Review of Jackson National Life Insurance Company
In the following Jackson National Life Insurance Company Review we will discuss the history of the company, its financials and its various ratings and the different products offered. If you are considering life insurance, you can also visit our life insurance quotes page.
About Jackson National Life Insurance Company
Jackson National’s parent company is the British insurer, Prudential plc, having been acquired by them back in 1986. Jackson first opened for business back in 1961. Jackson National Life Insurance Company is one of the youngest life insurance companies in the industry. With headquarters in Michigan, the company was actually named after Andrew Jackson, the seventh President of the United States.
Ever since the early days, Jackson National Life Insurance Company has had a commitment to each and every individual in the US regarding annuities. Nowadays, their product offering can only be described as expansive and they can be separated into three different categories; Fixed Index Annuities, Fixed Annuities, and Variable Annuities.
Later, we’ll take you through their products individually but for now we can say that Jackson National has been built into a multi-billion-dollar business after humble beginnings and their very first policy back in 1961.
Jackson National awards:
- 101 Best and Brightest Companies to Work For in West Michigan, 101 Best & Brightest Companies to Work For, 2008
- Best Places to Work in Nashville (Large), Nashville Business Journal, 2012
- Detroit Free Press Top 100 Workplaces in Michigan list (2015)
Jackson National Life Insurance Company Financials
After around twenty years in business, the company value rocketed from $50 million up to $160 million and this came through annuity sales alone. By the beginning of the 1990s, the company had sales figures of over $2 billion which really puts into perspective their growth considering the first policy was sold less than three decades prior to this date.
Before the new millennium, Jackson National opened in New York and this allowed the company to offer their products to the entire country. Through the years, the Jackson National brand has expanded after purchasing Life Insurance Company of Georgia, Reassure America Life Insurance Company, and launching Curian Capital LLC.
As of 2011, sales and deposits totaled $23 billion from their millions of customers. Two years later, pre-tax operating income surpassed $2 billion and company assets are thought to be worth $210 billion.
Jackson National Insurance Ratings
When assessing any life insurance company, you can only trust the facts we provide here but, when looking for opinions and records, there’s no better place than the official ratings. Rather than endlessly giving our opinions, these ratings, from the most respected agencies in the country, allow you to see just what the industry thinks of their service.
A.M. Best – For many years, A.M. Best has been one of the best agencies for the life insurance market because they assess the financial backing of a provider and how likely they are to pay out claims both now and long into the future. With this in mind, Jackson National Life Insurance Company has been awarded with an A+ rating which is the equivalent of ‘Superior’. Out of 16 ratings, this is the second best and one that not many companies can achieve. With this in mind, you can be confident the company will pay claims and that they have the financial security to survive anything that comes their way.
Standard & Poor’s – Next up, we have Standard & Poor’s who also have a long history rating life insurance companies as well as many other financial services. As part of the S&P Global team that regularly assess stocks and bonds, they provide credit ratings and show the financial stability of a company. For Jackson National, they achieved a rating of AA which is ‘Very Strong’ and the third-highest grade from a possible 19.
Moody’s – Considered one of the big three alongside S&P and Fitch, Moody’s Investors Service is another that focuses their attention on finances so another one to pay attention to when choosing a provider for your annuity. Rated at A1 (Good), this isn’t as strong as the first two we’ve seen because it’s the fifth-highest rating from 21 but it’s still very good in the grand scheme of things.
Fitch Ratings – In terms of finances, the last agency and rating we have comes in the shape of Fitch Ratings. Nationally recognized, Fitch Ratings is a huge company in the US as well as the UK. This time, Jackson National has been rated at AA which is ‘Very Strong’ and the third-highest rating.
Life Insurance Ratings Snapshot
- A.M. Best rating: A+
- S&P rating: AA
- Moody’s rating: A1
- Fitch rating: AA
- Comdex ranking: 94
Better Business Bureau (BBB) – If you want to check the customer service of any company in the US, the BBB is the best way to go and it has been this way for a long time. When rating companies, they use a criterion of several different factors from their experience in the market to the amount of complaints they receive. When a company has a good rating here, you can be sure that all problems will be resolved and that you will be treated well in the future.
For Jackson National, they have the very best rating at A+. To put this into context, the BBB uses a scale from 0 to 100 to grade their companies. Ranging from A+ to F, a top rating means that Jackson National achieved a score of over 97 which is incredible. As you can see, Jackson National Life Insurance Company has very strong ratings right across the board. With some other companies, they seem to lack in certain areas but the ratings from official agencies have been earned over 55 years in the market and they’re now reaping the rewards.
Yelp – The majority of the Yelp Jackson National reviews are negative. However, the most helpful review rated the the Company 5 stars and wrote about what customer service Jackson National has and how pleased she has always been treated with the utmost respect, courtesy, professionalism and genuine caring from every one of the representatives I have spoken with in every department.
Further, on the negative Jackson National reviews, the Company’s Social Media Manager replies to help resolve any problems. This is a good sign that Jackson National makes the extra effort to serve its clients.
