Allstate Life Insurance Review 2023
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Financial strength rating
Financial strength rating
Allstate sells a term life insurance policy direct to consumers. The company's agents also offer third-party term and permanent life insurance policies from other carriers. This review only covers Allstate's direct offering.
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Allstate life insurance
Allstate earned 3 stars out of 5 for overall performance. NerdWallet’s ratings are determined by our editorial team. The scoring formula takes into account consumer experience, complaint data from the National Association of Insurance Commissioners and financial strength ratings.
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Allstate life insurance policies
Term life insurance. Allstate has a proprietary term life insurance policy underwritten by Direct General. It's available in 19 states: Alabama, Arizona, Delaware, Georgia, Illinois, Indiana, Louisiana, Maryland, Massachusetts, Missouri, Nebraska, New Jersey, Ohio, Pennsylvania, South Carolina, Tennessee, Texas, Washington and Wisconsin. You can buy $25,000 to $1 million in coverage via Allstate's site without taking a life insurance medical exam. Policies are open to people ages 18 to 60 and last one to 30 years.
Outside of those states, you can purchase term policies from other insurers, such as Protective Life, Lincoln Financial and John Hancock, through Allstate's network of agents. There’s an agency locator tool on the website.
Permanent life insurance. If you’re in the market for a permanent policy, you can purchase whole life insurance, universal life insurance and indexed universal life insurance through one of Allstate’s agents.
Once purchased, policies are managed by the issuing partner. For example, if you buy a Protective Life term life policy from Allstate, your policy will be managed by Protective Life. And if you buy an Allstate term life insurance policy, Allstate will be your point of contact.
Allstate customer complaints and satisfaction
Over three years, Allstate has drawn far more than the expected number of complaints to state regulators for a company of its size, according to a NerdWallet analysis of data from the National Association of Insurance Commissioners.
More about Allstate
Life insurance aside, Allstate offers a range of property and casualty insurance products. For details, see our reviews:
The company offers discounts for bundling policies together, so existing customers may find extra savings.
Life insurance buying guide
Before you start comparing companies, choose the type of life insurance you want, such as term or whole life. Decide which life insurance riders, if any, you want the policy to include. Calculate how much life insurance you need and how long you want the coverage to last. Check that the insurers you’re considering offer the coverage you’re looking for.
When comparing rates, be sure the quotes are for the same amount of coverage over the same period of time. It’s also important to make sure the policy’s medical requirements match your needs. For example, if you want to skip the life insurance medical exam but don’t mind answering health questions, confirm that the application process for each policy you're comparing aligns with that.
Price may not be the biggest driver behind your decision to buy. Look at the number of consumer complaints each company receives, as high numbers can be a red flag about the quality of service.
For more guidance, see our life insurance buying guide.
Life insurance ratings methodology
NerdWallet’s life insurance ratings are based on consumer experience, complaint index scores from the National Association of Insurance Commissioners for individual life insurance, and weighted averages of financial strength ratings, which indicate a company’s ability to pay future claims. Within the consumer experience category, we consider ease of communication and website transparency, which looks at the depth of policy details available online. To calculate each insurer’s rating, we adjusted the scores to a curved 5-point scale.
These ratings are a guide, but we encourage you to shop around and compare several insurance quotes to find the best rate for you. NerdWallet does not receive compensation for any reviews. Read our editorial guidelines.
Insurer complaints methodology
NerdWallet examined complaints received by state insurance regulators and reported to the National Association of Insurance Commissioners in 2019-2021. To assess how insurers compare to one another, the NAIC calculates a complaint index each year for each subsidiary, measuring its share of total complaints relative to its size, or share of total premiums in the industry. To evaluate a Freeway’s complaint history, NerdWallet calculated a similar index for each insurer, weighted by market shares of each subsidiary, over the three-year period. NerdWallet conducts its data analysis and reaches conclusions independently and without the endorsement of the NAIC. Ratios are determined separately for auto, home (including renters and condo) and life insurance.