whole Life and Survivorship Whole Life. Here are some key takeaways based on our assessment of these policies:
Guaranteed Whole Life II comes with several rider options, a customizable premium-paying duration and coverage up to age 121.
Protection Whole Life also offers lifelong coverage, fixed premiums and a guaranteed cash value accumulation, but is a potentially more affordable option.
Survivorship Whole Life provides coverage for two people, cash value accumulation, rider options and lower rates than individual policies.
Penn Mutual offers several riders with each whole life policy. Available options will depend on the type of policy you choose, including:
Children’s term insurance
Policy split option
Flexible protection
Chronic illness accelerated benefit
Estate preservation term insurance
Overloan protection
Accelerated death benefit
Accidental death benefit
Guaranteed increase option
Disability waiver of premium
Northwestern Mutual
Best for a personalized experience
4.3
Coverage: 3.5/5
Riders: 3.75/5
Availability and Ease of Use: 4.2/5
Brand Trust: 5/5
Northwestern Mutual stands out among other whole life insurance providers we reviewed because of its personalized approach. It lets you find an ideal policy for your needs by working with a financial advisor, who can evaluate your income, debts, financial obligations and goals to recommend a suitable policy. You can match with an advisor instantly after answering a few questions using the company’s online tool, or you can search for a specific advisor.
The company allows you to select how long you’ll pay premiums on whole life — primary options are 10, 25 and 30 years — and claims to have paid dividends on its whole life policies every year since 1872. Northwestern Mutual also has a lower-than-average 0.06 NAIC complaint index, which suggests that most policyholders have fewer complaints about its process.
Our Ratings
See how Northwestern Mutual performed in our 2024 life insurance study in greater detail in the table below. You can also see the average scores for all 34 providers in our most recent study to make it easy to compare.
Pros & Cons
ProsHas a lower-than-average 0.06 NAIC complaint index Has paid dividends on whole life insurance every year since 1872Holds a superior A++ financial stability rating from AM Best ConsLimited number of riders available compared to some other optionsMust contact an advisor for an estimate
Coverage and Riders
Northwestern Mutual offers little information regarding its whole life policy features on its website. However, if you’re looking for extra protection, you might be able to choose from these riders:
Waiver of premium
Additional purchase benefit
Long-term care benefit riders
Guardian Life
Best for an in-person experience
4.7
Coverage: 4.7/5
Riders: 5/5
Availability and Ease of Use: 4.7/5
Brand Trust: 4.6/5
Guardian Life is our choice for those who want to purchase a policy in person, as the insurer has offices nationwide. You can find the nearest location by entering your ZIP code on its website. You can then schedule a meeting with a financial advisor to discuss your needs and buy coverage in person. Whole life was the most common type of coverage purchased by Guardian Life customers who responded to our February 2024 survey, accounting for 42% of the company’s policyholders.
It’s also one of the few insurers we’ve reviewed that offers an online estimate for life insurance policies. The insurer offers an estimate of your monthly expenses after providing information such as your gender, age, smoking habits and annual income. Although the company did not score well in the latest J.D. Power study compared to other options, it received fewer complaints regarding its service based on the NAIC index.
Our Ratings
We’ve provided a more detailed look at how Guardian Life scored in our 2024 study in the table below. You’ll also find average scores from all providers in our most recent life insurance study to make it quick and easy to compare Guardian Life’s scores.
Pros & Cons
ProsProvides an online estimate of potential life insurance expensesHas a lower-than-average 0.09 NAIC complaint index Holds an A++ financial stability rating from AM Best ConsLower-than-average score in J.D. Power’s Individual Life Insurance StudyOffers limited information regarding policy features on its website
Coverage and Riders
Guardian Life’s whole life insurance policies include GuardianEstateGuard, Safeguard360 and a specialized policy for those living with HIV. However, since the company does not provide much information regarding its coverage on its website, contact your local financial professional to learn which type of policy you should choose.
The company might let you add these optional coverages to your whole life policy:
Whole life insurance is a type of permanent life insurance protection that offers guaranteed investment growth and pays a death benefit to beneficiaries no matter when the insured person dies, as long as premiums are paid. Beneficiaries can use the funds from the insured’s life insurance payment to pay for funeral expenses, accumulated debt or any other purpose.
When is whole life insurance a better choice than a term life policy?
Generally, whole life [insurance] makes more sense as part of an estate or legacy plan. Because whole life policies have a tax-advantaged cash component that accumulates over time, it can also be an appealing choice for people looking for a vehicle to save for future needs, either as a supplement to qualified retirement plans or for future generations.