Customer Service – How has Jackson National earned their A+ rating with the BBB? For starters, they make it easy for clients to get in contact with them such as through their online form. After entering your important details, you can type out a request or question and a Jackson National Associate will reply as soon as possible.
After this, you can grab their email address, mailing address, and phone number online. What’s more, they even provide information regarding fax, where they can be found in any given area, and an opportunity to give website feedback directly.
Jackson National Life Insurance Company Products
Although the name of the Company is Jackson National Life Insurance, the Company actually does not offer life insurance policies. Instead, the Company has chosen to focus on a niche market of annuities, particularly variable annuities.
Jackson National’s flagship product is its variable annuities. The Company consistently ranks as the #1 seller of variable annuities in the U.S. The Company sold over $17 billion in variable annuities in 2016.
- Ranked first among variable annuity (VA) providers for Brand Equity and Overall Brand Awareness
- Ranked first among VA providers for CoRe Score™, a single measure of company strength and momentum
- Achieved the top ranking among VA providers in the Variable Annuity Ownership category, a weighted metric for market penetration, share of VA assets and the proportion of current users who consider a firm to be their primary provider
Jackson National has a number of products within the annuity market but, for the most part, they can be separated into three main categories: Variable, Fixed and Fixed Index.
A variable annuity is a long-term financial retirement vehicle that is subject to market ups and downs and may lose value, including principal value. You chose where to allocate your money from different variable sub-accounts. Variable annuities are sold by prospectus, obtained from the life insurance company issuing the annuity. In no way is this information intended as a solicitation or an offer to buy or sell any security referred to herein.
Annuity advisors tend to favor Jackson National’s variable annuities due to the Company’s decision to have fewer investment restrictions in contrast with other available companies offering variable annuities.
Four variable annuities products to choose from;
• Elite Access – Available up to the age of 85, you’ll have a minimum first investment of $5,000 if non-qualified and $2,000 if qualified. With Elite Access, you have an annuity that allows you to manage risk right through the standard economic cycle. With a diverse range of investment opportunities, you can have the right strategy in play at all times.
• Elite Access Advisory – With this second option, the basics remain the same in terms of a diverse set of options but the minimum initial premium, regardless of qualification, will be set to $25,000. With the investment itself, you can choose up to 99 investments from hundreds to build a unique portfolio.
• Perspective II – Known as one of the best-selling annuities in the US, you can choose your own investments in order to be prepared for retirement so you don’t have to rely upon Social Security payments and the like. With this annuity, the focus is very much on freedom and how you can benefit from tax advantages.
• Perspective Advisory – While the Perspective II allows investment up to 90 years of age, the Perspective Advisory sets the limit to 85 but the amount you can invest is significantly higher. With Perspective II, the minimum initial premium is set at $10,000 and $5,000 (non-qualified and qualified respectively). With this option, the minimum is $25,000 regardless.
If you want to avoid the unpredictability of the market, the best way to do this is to invest in a fixed annuity. While still receiving the tax-deferred growth and many other benefits that variable annuities have to offer, fixed annuities will grow at a fixed rate. Once again, you’ll find different products depending on your needs.
• MAX Family – Designed for those with a shorter retirement, this policy offers guaranteed retirement income and strong interest rates.
• BonusMAX – Once again, you’ll have a guaranteed income in retirement but your first year will be boosted by additional interest which allows you to see a higher return throughout.
• Action Family – If you have early excess withdrawals on your mind, the Action Family plan is the one for you. Along with the guaranteed income, you’ll also have the first-year boost as we saw with BonusMAX.
• SuperMAX Family – With a higher renewal interest rate, this policy provides preservation of principle as well as a number of other benefits.
• Immediate Annuity – For some, they need dependable income right now as opposed to later and this is available with the Immediate Annuity product. Starting within just one year, you can receive payments in retirement.
Fixed Index Annuities
Finally, a Fixed Index Annuity is the best option if you want steady growth but without having to risk it all on the swings of the market. When it comes to retirement funds, we all have a different goal in mind and Jackson National’s aim is to suit your needs as closely as possible with these annuities.
• AscenderPlus Select – With all the classic annuity options such as fixed annuity benefits and a death benefit, this annuity also offers an optional income rider which can be attached for a charge. Of course, you’ll also have an opportunity to tie your policy to three indexes.
• Elite Choice – As well as the traditional fixed annuity benefits, Elite Choice offers additional interest linked to a single index. Compared to the previous option, you will only have two indexes to choose from though.
• Elite Choice Rewards – If the simple Elite Choice isn’t enough for you, why not go for the ‘Rewards’ version which has one more feature; regular 2.5% or 5% boosts to the value of your annuity.
• Select Annual Reset – Designed to build a retirement fund linked to one of two indexes, this policy will also allow for two time frames whereas the others offer three which is important to remember.
Jackson National Life Insurance Company Summary
There we have it, our guide to Jackson National Life Insurance Company. With a whole host of different annuity products offered, it might be wise to contact an agent or someone with experience in the industry if you don’t know which to choose for your circumstances. Jackson National is a very good provider with superb ratings and a great record with customers. If you decide to choose them for your annuity needs, you know you’ll be excellent hands!