Life insurance helps your loved ones cover expenses if something happens to you. But it’s critical to choose a company and coverage that is right for you. To help you make that choice, this article gives a close look at Mutual of Omaha, a popular insurance company.

What Is Mutual of Omaha?

Mutual of Omaha is a Nebraska-based company with over a century of experience providing insurance products, including life insurance, to customers. It also offers a number of financial services.

Types of Life Insurance Policies

Mutual of Omaha has three main types of life insurance policies: whole life, term life and universal life.

Whole Life

Whole life insurance is a type of permanent coverage with a fixed premium and death benefit. Depending on the terms of your contract, you may have the option to withdraw the cash value you have built up. Whole life insurance is a popular choice for people looking for guaranteed financial protection. Mutual of Omaha coverage is available to customers between the ages of 45 to 85, except in New York state, where the range is 50 to 75 years of age. Benefit amounts range from $2,000 to $25,000, though the range is $5,000 to $25,000 in Washington state.

Mutual of Omaha’s whole life policies don’t require a medical exam. The policy covers end-of-life expenses and debts, can give cash to a loved one and can supplement coverage you already have. Upon your death, your named beneficiary receives the benefit amount stipulated in your contract. The policy can last your entire lifetime if you stay current on your premium payments.

Term Life

Term life insurance policies have a fixed premium and duration, and you can choose between a life policy of 10, 15, 20 or 30 years. However, you can also opt to convert your term life insurance policy into a permanent policy. Mutual of Omaha’s term life policies are for people 18 to 80 years old. They provide benefit amounts over $100,000 but do not have a cash value.

Term life policies are often for younger individuals who want to provide emergency funds or replace lost income for family members should the policyholder pass away. For instance, the death benefit could pay off a mortgage, cover education costs and pay down personal debts.

Universal Life

Like whole life policies, universal policies can last a lifetime and have cash value. However, this type of life insurance has unique features, including these:

• You can adjust the amount and frequency of your premium payments.
• You can increase or decrease the amount of the death benefit.

Universal life insurance policies are typically for younger individuals who want flexible coverage and don’t mind some risk. Their benefits can help to make up for lost income and cover the financial needs of your family upon your death. A universal life policy also gives you the option to access some of the death benefit early if you have a chronic or terminal illness. Another advantage is that policyholders can potentially withdraw the accumulated cash value tax-free to use for school expenses and other needs.

Mutual of Omaha offers three universal life insurance products: Life Protection Advantage, Income Advantage and AccumUL Answers. Since this type of life insurance is more personalized, you may benefit from the help of an agent to choose the best policy for your situation.

Pros and Cons of Mutual of Omaha

Choosing a Mutual of Omaha policy comes with a variety of benefits, including:

• The company’s fast and easy online application process
• The option to choose from a variety of riders, such as a disability income rider
• The option of no-medical-exam policies
• Access to customer service by phone, live chat or email

Additionally, Mutual of Omaha’s superior rating from AM Best means the company has a high ability to pay out claims and other contractual obligations, giving customers greater peace of mind.

However, no company is perfect, and the major drawbacks of Mutual of Omaha include:

• Some states have different age restrictions.
• Other companies may have more choices for term lengths.

Applying for Mutual of Omaha Insurance

Customers can apply for some types of policies through a simple online process. Another option for getting started is calling (877) 202-2676 to speak with a representative. Certain policies may require a medical review, which can lengthen the process’s timeline.

Mutual of Omaha Policy Rates

The cost of life insurance varies depending on the type of insurance and coverage amount you choose. Here is how your premium is determined based on the type of policy you choose. 

• Whole Life Policy: Whole life policy rates consider your age, gender and the amount of the death benefit.
• Term Life Policy: Term life policy rates consider the death benefit amount and policy term, plus your age, gender, overall health and use of tobacco products.
• Universal Life Policy: This type of policy considers your age, gender, overall health, tobacco use and the death benefit amount to determine your rate. You have the option to select your preferred payment amount from a provided range.

Is Mutual of Omaha Right for You?

To determine which life insurance company is right for you, consider the type of coverage you are looking for, as well as your budget and preferences. You can’t go wrong obtaining several quotes from different companies to compare your options. However, Mutual of Omaha is a highly rated company that provides a range of policy choices, making it an ideal insurance company for many customers.

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