Life Insurance Mutual of Omaha: A Complete Guide

When it comes to securing your family’s financial future, there is perhaps no better investment than life insurance. And if you’re in the market for a policy, one name that’s likely come up in your research is Mutual of Omaha. In this comprehensive guide, we’ll take a closer look at what this company has to offer, including its products, pricing, and customer service.

Background and History

Mutual of Omaha is a Fortune 500 mutual insurance and financial services company based in Omaha, Nebraska. It was founded in 1909 as Mutual Benefit Health & Accident Association and has since expanded into a wide range of insurance products, including life insurance. It is known for its “Wild Kingdom” television series and its sponsorship of the United States Olympic Swim Trials.

The company has an “A+” rating from A.M. Best, indicating its financial strength and ability to pay claims. It is also a member of the Fortune 500 and has been named one of the best places to work in America by Forbes.

Life Insurance Products

Mutual of Omaha offers an array of life insurance products designed to meet the needs of a wide range of consumers. These include:

Each product has its own unique features and benefits, so it’s important to understand the differences before choosing the one that’s right for you.

Term Life Insurance

Term life insurance is a good option for those who need coverage for a specific period of time, such as the duration of a mortgage or until their children are grown. Mutual of Omaha offers term life insurance with level premiums for 10, 15, 20, or 30 years, depending on the customer’s needs. The policy can be renewed or converted to a permanent policy at the end of the term.

Term policies are generally more affordable than permanent policies because they have no cash value accumulation or investment options. They are designed to provide a death benefit to your beneficiaries if you die during the term of the policy.

Whole Life Insurance

Whole life insurance provides permanent coverage with a guaranteed death benefit and cash value accumulation. The premiums are higher than term policies but remain level for the life of the policy. Mutual of Omaha’s whole life policies also offer a living benefit in case of terminal illness.

Whole life policies have a cash value that grows over time and can be accessed through loans or withdrawals. They are also eligible for dividends, which can be used to purchase additional coverage or reduce the premium.

Universal Life Insurance

Universal life insurance is a flexible option that combines lifelong coverage with investment options. The policyholder can adjust the premium payments, death benefit amount, and investment options over time to meet their changing needs. Mutual of Omaha’s universal life policies offer a guaranteed minimum interest rate and a living benefit in case of terminal illness.

The cash value in a universal life policy grows based on the interest rate and investment performance of the underlying account. Policyholders can access this cash value through loans or withdrawals, but should be aware of the potential tax consequences.

Accidental Death Insurance

Accidental death insurance provides coverage in case of accidental death or dismemberment, and can be added as a rider to a term, whole, or universal life policy. Mutual of Omaha’s accidental death policy pays out a lump sum benefit to the beneficiary designated by the policyholder.

It’s important to note that accidental death insurance does not cover death from natural causes, illness, or suicide.

Pricing and Underwriting

Like any insurance company, Mutual of Omaha’s pricing and underwriting will depend on a variety of factors, including age, health, tobacco use, and coverage amount. The company offers free online quotes and has a simple underwriting process that can be completed entirely online.

For term policies up to $1 million, no medical exam is required if the applicant meets certain health criteria. This can speed up the application process and make coverage more accessible for those who may not have time for a medical exam.

For permanent policies and policies over $1 million, a medical exam is required. Mutual of Omaha also reserves the right to request medical records or additional information as part of the underwriting process.

Customer Service and Claims

One of the most important factors to consider when choosing a life insurance company is how well it will serve you and your beneficiaries in the event of a claim. Mutual of Omaha has a strong reputation for customer service and claims handling, with a dedicated claims team available 24/7 to assist customers with any issues.

The company also offers an online portal for policyholders to manage their accounts, view policy information, and make payments. The website is user-friendly and easy to navigate.

FAQ

1. How much life insurance do I need?

The amount of life insurance you need depends on your individual circumstances, such as your income, debt, and number of dependents. A general rule of thumb is to have coverage that’s at least 10 times your annual income.

2. How do I apply for life insurance?

You can apply for life insurance online or through an agent. The application process typically involves answering health and lifestyle questions, and may require a medical exam.

3. How much does life insurance cost?

The cost of life insurance varies based on factors such as age, health, and coverage amount. Term policies are generally more affordable than permanent policies, but may not provide as much coverage in the long term.

4. How do I choose the right life insurance policy?

The right life insurance policy will depend on your individual needs and financial goals. Consider factors such as coverage amount, premium cost, and policy length when comparing options.

5. Can I change my life insurance policy later?

Many life insurance policies allow for changes over time, such as increasing or decreasing coverage amount or adjusting premium payments. Be sure to read your policy carefully and understand the options available to you.

Conclusion

Mutual of Omaha is a well-respected insurance company that offers a range of life insurance products to meet the needs of consumers. Its policies are competitively priced and have a strong reputation for customer service and claims handling. When shopping for life insurance, it’s important to consider all of your options and choose the policy that best fits your individual needs and goals.