Whole life insurance policies build cash value, which the policyholder can access through withdrawals and loans. Every time you pay a premium, your life insurance company will allocate a portion into an account you can withdraw from or take out a loan while still alive. The cash value is guaranteed to grow tax-deferred at a specified rate. According to industry association LIMRA, formerly the Life Insurance Marketing and Research Association, whole life is the most popular form of life insurance, representing 39% of sales in 2023.
Is Whole Life Insurance Worth It?
Whole life insurance guarantees a death benefit so long as you pay the policy premiums, and it accumulates cash value as a living benefit that you can withdraw or borrow against. However, it’s substantially more expensive than term life insurance. So, is whole life insurance worth it?
Permanent life insurance lasts for your entire life — as long as you pay the policy’s premiums. It also accumulates cash value, which the policyholder can access before they die. This additional investment component can make whole life policies a smart choice if you want to supplement your retirement funds or have complex financial obligations.
Nick Ramirez, a Los Angeles-based agency owner with Goosehead Insurance, recommends asking yourself some questions before buying a whole life policy, including: “Do you want money at retirement? Do you want a cash value to build up over time?”
“These questions are important to discuss with each family and often their financial planner or advisor,” he added.
If anyone depends on your income or you want to guarantee a payout to cover your end-of-life costs no matter when you die, whole life insurance is likely worth it. If you have no lifelong dependents, your significant financial obligations (like a mortgage or paying for college) have been met and you have no debt, you may want to reconsider buying whole life insurance
Alternative Types of Permanent Life Insurance
Whole life insurance is a type of permanent life insurance that features level premiums that do not change over time. The cash value of your policy is also guaranteed to grow at a specific annual rate. Like all permanent life insurance policies, whole life insurance lasts for the policyholder’s entire life and pays a death benefit to the plan’s named beneficiaries when the insured person dies.
MARKETWATCH GUIDES TIP
You can also use permanent life insurance as a source of financial security while you are still alive. A portion of premiums paid into permanent life insurance policies is allocated to a cash value component. Cash value can be borrowed against, invested or withdrawn, depending on the policy type and other restrictions.
Here are some other types of permanent life insurance that can serve as alternatives to whole life insurance:
Universal life insurance: Universal life insurance allows for flexibility in the premium payment amount and death benefit. Instead of agreeing to a fixed premium rate and guaranteed cash value growth as with a whole life insurance policy, you can make adjustments — subject to limitations — according to your needs.
Variable life insurance: Unlike many other life insurance policies, variable life insurance allows policyholders to invest their premium payments in a range of investment options. The policy's cash value is directly linked to the performance of these investments, allowing your cash value to grow at a rate higher than what’s guaranteed by a whole life insurance policy. Like whole life insurance, variable life insurance premiums remain level.
Variable universal life insurance: Variable universal life insurance is a more complex type of coverage that combines the features of both variable and universal life policies. These policies allow you to adjust your premium payment and death benefit amounts in addition to allowing you to invest your cash value in a range of investment options.
Indexed universal life insurance: This type of policy invests the plan’s cash value into an index, such as the Standard and Poor’s 500 or the Nasdaq Composite.While indexed universal life policies provide a guaranteed minimum interest rate on the cash value, the potential for higher returns comes from interest earned on the performance of your chosen stock index.
Life Insurance Riders
Life insurance riders, or “add-ons,” are provisions that can be attached to a standard life insurance policy. Many riders require an additional premium, though some are included at no additional cost, and rider availability varies with each policy. Here are some of the most common life insurance riders:
1. Children’s Term Rider
This is an optional rider that allows a policyholder to add one or multiple children to a policy for an increased premium. It pays a benefit if one of your children passes away, and may suit parents looking to cover their children without purchasing an additional plan. When the term expires, you can typically convert the policy into permanent coverage for the child.
2.Guaranteed Insurability
This is an optional rider that allows you to purchase additional coverage for specified events in the future without having to qualify and undergo additional medical underwriting. For instance, a company may allow you to exercise a guaranteed insurability rider when you get married or have a child.
3. Long-term Care Rider
This rider can accelerate a portion of your death benefit if you need long-term care. It can help pay for care at home or in a facility, filling in the gaps that health insurance or Medicare does not cover. This rider may offer value to older policyholders, or more generally, people who want financial protection as they age.
