While there are many companies that offer life insurance coverage, they are not all the same in terms of their financial strength and stability, and their reputation for paying out their policyholder claims. Allstate Life Insurance has a very positive reputation for its financial stability and for paying out its claims as promised.
Allstate Life Insurance Company At A Glance
|
Premiums Written | $45.8 billion |
|
Size | 4th largest insurer |
|
Financial Strength |
A+ Superior (A.M. Best) |
|
Year Founded |
1931 |
|
Coverage Area |
Nationwide |
|
Households serviced |
16 million |
|
HQ Address |
2775 Sanders Road, Suite A3, Northbrook, IL 60062 |
|
Phone Number |
1-800-255-7828 |
Table of Contents
Allstate Company Information
Over time, Allstate has grown quite a bit from its humble beginnings. The company’s best-in-class products and services help to offer both insurance protection and retirement solutions for over 16 million households across the United States.
In addition to life insurance, Allstate offers home, renter, condo, auto, motorcycle, business, boat, motorhome, snowmobile, ATV, pet, event, landlord, and supplemental insurance.
Overall, Allstate Insurance Company is continually innovating – this is done primarily for the good of the company’s customers, whether that means helping them to protect their loved ones, or to simply save a little money.
Allstate Financial Strength
Due to its strong financial standing, as well as its commitment to paying out timely policyholder claims, Allstate Insurance Company has secured very high ratings from the insurer ratings agencies. These include the following:
- A+ from A.M. Best
- A+ from Standard & Poor’s
- A1 from Moody’s Investor Services
In addition, even though Allstate Insurance Company is not currently an accredited member of the Better Business Bureau (BBB), this organization has provided Allstate with a grade of A+ (on an overall grade scale of A+ to F).
Allstate Life Insurance Products
Allstate Life Insurance Company offers a wide range of different types of life insurance protection. This is beneficial for the company’s customers in that they can closely match their coverage needs to the products that are offered.
Term and Permanent Life Insurance Protection
The company provides both term and permanent life insurance protection which means that policyholders can also choose between having more affordable coverage with death benefit-only protection, or a long-term permanent policy that will also build up tax-deferred cash value over time.
Primary Term Life Insurance Options
The primary term life insurance options that are offered via Allstate Life Insurance Company include:
- Basic Term Life Insurance Policy
- TrueFit Term Life Insurance
Basic Term Life Insurance
With the Basic policy, an insured can be protected for 15 years (provided the premium continues to be paid). During that time, the premium will remain level, as will the amount of the policy’s coverage.
There are several different coverage amount options to be chosen from –ranging from $100,000 to $50,000,000. One of the nice advantages of this particular policy is that the applicant for coverage is not required to undergo a medical examination as a part of the underwriting and approval process. This means that someone who may have certain types of adverse health conditions may still be able to obtain approval. There are, however, some health questions that are asked on the application.
Because there are no major medical exams to contend with, as well as because the insurance underwriters will not have to spend a lot of time reviewing medical tests, this policy can be approved and issued relatively quickly. With that in mind, someone who may need life insurance coverage quickly may want to consider this plan.
TrueFit Term Life Insurance
With TrueFit Term Life Insurance, an individual may obtain either 10 years or 30 years of term life coverage. This plan is one that can actually “grow” with the insured in that it offers various layers of protection when they are needed.
In addition, as the insured’s needs change over time, this particular policy may have its premium altered to a lower price. The TrueFit Term Life Insurance policy also offers several different riders that may be added to the policy – helping to truly fit the protection to the need.
Permanent Life Insurance
Allstate Life Insurance Company also offers permanent life insurance coverage. These policies offer death benefit protection, as well as the ability to build up cash value directly within the policy. The cash that is in the cash value component is allowed to grow and expand on a tax-deferred basis. This means that there will be no taxes due on this growth unless or until it is withdrawn.
Whole Life Insurance
For whole-term life insurance, the coverage will remain in force throughout the entire lifetime of the insured – as long as the premium is paid. This type of coverage is guaranteed in terms of the death benefit amount, regardless of the insured’s increasing age, and whether or not the insured contracts a health issue – and, the cash value will grow at a set interest rate that is set by the insurance company.
Universal Life Insurance
Universal life insurance or UL, also offers permanent life insurance coverage, as well as a cash value component. However, this coverage is regarded as being more flexible than whole life. This is because the amount of the premium that goes towards the death benefit and the amount that goes towards the cash value may be altered – within certain parameters – by the insured.
