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Best Whole Life Insurance Companies for 2024

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Best Whole Life Insurance Companies for 2024

The best whole life insurance company is Lafayette because of its many policy options, solid financial strength rating, and very few customer complaints. To find the best whole life insurers, we researched 45 companies and made our picks based on 70 criteria, including whole life product offerings, rider availability, and financial strength.

Best Whole Life Insurance Companies for 2024

  • Best Overall: Lafayette
  • Best for Financial Stability, Best for Customer Satisfaction, Best for High-Issue Age Policies, Best for Dividends: MassMutual
  • Best for Burial Insurance, Best for Living Benefits: Nationwide
  • Best for Children: Assurity
  • Best for Small Policies: Transamerica

Best Overall : Lafayette


Lafayette Life Logo

Lafayete

  • Financial Strength Rating: A+
  • NAIC Complaint Rating: Much better than expected for company size
  • Dividend Rate: 5.2%
Why We Chose It

In addition to its financial strength and good customer satisfaction record, Lafayette caters to a wide range of policyholders by offering low minimum coverage amounts and no maximum limits. The company also includes living benefits that pay out if you unexpectedly become seriously ill. You can choose from seven types of whole life policies, including one final expense policy, to get the coverage that best fits your needs. 

Lafayette has paid dividends to policyholders on its whole life policies annually since 1905.

Pros & Cons
Pros
  • Superb financial strength rating

  • Coverage amounts as low as $3,000, and no maximum

  • Includes riders for serious or terminal illnesses

  • Strong record of paying dividends

Cons
  • Does not sell policies in New York

  • No online quotes

  • No online application

  • Only issues policies to up age 85

Overview

With Lafayette, you may not need to take a medical exam for coverage up to $100,000, and you can get a decision on your application as soon as the same day. You’ll also have the convenience of filing a claim online. 

Lafayette may be a good choice for parents since its whole life policies can be issued to children and adults. You can also buy a children’s term rider for your policy. The rider covers children up to age 18, and they can convert it to a whole life policy for themselves when they become adults.

Lafayette’s final expense policy (also called a burial policy) is available if you're between 40 and 85. It offers coverage worth up to $50,000. It’s a guaranteed-issue policy, and no medical exam is required. 

Lafayette, founded in 1905 and headquartered in Cincinnati, is a subsidiary of Western & Southern Financial Group. 

Riders

Riders included at no additional cost:

Riders available:

Best for Financial Stability, Best for Customer Satisfaction, Best for High-Issue Age Policies, Best for Dividends : MassMutual


MassMutual

 MassMutual

  • Financial Strength Rating: A++
  • NAIC Complaint Rating: Much better than expected for company size
  • Dividend Rate: 6.1%
Why We Chose It

Best for Financial Stability

MassMutual received an A++, the highest AM Best financial strength rating, indicating a superior ability to meet its ongoing insurance obligations.

Best for Customer Satisfaction

The company has the lowest NAIC complaint index among the top 15 companies we evaluated and ranks third in J.D. Power’s customer satisfaction survey. A low NAIC index means MassMutual received fewer customer complaints than expected relative to its size.

Best for High-Issue Age Policies

MassMutual offers whole life policies up to age 90, the highest age we saw among the companies we reviewed.

Best for Dividends

MassMutual’s high dividend interest rate helps policyholders grow their cash value.

Note

MassMutual has paid dividends every year since 1869.

Pros & Cons
Pros
  • High dividend rate

  • Highly satisfied customers

  • Best possible financial strength rating

  • Online and mobile access to account

Cons
  • No same-day decision

  • Doesn’t offer no-medical-exam policies

  • No online application

Overview

MassMutual has maintained an A++ financial rating from AM Best, which means the company has a superior ability to meet its financial obligations. This is the best grade an insurer can get.

As a policyholder, you can get a whole life policy worth up to $1 million or more if you qualify. The company issues whole life policies for people up to age 90. 

MassMutual also receives very few complaints for an insurance company of its size. Consumer research company J.D. Power ranks MassMutual third for overall customer satisfaction compared to 21 other insurance companies. Customers can access their accounts online or via mobile app. 

MassMutual pays a dividend rate of 6.1% on eligible whole life policies, the highest rate of the 45 companies we evaluated, followed by Guardian at 5.9%. MassMutual declared it would pay an estimated $2.2 billion in dividends to eligible policyholders in 2024, the largest payout in the company’s history. It says it maintains an 18-year record of paying the highest dividend rates in the industry. 

MassMutual was founded in 1851, and its headquarters are in Springfield, Massachusetts. 

