Penn Mutual is a mutual life insurance company founded in 1847 with $64 billion in assets and a record $300 million dividend payout announced for 2026. The company offers 13 different life insurance policies, maintains an A+ rating from A.M. Best, and has one of the lowest complaint ratios in the industry at just 6% of expected complaints.
Penn Mutual has been protecting families for over 175 years. As one of the oldest life insurance companies in America, they’ve built a reputation for financial strength and putting policyholders first.
What makes Penn Mutual different? They’re a mutual company. This means policyholders own the company, not Wall Street shareholders. That structure has allowed them to pay dividends to eligible policyholders every year since 1847.
In this review, we’ll cover Penn Mutual’s life insurance products, financial ratings, application process, and whether they might be the right fit for your needs.
Penn Mutual Company Overview
Penn Mutual was founded in Philadelphia in 1847, making it the seventh life insurance company established in the United States. Today, they’re a Fortune 1000 company with $64 billion in assets under management as of December 2024.
The company announced a record $300 million dividend payout for 2026. This marks the largest dividend in their history and continues a streak of 175+ consecutive years of dividend payments to eligible policyholders.
Penn Mutual operates through a network of over 9,100 financial professionals across the country. Unlike some insurers, you can’t get quotes online. You’ll need to work with an agent to get pricing and apply for coverage.
Penn Mutual Financial Strength Ratings
Financial ratings tell you how likely an insurance company is to pay claims. Penn Mutual earns high marks from all major rating agencies. You can verify current ratings on Penn Mutual’s official ratings page.
A.M. Best: A+ (Superior) – Affirmed April 2025. This is the second-highest rating out of 15 possible grades. A.M. Best recognized Penn Mutual in 2022 for having the longest streak of high ratings in the industry, maintaining an “A” or higher for over 95 consecutive years.
Moody’s: Aa3 (High Quality) – Affirmed November 2025. This ranks fourth-highest out of 21 ratings and indicates very low credit risk.
Standard & Poor’s: A+ (Strong) – Affirmed December 2025. This ranks fifth-highest out of 22 ratings with a stable outlook.
Fitch: AA- (Very Strong) – Affirmed October 2025. This ranks fourth-highest out of 23 ratings.
KBRA: AA (Very High Quality) – Affirmed October 2025. This ranks third-highest out of 23 ratings.
Penn Mutual also holds an A+ rating from the Better Business Bureau. According to the NAIC’s 2024 Complaint Index, Penn Mutual received only 6% of the complaints expected for a company its size. That’s one of the lowest complaint ratios in the life insurance industry.
Penn Mutual Life Insurance Products
Penn Mutual offers 13 different life insurance policies across five categories. Here’s what’s available.
Term Life Insurance
Term life insurance provides coverage for a set period at the lowest cost. Penn Mutual offers three term options:
Guaranteed Convertible Term – Available in 10, 15, 20, and 30-year terms. You can convert part or all of this policy to permanent coverage without a new medical exam. Minimum coverage starts at $250,000.
Protection Non-Convertible Term – This option offers lower premiums than convertible term but can’t be converted to permanent coverage later. It’s a good choice if you only need temporary protection.
Survivorship Term – Covers two people and pays the death benefit after both pass away. Often used for estate planning purposes.
Whole Life Insurance
Whole life provides lifetime coverage with guaranteed premiums and cash value growth. Penn Mutual offers three whole life products:
Guaranteed Whole Life II – Available up to age 85 with death benefits starting at $50,000. This policy builds cash value and participates in dividends.
Accumulation Whole Life – Launched in September 2024, this is Penn Mutual’s newest product. It’s designed for maximum cash value growth with a current dividend rate of 6%. The policy includes flexible premium options and strong accumulation potential.
Survivorship Whole Life – Covers two people and pays after both pass away. Commonly used by couples for estate planning or wealth transfer to children.
Universal Life Insurance
Universal life offers flexible premiums and death benefits. Penn Mutual provides two traditional universal life options with adjustable coverage amounts and premium payments.
Indexed Universal Life (IUL)
IUL policies tie cash value growth to market index performance while protecting against losses. Penn Mutual offers two IUL products with varying levels of upside potential and downside protection.
Variable Universal Life (VUL)
VUL policies let you invest cash value in sub-accounts similar to mutual funds. Penn Mutual offers three VUL options for those comfortable with investment risk. These require a securities license to sell and involve market risk.
