Review of Unum Life Insurance Company of America
Unum Group is one of the life insurance companies considered by many people—and maybe you too. But is Unum Group going to give you great coverage at a reasonable price? Is Unum Group a reliable insurance company? If you’re looking for answers to these questions and more, then keep reading. TermLife2Go is here to help answer all your life insurance questions so that you can find the best life insurance out there.
Who is Unum Group?
Over the last 165 years, Unum Group has been helping families and individuals with financial protection services. They started in 1848 under the name Union Mutual. Union Mutual was the first life insurance company to offer group life insurance plans, something that happened in 1924. They name Union Mutual stuck around until 1986, when they decided to change their name to Unum. Throughout their existence, whether as Union Mutual or Unum, the group has always had financial protection at the heart of its objectives.
Unum Group has a lot of subsidies under their overarching brand, many of which offer life insurance policies.
Unum Group Subsidiaries
The following are subsidiaries of Unum Group:
- Colonial Life & Accident Insurance Company
- First Unum Life Insurance Company
- Unum Insurance Company
- Unum Life Insurance Company
- Provident Life and Casualty Insurance Company
- Paul Revere Life Insurance Company
Unum Group’s Financial Ratings
In order to help potential customers know the financial strength of an insurance company (or other financial institution), third party rating organizations do a thorough analysis and provide a rating. These third party rating organizations offer a different rating for each of Unum’s subsidiaries. That said, the ratings of Unum’s financial strength are pretty standard across the board.
Unum Life Insurance Company of America ratings:
- A.M. Best rating: A (Excellent)
- Standard & Poor’s rating: BBB (Good)
- Moody’s rating: Baa2 (medium-grade)
- Fitch rating: BBB+ (Low risk)
All ratings updated 12/27/2019.
Life Insurance Policies offered by Provident Life and Accident Insurance Company
Unum Group, via its subsidiaries, offers three types of life insurance policies:
This allows a person to get covered for a certain amount of time. Usually, this is for people who are financial providers for children, parents, or other dependents. Term Life policies are purchased so that your dependents will be financially secure even in your death.
Group term life insurance is underwritten by Unum Life Insurance Company of America.
Individual term life insurance is underwritten by Provident Life and Accident Insurance Company.
This policy type will last a lifetime. Your premiums and benefits stay consistent throughout your life. Often, you can convert your term life policy into a whole life policy or universal life policy.
Whole life has various benefits including three primary guarantees. Whole life provides a guaranteed lump sum death benefit, guaranteed level premium and guaranteed cash value growth.
Some whole life policies offer annual dividend payments. Dividends provide additional opportunities for:
- paid up additions
- cash out
- leave with carrier to earn interest
- pay premiums
Unum whole life is underwritten by Provident Life and Accident Insurance Company, except in New York, where it is underwritten by First Unum Life Insurance Company.
Universal is similar to whole life in that it is a permanent life insurance plan. However, there is a bit more flexibility with universal life policies. Universal life allows you to adjust your premium payment based on certain policy limitations and cash value available. You can also change your death benefit up or down, to match your changing lifestyle and need. You can opt for riders that will give you additional flexibility or benefits such as early payouts for terminal illness.
Additional benefits of permanent life insurance include:
Disability Income Insurance
Unum Group is one of the largest group disability insurance companies.
You may be one of the many people who have group short term and long term disability insurance through your employer. However, without supplemental long term disability insurance you will probably not have anywhere near the amount of coverage you need if you are disabled before retirement.
Group disability insurance plans typically only pay limited benefit amounts, the benefit is taxed if your employer pays your disability insurance premiums and the benefit period typically lasts no more than 2 years. However, if your disability lasts more than 90 days then statistically it will last anywhere from 2-4 years on average.
We can help you compare private disability insurance plans and find you the best disability insurance quotes based on your specific needs, budget and objectives. Give us a call today to speak to one of our experienced disability insurance agents and see what we can do for you.
Is Unum a Good Life Insurance Company?
The main question you came to answer is this: Is Unum Group a reliable life insurance company and will they issue you a good life insurance policy? Answering that question sounds easy, but really it’s not. On face value, yes, Unum is a great life insurance company. Most people wind up being satisfied with the life insurance policies they get from Unum Group Life Insurance Company and their subsidiaries.
However, to really know if they will offer you a good life insurance policy, you have to know what the other guys are going to offer. Only when you compare Unum’s premiums and the coverage they’re going to underwrite for can you really say which life insurance company is best.
The Best Life Insurance Company
Remember: there is no such thing as “the best life insurance company”. We’re not saying that because we’re neutral—we’re saying that because finding the best life insurance company is a personal experience. Even two people from the same family might find that the same life insurance company isn’t the best for both of them. Why is that?
When a life insurance company underwrites your policy, they factor in a lot of your personal information: do you smoke? Are you overweight? Do you have any hereditary diseases? Have you ever had a major surgery? Are you a cancer survivor? All of these things are important to a life insurance company. The trick, however, is that one issue may not be as important to one life insurance company as it is to another.
Life insurance companies like Unum give different values to different pieces of personal information. Therefore, the amount of life insurance coverage and at what premium one life insurance company underwrites for you will probably not be the same at another life insurance company.
So how do you find out if Unum Group or its subsidiaries will offer you the best life insurance policy at the most affordable premium? Call them up and see what they say. But don’t stop there.
Take the Next Step
The next step is to call TermLife2Go. We will give you a free consultation using our in-depth knowledge of dozens of the top life insurance companies. We’ll tell you which of those we think is the best bet for you. Now, compare what we have to say to what Unum Group wants to offer and decide!
Leave a Comment