Factors That Affect the Cost of Life Insurance
Life insurance companies don’t just look at the amount of coverage when setting life insurance premiums. Providers underwrite policies based on factors about the individual applicant, such as their age, gender, health and other potential risk factors. Here are common considerations carriers take when underwriting life insurance policies:
Age: As you age, your risk of death increases, which makes it more likely that a claim will be filed on your policy.
Gender: Women have a longer life expectancy than men and generally pay less for life insurance as a result.
Health: Your health is a major factor in your life insurance premiums. Providers may ask you about your medical history or request that you take a medical exam to determine your risk level.
Pre-existing or chronic conditions: When you apply for life insurance, you’ll have to disclose chronic illnesses such as diabetes, heart disease, cancer or sexually transmitted diseases. If you are affected by pre-existing conditions, you may be placed in a higher-risk pool at a greater cost or even excluded from coverage.
Lifestyle: If you engage in smoking, excessive drinking or other unhealthy lifestyle behaviors, it may negatively impact your premiums.
Dangerous hobbies: Some activities put you at an increased risk of death. Dangerous hobbies such as skydiving, skiing or rock climbing increase your beneficiary’s likelihood of filing a claim against your policy and, therefore, your premiums.
Driving record: If your driving record includes accidents, DWI/DUI citations, claims, or tickets, your life insurance cost may increase.
Location: Companies use regional mortality rates and life expectancy data to factor geographical risk into your life insurance rates.
Ask a Real Customer
—Northwestern Mutual Whole Life Insurance Customer
“I estimated how much income my family would need to survive without me and was fortunate to have a trusted professional who was already my financial advisor guide me through the process.”
Frequently Asked Questions About Whole Life Insurance
There is no ideal age to buy whole life insurance, but there are factors that impact which policy you should buy, like your dependents and financial obligations. That said, it’s usually better to buy a whole life policy when you’re younger, as you can lock in lower premiums that won’t increase for the rest of your life.
There are a few major differences between whole life insurance and term insurance. Whole life offers lifelong coverage, and term insurance covers you for a finite period of time, known as a term. Whole life insurance also builds cash value and is more expensive.
Whole life insurance aims to provide a guaranteed death benefit for as long as premiums are paid and build cash value that the insured can use before they die. Its higher limits make it good for leaving behind an estate, replacing a lost income or covering lifelong financial obligations or debt.
Yes, whole life insurance has a cash value component. There is less flexibility and potential for growth than universal life cash value, but it features a fixed interest rate and guaranteed growth.
Methodology: Our System for Ranking Life Insurance Companies
Our team researches and ranks life insurance companies using an in-depth scoring system that considers the factors most important to consumers like you. Our analysis includes a comprehensive review of each provider we feature based on available coverage, customizability, availability, customer service and company reputation. Here are the factors we take into consideration when rating life insurance providers:
Brand trust (40%): Life insurance payouts can exceed $100,000 or more, which makes choosing a reputable and trustworthy insurance provider important. To assess brand trust, we use J.D. Power and Associates customer satisfaction surveys, AM Best credit rating scores and the National Association of Insurance Commissioners (NAIC) complaint index. The higher a company scores in each area, the more points it receives.
Coverage (33%): The more policy options a life insurance company offers, the more opportunities you have to obtain the right coverage for your specific needs. For this reason, we give companies the most points for offering multiple types of life insurance, including various term, permanent and no-exam options.
Availability and ease of use (19%): Since life insurance coverage options can be complex, we consider the ways a customer can reach a company — and how easy communication is. For this category, we research how many communication channels a company offers for general customer support, claims processing and the application process. Companies earn the most points for offering various ways to interact with an agent, both in-person and online.
Riders (8%): Companies offering various life insurance riders or endorsements allow policyholders to better customize their coverage. In this category, we determine how many riders a company offers and award the most points to providers with more than 10 options.
We use our rating system to compare and contrast each company against key factors to help us determine the best life insurance companies in the industry. To learn more, read our
full life insurance methodology
for reviewing and scoring providers.
AM Best Disclaimer
If you have feedback or questions about this article, please email the MarketWatch Guides team at editors@marketwatchguides.com.
Saad Imran is a personal finance writer with expertise in insurance, loans, credit cards and mortgages. When not writing, he’s a cat enthusiast who loves playtime with his furry companion.
Tori Addison is an editor who has worked in the digital marketing industry for over five years. Her experience includes communications and marketing work in the nonprofit, governmental and academic sectors. A journalist by trade, she started her career covering politics and news in New York’s Hudson Valley. Her work included coverage of local and state budgets, federal financial regulations and health care legislation.