Riders

Included riders:

  • Terminal illness
  • Chronic illness

Available riders:

Best for Burial Insurance, Best for Living Benefits : Nationwide


Nationwide

Nationwide

  • Financial Strength Rating: A+
  • NAIC Complaint Rating: Much better than expected for company size
  • Dividend Rate: None
Why We Chose It

Best for Burial Insurance

Nationwide has the best funeral insurance because it offers up to $50,000 in coverage with no medical exam for people up to age 80. This is a graded death benefit policy, so your beneficiaries receive a return of the premiums you’ve paid plus interest if you die during the first two years the policy is active. If you die after the graded period, the company pays the full death benefit. 

Best for Living Benefts

As for accelerated death benefits, Nationwide includes a terminal illness rider that allows you to receive part of the death benefit early if you are diagnosed with a terminal illness. Its policies also include a chronic illness rider that will advance payments if you have a chronic illness and a critical illness rider that pays in advance if you have a heart condition, cancer, or other life-threatening illness.  

Pros & Cons
Pros
  • Offers same-day decision

  • High customer satisfaction rating

  • Offers no-medical-exam policies up to $5 million

Cons
  • Doesn’t pay dividends

  • Can’t start a claim online

  • Maximum issue age is only 80

Overview

Nationwide is a good choice if you’re looking for a policy that includes accelerated death benefits at no cost, or if you just want to cover funeral expenses. Nationwide has strong financial and customer satisfaction ratings. The company placed fifth in customer satisfaction in J.D. Power’s 2024 U.S. Individual Life Insurance Study. 

Nationwide also offers a children’s term life insurance rider for kids up to 22. When they become adults, the children can convert their term policy to permanent insurance and take ownership of it. We also like that those who have diabetes or who have recovered from cancer may be able to get coverage. 

For added convenience, customers can get a quote for a whole life policy online, apply online, and some can get approval within the same day. 

Nationwide has its headquarters in Columbus, Ohio, and was founded in 1925.

Riders

Included riders:

  • Terminal illness
  • Chronic illness
  • Critical illness

Available riders:

  • Children’s rider
  • Long-term care
  • Guaranteed insurability
  • Waiver of premium
  • Accidental death

Best for Children : Assurity


Assurity Life Insurance

Assurity Life Insurance

  • Financial Strength Rating: A-
  • NAIC Complaint Rating: As expected for company size
  • Dividend Rate: 4.4%
Why We Chose It

Best for Children

Assurity offers a whole life policy for children with coverage worth up to $300,000. The company also offers a child term rider for children up to age 18, which they can convert to permanent coverage when they become adults. Once they're adults, they can take ownership of the policies. 

Pros & Cons
Pros
  • Pays dividends

  • Offers no-medical-exam applications on policies worth up to $1 million

  • Same-day decision available

Cons
  • Slightly lower AM Best grade than other companies

  • No final expense policies

Overview

Assurity whole life customers have a lot of flexibility, with policies that have a minimum coverage amount as low as $10,000 and a maximum coverage limit of $250,000 or more if you’re eligible. Assurity sells a rider that allows you to add term coverage for your children and issues whole life policies for people up to age 85. 

Assurity has earned an A- financial rating from AM Best. It’s not the highest among the companies we reviewed, but it still means the company has an excellent ability to meet its ongoing insurance obligations.

Assurity was founded in 1890, is headquartered in Lincoln, Nebraska, and is available in all states. 

Riders

Included riders:

  • Terminal illness
  • Chronic illness

Available riders:

  • Child term
  • Guaranteed insurability
  • Waiver of premium
  • Disability income
  • Critical illness
  • Accidental death

Best for Small Policies : Transamerica


Transamerica

 Transamerica

  • Financial Strength Rating: A
  • NAIC Complaint Rating: Much worse than expected for company size
  • Dividend Rate: None
Why We Chose It

We chose Transamerica for this category because the minimum coverage amount for a final expense policy is $1,000, the lowest of the companies reviewed. This provides an affordable way to offset some final expenses or minor debts or make a gift to a charity.

Pros & Cons
Pros
  • Can start a claim online

  • Offers a no-medical-exam policy

  • Coverage available in amounts as low as $1,000

Cons
  • Same-day decision not available

  • No online quotes

  • Frequent customer complaints

Overview

Transamerica offers funeral expense policies with up to $50,000 in coverage and a maximum issue age of 85. This is a graded death benefit policy, so if you die within the first two years of buying the policy, your beneficiaries won’t get the full death benefit, only the premiums you’ve paid plus interest. Transamerica can cover people who live with diabetes and who are in remission from cancer. 

You can purchase a temporary term rider for your children to cover them up to age 25. Once the children become adults, they can convert their policy to permanent coverage.

Transamerica has a poor customer service record and receives many more complaints than expected for a company of its size. It ranked 18th, nearly at the bottom of the 22 life insurance companies in J.D. Power’s 2024 study of customer satisfaction in the industry.

