Over the past several years, given the shakeup in the financial services industry, consumers have become somewhat leery of large financial companies – even some of those that have impeccable reputations.
That is why it has become even more important than ever to check the background and the ratings of insurers prior to moving forward with the purchase of a policy as it is essential that the insurer be there for the long term when counting on it for one’s financial security.
Northwestern Life Insurance Company Review
Northwestern Mutal is currently one of the more elite life insurance companies, both in product offerings and financial strength ratings.
When you’re dealing with a life insurance policy, you want to be 100% sure that they are going to pay out the policy when/if the time comes.
Going with a less than reputable company could leave your family with frustration trying to get the money that they deserve from the payout.
We’re here to make your life easier; with so many companies (and products) to choose from, it simply becomes an overwhelming process to find the right carrier. Our job is to help you not only find that match but make sure you save on costs along the way.
Northwestern Mutual has been in business for more than 150 years, and it has successfully weathered many economic and financial storms – including the Great Depression, the great stock market Crash of 1929, and the more recent recessions of 2008 and 2009.
The company has faced several difficult challenges as a business, but they continued to provide quality insurance policies to millions of people across the United States.
If you’re looking for a company and brand who has stood the test of time over several generations, Northwestern Mutual could be the perfect option for you.
This company provides a number of insurance and financial products to its customers. In the area of life insurance, Northwestern Mutual has a persistency rate of 96 percent for its life insurance coverage in force.
This is seen as being a primary indicator of customer satisfaction. It also prides itself on its extremely high industry ratings.
Company Ratings for Northwestern Mutual
The independent rating services regularly examine insurers and provide them with ratings. These ratings are based upon the companies’ financial strength, as well as on their claims-paying ability, and on their overall operation.
Northwestern Mutual has been given the highest financial strength ratings that can be awarded to any life insurance company by all four of the major credit rating agencies. These include the following:
Financial Strength Ratings
|Moody’s Investors Service||Aaa||January 2014|
|A.M. Best Company||A++||April 2013|
|Fitch Ratings||AAA||January 2014|
|Standard & Poor’s||AA+||June 2013|
Whole Life Insurance Options from Northwestern Mutual
Northwestern Mutual offers a wide variety of whole life insurance products – including some unique products that can be geared to various clients’ situations. One of these is the 65 / 90 life insurance policy.
With this traditional permanent life insurance policy, the coverage is permanent when you pay a level amount of premium until you either reach age 65 or age 90.
The company also offers a type of combination life insurance that actually allows policyholders to mix a permanent life policy with a term component, along with an additional paid-up death benefit.
Other permanent life insurance products which are offered under the Northwestern Mutual product umbrella include universal life, variable life, and limited pay life insurance.
There is also a universal life insurance “guaranteed” product that is used primarily in estate planning situations where a level death benefit and guaranteed premiums are typically much more important than the building up of an underlying cash or investment value component.
Other Northwestern Mutual Policy Offerings
While Northwestern Mutual does offer some other types of life insurance coverage options such as term, the company is not very competitive in this particular area. One reason for this is because the rates tend to be a bit high on the company’s term life products, which essentially defeats the purpose of going with this type of low-cost coverage.
In fact, for many people, choosing to go with term life insurance can solve the issue of obtaining a high amount of death benefit, while at the same time fitting easily into the budget.
Term life insurance can also be used for covering specific needs such as paying off a mortgage balance or funding a child’s college education should a parent pass away when the child is still young.
Because Northwestern Mutual is not really competitive in the term life insurance area, the company tends to promote more of its permanent life insurance products to its customers and prospects.
If you’re looking for the cheapest term life insurance, Northwestern probably is not going to be the best option, but if you’re looking for one of their other life insurance options, they are an excellent choice.
Because there are several different kinds of life insurance policies offered by Northwestern, you’ll have to see which type of policy aligns with your preferences and what you need out of the coverage.
- Do you want the cheapest policy that you can find?
- Or would you like a policy that is never going to expire?
- Do you want a policy that is going to save you money today, or save you money in the future?
- What do you want your family to be able to do with the payout of the policy?
You need to weigh the advantages and disadvantages of each type of policy and see which one think fits your needs the best.
The Bottom Line on Northwestern Mutual
Although Northwestern Mutual is rated extremely high in terms of its financial strength and claims-paying, the company just simply is not competitive in the area of term life insurance products – a type of coverage that is an extremely important tool in many people’s overall financial plan.
With this in mind, for those who are seeking lower cost term life insurance coverage, there are a number of other highly rated life insurers in the marketplace today that provide top quality term life protection that will be there for your loved ones if they should need it.
If you’re strictly going on a budget, and have short term needs, term is the product you want. You can get it cheaper from other companies, but the easy conversion privileges to other more permanent products are a huge benefit in starting with Northwestern Mutual.
Questions about Northwestern Mutual, or need help finding the best insurance policy for you?
We would be happy to help.
Working with an independent agent has several advantages that you won’t get by going through the process alone.
We always represent dozens of highly rated companies, neer just one, in the nation. These might include the likes of Allstate, for example. We will do all the necessary scouting to help you obtain quality quotes from quality companies you trust.
To get a comparison of these term life insurance policy quotes, you can use the quote tool that is available on this website or call us at 1-888-552-6195.