Variable Life Insurance
Yet another type of life insurance coverage that is offered through Allstate Life Insurance Company is variable life insurance. These policies are also permanent in nature. However, the funds that go into the cash component of the policy will have their return based on equity vehicles. This can allow the cash to grow considerably in good, upward market conditions. But, in downward market movements, it can be much riskier for the policyholder. These are very common among other insurers like Gerber Life and Banner.
Because of the potential risk that may be involved, it is important that an individual carefully assess their risk tolerance, as well as their purpose for the coverage, when considering the purchase of a variable life insurance policy.
Other Coverage Products
Allstate offers a wide variety of other types of life insurance coverage. Click below to find out which insurance company is the best in each category:
- Condo
- Snowmobile
- ATV
- Event
- Landlord
- Supplemental and Health
In addition, the company also offers additional products and services, such as retirement planning and investments, as well as roadside assistance.
How Does Allstate Compare?
How does Allstate compare to other popular insurance companies? Check out this table where we compare Allstate, Haven Life, and Met Life.
Company | Best For | J.D. Power Score | A.M. Best Rating |
|---|---|---|---|
|
Claims Paid | 853 |
A+ | |
|
Quick Coverage | 780 |
A++ | |
|
Variety of Policies | 786 |
A+ |
While all three of these companies are very compatible, it is important to note that Haven Life offers only term life insurance.
For more information, you can check out the individual reviews of Haven Life and Met Life.
History of Allstate
For more than 85 years, Allstate Insurance Company has been providing coverage to customers. For many years, Allstate has been known by its slogan, “The good hand’s people.” And, the company does live up to its name. The company is headquartered in Northbrook, Illinois, a suburb of Chicago.
Allstate was originally founded by General Robert E. Wood – who was also at the time the Chairman of Sears, Roebuck, and Company. The initial goal of this insurer was to bring both service and quality to the auto insurance niche. In doing so, the insurer was able to develop its unique auto insurance rate classification system. This provided better vehicle insurance premium rates to those who were considered to be safer drivers.
Over time, Allstate has also made other significant moves to keep the industry in check and to help as many customers as it could. For example, during the time of World War ll, many men were away serving the country on military leave. Because of that, Allstate Insurance Company began to train women as insurance agents. This was an extremely successful move.
In addition, Allstate was also the first insurer to have insurance agents live and work in their communities. This bold move, however, had the result of strengthening the bond between agents and their customers.
Conclusion
When shopping for the life insurance coverage that will suit your specific needs, it is typically best to work with a company or an agency that has access to more than just one life insurance carrier. Doing so will allow you to directly compare policies, benefits, premiums, and insurance carriers before moving forward with your decision.
If you are in the process of seeking life insurance, we can help. We work with many different life insurance carriers, and we can assist you with finding the one that will be right for you. When you are ready to proceed, simply fill out the form on this page.
How We Review Insurance Companies:
Good Financial Cents systematically reviews U.S. insurance companies, emphasizing policy offerings, customer experiences, and overall reliability. Our goal is to present a balanced and comprehensive perspective to potential policyholders. Editorial transparency remains a cornerstone of our approach.
We actively collect information from insurance companies and place significant weight on customer feedback. By integrating this feedback with our research, we can offer a well-rounded evaluation. Each company is then rated based on multiple criteria, resulting in a star rating from one to five.
For a deeper understanding of the criteria we use to rate insurance companies and our evaluation approach, please refer to our editorial guidelines and full disclaimer.
Product Name: Allstate Product Description: Allstate is one of America's leading insurance providers, offering a broad range of insurance products, from auto and homeowners to life and business insurance. Established in 1931, it has consistently been at the forefront of the insurance industry, ensuring that its clients are in "good hands." With its vast network of agents and advanced digital tools, Allstate aims to provide comprehensive protection and peace of mind to its policyholders. Summary of Allstate Founded over 90 years ago as part of Sears, Roebuck, and Co., Allstate has grown exponentially and is now an independent entity known for its commitment to customer service and innovation. Serving millions of clients across the U.S., Allstate not only offers traditional insurance products but has also expanded into areas like roadside assistance and identity protection. With a focus on personalized service, each client can find a tailored solution fitting their unique needs. The company’s strong financial foundation, combined with its commitment to using technology for enhanced customer experience, solidifies its position in the competitive insurance marketplace. Pros Cons
Allstate Life Insurance Review
Overall