Transamerica was founded in 1904 in San Francisco and is now headquartered in Cedar Rapids, Iowa. 

Riders

Included riders:

  • Terminal illness
  • Chronic illness
  • Critical illness

Available riders:

  • Children's term
  • Guaranteed insurability rider
  • Waiver of premium
  • Disability income
  • Accidental death benefit

Compare the Best Whole Life Insurance Companies

Company Best For AM Best Rating NAIC Complaint Index Dividend Rate
Lafayette Best Overall A+ 0.307 (much better than expected for company size) 5.2%
MassMutual Best for Financial Stability Best for Customer Satisfaction Best for High-Issue-Age Policies Best for Dividends A++ 0.075 (much better than expected for company size) 6.1%
Nationwide Best for Burial Insurance A+ 0.372 (much better than expected for company size) Doesn’t pay dividends
Assurity Best for Children A- 0.807 (as expected for company size) 4.4%
Transamerica Best for Small Policies A 2.872 (much worse than expected for company size) Doesn’t pay dividends

Our Expert Picks for the Best Life Insurance

Lafayette has the best all-around offering of whole life insurance policies. It’s a good choice for anyone who wants either a very small or very large amount of coverage. Unlike other life insurers that offer just one type of whole life policy, Lafayette offers a variety to suit every need. 

MassMutual is a solid second choice because it’s a financially strong company with a good track record for customer satisfaction. You can be approved for a whole life policy up to age 90, and be eligible for the highest dividend of all the companies we reviewed.  

Anyone seeking a burial whole life policy should consider Nationwide, which is also a great choice if you’re looking for a policy with living benefits included. If you want to cover your children, Assurity stands out for its standalone children’s whole life policy and its child term rider. And if you only want a small policy, Transamerica offers a death benefit as low as $1,000.

What Is Whole Life Insurance and How Does It Work?

Unlike a term life insurance policy that ends after a certain number of years, a whole life policy lasts for your entire life, as long as you keep paying the premiums, which stay the same as long as you have the policy. These policies come with a savings component called a cash value account, which grows over time.

What Is Whole Life Cash Value?

Life insurance companies put part of your premium into your cash value account. Once the cash value grows enough, you can access it by withdrawing from the account or borrowing against it. When you die, your beneficiaries receive the face amount, which is the death benefit minus any withdrawals or unpaid loan amounts. 

"[Whole life insurance] is a very good conservative safe haven allocation for a percentage of your assets," said Eric Elkins, CEO of Double E Financial. "It's probably not going to lose money." But, he added, you usually have to pay interest when you borrow against it.

What Are Whole Life Living Benefits?

Another term for whole life living benefits is accelerated death benefits. These allow policyholders to access a portion of the death benefit while they’re still alive if they’re diagnosed with a specific condition, like a terminal or chronic illness, or need long-term care. The money can be used to cover medical expenses. Some insurance companies include one or more living benefits with their policies for no extra cost. Others charge extra or don’t offer living benefits at all.

What Are Whole Life Insurance Dividends? 

Whole life insurance dividends are payments insurance companies make to certain policyholders when the company performs well financially. Typically, mutual insurance companies—those owned by policyholders—pay dividends to whole life policyholders as a way of sharing their profits. These dividends can help reduce premium payments, increase the cash value of your policy, or go into your savings. 

There’s no guarantee that an insurance company will pay dividends every year.

How Much Does Whole Life Insurance Cost Per Month?

Life insurance companies rely on statistical analysis to determine how much someone will pay for a whole life policy. They calculate how much they can expect to receive in premiums against their risk of paying the death benefit. In light of this, many factors come into play when determining the cost of a whole life policy:

  • Age: The older you are when you buy a policy, the more it generally costs because of a shorter life expectancy.
  • Gender: Women generally pay less for whole life insurance because they tend to live longer.
  • Tobacco usage: Smokers pay more because tobacco use increases the risk of health problems and shorter lifespans.
  • Occupational or hobby risks: If your job or hobbies are dangerous (like construction work or skydiving), your premiums may be higher due to the increased risk of injury or death.
  • General health: People in good health typically pay less since they're likely to live longer.
  • Amount of coverage: The more you want, the higher your premiums will be since the insurer takes on more risk.
  • Riders: Adding optional benefits to your policy to get extra protection or benefits can raise the price.

By one estimate, a 40-year-old woman who doesn’t smoke can expect to pay a little over $1,000 a month for a whole life policy with a $1 million death benefit.

How to Choose the Best Whole Life Insurance for You

While all whole life insurance policies work in much the same way, you’ll find differences in the details.

What sets policies apart is the balance of death benefit protection and cash value accumulation, as well as how long you have to pay the premiums.

