Best Life Insurance With Living Benefits

Mutual of Omaha is best overall because it offers an accelerated death benefit that pays out up to 92% of your benefit amount should you become terminally ill and have less than 24 months to live. That’s a higher payout and longer period than many other companies. This rider comes with some Mutual of Omaha policies at no additional cost. The company also offers chronic illness and critical illness riders.

Founded in 1909, Mutual of Omaha has an A+ financial strength rating with both AM Best and S&P Global. The company notes that it pays out 85% of whole life insurance claims within 24 hours. The provider ranked fifth for customer satisfaction in J.D. Power’s 2021 U.S. Life Insurance Study, well above the industry average, and also has favorable reviews on ConsumerAffairs.

• Mutual of Omaha writes policies in all 50 states, though product offerings may vary depending on where you live, and the policies are known to be affordable.

You can get a quote and purchase coverage online for term life and guaranteed issue whole life. Regular whole life and universal life requiring contacting an agent. For all policies, you may have access to more options by going through an agent. 

Read our full Mutual of Omaha review for more details.

MassMutual’s Care Choice One and Care Choice Select plans are whole life insurance policies with long-term care riders. There are three ways you can use these benefits:

• Receive payouts to cover long-term care while you’re living
• Cancel the policy and receive the surrender value while you’re living
• Receive a tax-free death benefit for your dependents after your passing

If you don’t need that much flexibility but still want funds in case of a terminal illness, you can also add an accelerated death benefit rider to a regular whole life insurance policy with MassMutual. That will provide you with an advance if you’re diagnosed with a terminal illness and are expected to die within 12 months. Either way, you’ll get a policy that accumulates cash value and may be eligible for dividends, which MassMutual has paid every year since 1869. 

Founded in 1851, MassMutual has an A++ financial strength rating with AM Best and has above-average customer satisfaction ratings in J.D. Power’s 2021 Life Insurance Study. While you can’t get a quote for a whole life insurance policy online, quotes for term policies are affordable. For example, a 35-year-old man in the best health will pay $10.79 a month of a 20-year, $100,000 term policy. A 35-year-old woman in the best health would pay $9.84 for the same policy.

MassMutual writes policies nationwide, but product offerings may vary by state. 

Read our MassMutual life insurance review for more details.

Haven Life offers an accelerated death benefit rider with its term policies that provides a significant portion of the face value if the insured becomes terminally ill and is expected to pass away within 12 to 24 months. This is paid in a lump sum. In addition to this rider, Haven has reimagined living benefits with the Haven Life Plus rider, a suite of tools that provide a free online will, a subscription to a fitness app, discounts at MinuteClinic, and more, although it is not available in all states.

Haven is a new player in the insurance industry, but it has expanded to offer term policies nationwide. It was founded in 2015. Haven Life's policies are being underwritten by C.M. Life, a subsidiary of MassMutual which has an A++ financial strength rating with AM Best. Quotes for a 20-year, $500,000 policy are affordable, especially for younger folks. Haven Life estimates that a 35-year-old female nonsmoker would pay around $17.50 per month and a 40-year-old male nonsmoker would pay around $28.42 per month. 

One of the best parts about using Haven is that it’s quick and easy to get coverage online without a medical exam. It’s also possible to talk to them on the phone or via live chat for support.

While many life insurance companies offer riders to assist with terminal illnesses, fewer provide options for temporary impairment. But New York Life has a chronic care rider (note that the name may vary by state, and it isn’t available everywhere) that allows you to access up to 50% of the death benefit if you are diagnosed with a qualifying chronic illness. You can use the payout however you want, and the remaining benefit will be available to your dependents when you die. 

Founded in 1845, New York Life has an A++ rating with AM Best, above-average customer satisfaction ratings in J.D. Power’s 2021 Life Insurance Study, and fewer complaints than would be expected for its size. You can’t get a quote online, and you’ll need to talk to an agent to purchase coverage. There are agents available to help you secure coverage in every state. 

Read our New York Life review for more details.

Nationwide offers a couple of options for living benefits and is the most affordable option in our review. You can get a universal or variable policy with a long-term care rider, which provides you with a monthly benefit should you need long-term care, or you can get an accelerated death benefit on Nationwide’s term, whole, universal, and variable life insurance products. This provides a portion of your death benefit as a lump sum if you are diagnosed with a terminal illness and expected to pass away within 12 months or less. 

Nationwide was founded in 1925 and has an A+ financial strength rating with AM Best. The company is ranked second in J.D. Power’s 2021 U.S. Life Insurance Study. A nonsmoking 32-year-old woman would expect to pay $18.51 for a 20-year, $350,000 policy. A 42-year-old would pay $29.53 for the same policy.

It’s easy to get a quote and apply for a term policy online, but you’ll need to call an agent to get a quote for any of Nationwide’s permanent life insurance policies. 

Nationwide writes policies in all states, but the availability of riders may vary. 

Read our Nationwide review for more details.

None of Fidelity’s policies requires a medical exam and many plans offer same-day approvals, making it the best for qualifying easily of all the companies we reviewed. Fidelity’s Final Expense and Guaranteed Issue policies all include a terminal illness rider at no additional expense; you’ll just need to add the rider when you purchase your policy. The terms of the rider vary, but it allows you to access a portion of your death benefit if you are diagnosed with a terminal illness and expected to pass away within 12 to 24 months. 

Fidelity Life has been providing life insurance products since 1896 and has an A- financial strength rating with AM Best. Fidelity Life was recognized for excellent customer service by Newsweek. The company is licensed in all states except Wyoming and New York, and you’ll be able to get a quote online. Some policies can be bought online and others must be bought over the phone.

Read our Fidelity Life Insurance review for more details.

Northwestern Mutual is ideal for seniors seeking a whole life insurance policy with an accessible cash value plus an accelerated care benefit. Convertible term policies are also available for seniors. 

Permanent policyholders can access the cash value of their policies at any time, and Northwestern Mutual also offers an accelerated care benefit rider. While the details provided about the rider are vague, the benefit is designed to help pay for potential long-term care costs. A large portion of the face value of the policy can be accessed in advance if you qualify. There’s also an early pay benefit that you can add, which will allow you to access up to 50% of your death benefit if you are diagnosed with a terminal illness. These options aren’t available in all states, but Northwestern Mutual does offer policies nationwide. 

The company was ranked third in J.D. Power’s 2021 U.S. Life Insurance Study and has an A++ financial strength rating with AM Best. Northwestern Mutual has been around since 1859 and has an excellent history of paying dividends to permanent policyholders. 

Read our Northwestern Mutual review for more details.

Ameritas is our choice for the most comprehensive living benefits coverage in our review, and its riders are available at no cost to most policyholders. Ameritas writes policies in all states.

The Ameritas Care4Life rider gives you living benefits in three circumstances:

• Up to 25% of your benefit (up to $250,000) for critical illness, such as life-threatening cancer or a major heart attack
• Up to 50% of your benefit (up to $1 million) for chronic illness, or when the insured is unable to perform two out of six activities of daily living
• Up to 75% of your benefit (up to $1 million) for terminal illness, which includes any diagnosis expected to end in death within 12 months

Founded in 1887, Ameritas has an A financial strength rating with AM Best. The provider offers some of the most affordable term policies. You can get a quote online for term policies but not for permanent ones. 

If you want to purchase coverage, you’ll need to contact an agent. It’s possible to get coverage without a medical exam, and convertible term policies are available that also won’t require an exam later on, but there are limits to the benefit amount unless you get an exam. Once you’re a policyholder, you can reach customer service by phone or email.

Read our Ameritas review for more details.