Mutual of Omaha Life Insurance Company: A Review

by Jeff Rose on November 28, 2017 · 0 comments

in Life Insurance Company Reviews

If you’ve ever shopped for life insurance, then you know it can be a long and frustrating process.

There are several different types of plans and hundreds of companies to comb through when you’re looking for the perfect policy. Every insurance company is different, and all of them have various benefits and are going to give you different rates. It’s vital you find the best plan available to you.

One of those companies is Mutual of Omaha. They are one of the most popular insurance companies on the market, but this doesn’t mean they are necessarily the best option for you.

This post is going to look at some of the advantages and disadvantages of Mutual of Omaha and help you decide if they are going to be the best choice for you and your family.

The History of Mutual of Omaha

mutual of omaha logoIn 1909, Mutual of Omaha (then known as Mutual Benefit Health & Accident Association), filed articles of incorporation with the Nebraska Insurance Department. The next year, they were authorized to start selling health and accident insurance.

In 1917, they began selling coverage to working women as they started to enter the workplace during World War 1.

Shortly after, in 1918, Mutual Benefit consolidated with Omaha Health & Accident Association. Around 40 years later, the company shortened their name to Mutual of Omaha and adopted their new look.

Through the years, they have experienced a lot of changes, but they continue to offer several types of insurance policies for their customers. If you’re looking for a stable and well-established life insurance company, Mutual of Omaha fits the bill.

They have excellent ratings from all of the third-party rating systems, including an “A+” rating from A.M. Best.

Mutual of Omaha is one of the oldest companies on the market, which means they have years and years of experience working with all types of clients across the country. Their years of experience has helped them become one of the largest insurance companies around, but, of course, this doesn’t necessarily make them the best fit for you.

What Does Mutual of Omaha Offer?

Like most big-name insurance companies, Mutual of Omaha has several different kinds of policies you’ll need to compare before you purchase coverage. Each plan has different advantages and disadvantages.

The most popular kind of protection is a term insurance policy.

These plans are a temporary form of coverage and are only active for the length of the term that you purchased. They are going to be the most affordable kind of plan and will save you money on your life insurance.

If you decide you want to purchase a term insurance plan, there are two ways you can do it through Mutual of Omaha.

You can purchase a plan online, which is becoming the more popular way of purchasing life insurance. When you buy life insurance online, you won’t have to take a medical exam, but there are going to be some limits on your insurance plan. They will still look at your age, gender, if you use tobacco, and pull your MIB records and DMV records.

To qualify for their no exam online policies, you have to be between the ages of 30 – 74, and the policies will be active until you’re 80 years old.

Another restriction is you can only purchase $100,000 worth of protection.

For most applicants, that won’t be nearly enough insurance protection. Not having enough life insurance is one of the worst mistakes that you could ever make for your loved ones. If something tragic were to happen to you, and your plan was too small, your loved ones would have to pay for some leftover debts and bills that they wouldn’t have to money to pay off.

If $100,000 of coverage isn’t enough, then you should choose the other option of buying term insurance through Mutual of Omaha, which is to work with an agent. When you work with an agent, you can buy a plan anywhere from 10 to 30 years, and as long as you’re between the ages of 18 – 80, then you’ll qualify. Additionally, you won’t be restricted on the amount that you can buy.

The other main type of coverage is their whole life plans. As you can guess from the name, whole life policies are permanent coverage that are effective for as long as you pay the premiums for the plan. Just like the term plans, Mutual of Omaha allows you to buy whole life insurance either online or with an agent.

With the online option, there is no exam required, but the max amount of coverage that you can buy is $25,000. These plans are only good for older applicants who don’t hold a lot of debt anymore, but still want to give their family money for funeral costs and final bills.

When you work with an agent to get a whole life insurance policy, you can choose between a guaranteed issue plan or a simplified underwriting policy, which will require a few health questions.

Each type has different ages that they will issue. Guaranteed issue will allow anyone from ages 45 – 85, while simplified underwriting expands the ages to 18 – 85.

Additionally, the amount of coverage is going to change. Guaranteed coverage is going to give you up to $20,000 worth of coverage, and simplified will increase that to $50,000.

Additionally, they have other options for life insurance, like Children’s Whole Life, Universal Life Insurance, and Accidental Death Insurance. Each of these are slightly different, and they are all designed for different types of clients. Their agents can help you compare all of the plans and help you decide which type of policy is going to meet your needs.

Finding the Best Plan Possible

Because there are so many options and companies on the market, you could spend days calling different agents to get quotes and plan details. The best way to ensure that you’re getting the perfect plan at the lowest rates is to work with an independent insurance agent. Unlike a traditional insurance agent, independent brokers work with dozens of highly rated companies.

These independent agents aren’t tied down to one company, and they won’t sell you one company over another. It’s their mission to help find you the lowest rates for your specific life insurance needs.

Working with an independent agent will save you both time and money on your life insurance search. Mutual of Omaha might be the best choice for you, but it might not. Instead of wasting hours and hours to contact dozens of companies, let an independent broker do all of that dirty work for you.

You never know what life is going to throw at you tomorrow, which means that you shouldn’t wait another day to get the coverage that your family deserves. If something tragic were to happen to you, and you didn’t have life insurance, your family would be stuck with a mountain of debt and final expenses.

Losing a loved one is never easy, but being straddled with debt is going to make the whole situation a thousand times worse.

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