Consider How You Want to Pay 

Typically, you pay fixed whole life premiums for the rest of your life. The company or your insurance agent can provide you with a cash value illustration to give you an idea of how quickly the cash value will grow. But you may also want to pay more upfront to grow your cash value faster. You can choose a limited payment policy, where you pay premiums for a set period, like 10 or 20 years, or a lump sum policy, where you only make one premium payment. The more you pay early, the faster your cash value grows.  

Think About Whether You’ll Take a Medical Exam 

You may have the option of not taking a medical exam when you apply for a policy. That may be more convenient, but life insurers may charge you more to cover their risk. A simplified issue whole life policy streamlines the application process and doesn’t require bloodwork, but if you’re healthy, you may get lower premiums if you take an exam. A guaranteed issue policy costs even more, but your application is guaranteed to be approved regardless of your health. You usually can’t buy as much coverage without going through medical underwriting.

Choose a Coverage Amount 

Your purpose for buying life insurance will determine your coverage amount. You may want an amount that covers your mortgage, replaces your income, or covers your estate taxes

Some financial experts recommend multiplying your income by 10 or considering your debt, income, mortgage, and education costs to estimate your life insurance coverage needs

Look for Riders That Fit Your Needs

Look for riders that you are most likely to use in your lifetime. For example, you may want a terminal, chronic, or critical illness rider if you have a family history of serious illnesses. Here’s an explanation of some common riders and how they benefit you and your family.

  • Guaranteed insurability: Allows you to purchase additional coverage without undergoing a medical exam
  • Waiver of premium: Allows you to stop paying premiums if you can’t work due to a disability
  • Disability income: Provides a portion of your income if you become disabled
  • Terminal, chronic, critical illness: Allows you to access a portion of the death benefit if you become seriously ill
  • Long-term care: Provides payments if you require long-standing in-home or hospice care
  • Spouse or child term rider: Adds term life insurance to your policy to cover your spouse or children

Alternatives to Whole Life Insurance

If you want life insurance, but aren't sure if whole life is right for you, here are other options to consider:

  • Term Life Insurance: This type of insurance lasts a set number of years, often 10, 20, or 30. It's usually cheaper than whole life because it doesn't last as long and doesn't build cash value. Term is a good choice if you only need coverage for a specific period, like while paying off a mortgage or raising children.
  • Universal Life Insurance: This flexible option lets you adjust your premiums and coverage amounts as your needs change. Like whole life, it also builds cash value over time but gives you more options for growing and using it: Indexed universal life policies tie the cash value to the performance of a stock market index, like the S&P 500, and variable universal life policies invest the cash value in sub-accounts, which are similar to mutual funds.
  • Final Expense Insurance: This is designed to help cover funeral and burial costs. It's a smaller and often more affordable policy, well-suited for older people who don't need much coverage.

Why You Should Trust Us

Investopedia collected data points related to dozens of criteria that are important when choosing life insurance across 45 companies. We used this data to review each company for financial stability, customer satisfaction, coverage options, cost, and other features to provide unbiased, comprehensive reviews to help you make the right decision. 

Investopedia launched in 1999 and has been helping readers find the best life insurance companies since 2020. We are dedicated to helping you find the right life insurance provider for your needs.

Frequently Asked Questions

How We Review the Best Life Insurance Companies 

To compile our list of the best whole life insurance companies, Investopedia first conducted preliminary research on dozens of life insurance companies and determined that 45 met our minimum standard for financial strength, customer satisfaction, and online transparency. For each of those, we then gathered a total of 70 evaluation criteria, resulting in 3,150 data points altogether. Data was collected between May 20 and July 3, 2024, and sourced from company webpages, media representatives, rating agencies (AM Best, NAIC, and J.D. Power), and customer service calls.

We combined subject matter expertise, consumer survey and company survey data, and industry research to create a quantitative model that scores each company based on six major categories:

  • Policy Features: 50%
  • Riders: 18%
  • Financial Stability: 10%
  • Customer Satisfaction: 10%
  • Application and Online Service Features: 4%
  • Policy Types: 8%

For more information, read our full methodology explanation.

Best Whole Life Insurance Companies

Investopedia / Mira Norian

Article Sources
Investopedia requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate. You can learn more about the standards we follow in producing accurate, unbiased content in our editorial policy.
  1. AM Best. “Guide to Best’s Financial Strength Ratings.”

  2. J.D. Power. "Life Insurers Miss the Mark on Clarity of Information and Personalization—Particularly Among Younger Customers, J.D. Power Finds."

  3. MassMutual. “MassMutual Reports Strong 2023 Financial Results Fueled by Company Records.”

  4. Census. "Living Longer: Historical and Projected Life Expectancy in the United States, 1960 to 2060." Page 3.

  5. Top Whole Life. “How Much Does Whole Life Insurance Cost? Rates & Charts.”

  6. Fidelity Life. “Cash Value Life Insurance.”