Penn Mutual Life Insurance Riders
Riders let you customize your policy for specific needs. Penn Mutual includes some riders automatically and offers others for an additional cost.
Included Riders:
Accelerated Death Benefit for Terminal Illness – Access a portion of your death benefit if diagnosed with a terminal illness.
Accelerated Death Benefit for Chronic Illness – Available on qualifying policies, this rider lets you access benefits if you can’t perform two or more activities of daily living.
Optional Riders:
Waiver of Premium – If you become disabled, Penn Mutual waives your premium payments while keeping your coverage active.
Children’s Term Rider – Add coverage for your children under one policy.
Long-Term Care Rider – Access death benefits to help pay for nursing home or in-home care.
Flexible Protection Rider – Add temporary term coverage to a permanent policy.
Enhanced Permanent Paid-Up Additions Rider – Accelerate cash value growth in whole life policies.
Penn Mutual Application Process
Penn Mutual offers two paths to coverage: traditional underwriting and their accelerated ACE program.
Traditional Underwriting
The standard application takes 4 to 6 weeks. You’ll complete an application with questions about your health, family history, and lifestyle. Most applicants will need a medical exam that includes blood work, urine sample, and basic measurements.
Your exam results and application determine your rate class. Better health typically means lower premiums.
ACE Accelerated Underwriting
Penn Mutual’s Accelerated Client Experience (ACE) program can approve coverage in as little as 24 hours without a medical exam. If you’re interested in no-exam life insurance, ACE is worth exploring.
ACE eligibility requirements:
- Ages 20-65
- Coverage up to $5 million
- Must meet health and lifestyle criteria
The ACE program uses data analytics and third-party databases to assess risk. Not everyone qualifies, but it’s worth asking your agent if you’re eligible.
Pros and Cons of Penn Mutual
Pros:
- 175+ years of consecutive dividend payments
- Record $300 million dividend for 2026
- Excellent financial ratings from all major agencies
- Only 6% of expected NAIC complaints
- 13 different policy options
- ACE program offers no-exam coverage up to $5M
- New Accumulation Whole Life with 6% dividend rate
- Mutual company structure puts policyholders first
Cons:
- No online quotes available
- Must work with an agent to get pricing
- May not be the cheapest option for simple term coverage
- Limited product availability in New York
- Products can be complex for those wanting basic coverage
Frequently Asked Questions
Is Penn Mutual a good life insurance company?
Yes, Penn Mutual is a financially strong life insurance company with over 175 years of history. They hold an A+ rating from A.M. Best and have one of the lowest complaint ratios in the industry at just 6% of expected complaints. Their mutual company structure means policyholders, not shareholders, come first.
Does Penn Mutual pay dividends?
Yes, Penn Mutual has paid dividends to eligible policyholders every year since 1847. For 2026, they announced a record $300 million dividend payout. Dividends aren’t guaranteed, but Penn Mutual has one of the longest dividend payment streaks in the industry.
Can I get Penn Mutual life insurance without a medical exam?
Yes, through Penn Mutual’s ACE (Accelerated Client Experience) program. Eligible applicants ages 20-65 can get coverage up to $5 million without a medical exam, with potential approval in as little as 24 hours. Qualification depends on your health history and other factors.
What types of life insurance does Penn Mutual offer?
Penn Mutual offers 13 different policies: three term life options, three whole life products (including the new Accumulation Whole Life), two traditional universal life policies, two indexed universal life policies, and three variable universal life policies. They also offer annuities.
How do I get a quote from Penn Mutual?
Penn Mutual doesn’t offer online quotes. You’ll need to contact a financial professional to get pricing. You can find an agent through Penn Mutual’s website or work with an independent broker who represents multiple carriers.
Key Takeaways
- Penn Mutual is a mutual company founded in 1847 with $64 billion in assets
- They announced a record $300 million dividend payout for 2026
- Financial ratings include A+ from A.M. Best and A+ from BBB
- NAIC complaint ratio is just 6% of expected complaints
- 13 life insurance products across term, whole, universal, IUL, and VUL categories
- ACE program offers no-exam coverage up to $5 million for ages 20-65
- New Accumulation Whole Life product launched September 2024 with 6% dividend rate
- No online quotes available, must work with an agent
Ready to see if Penn Mutual is right for you? Use the quote tool on this page to compare rates from top-rated carriers. We’ll help you find the coverage that fits your needs and budget.
