at a glance
- NerdWallet ranking: No. 3 life insurance company.
- Offers immediate term life insurance online.
- Provides a full range of financial products and services.
Massachusetts Mutual Life Insurance Co. is one of the largest U.S. life insurers. As a mutual company, MassMutual is owned by its policyholders. Customers who buy certain products, such as whole life insurance, are eligible to receive dividend payments when the company does well. The company estimates it will pay out a record dividend of $1.72 billion to eligible policyholders in 2019.
Find out more about each element that goes into our MassMutual insurance review by clicking below.
NerdWallet rank: No. 3
MassMutual ranked No. 3 out of the 20 best life insurance companies as scored by NerdWallet. The ranking is a composite based on its A.M. Best financial strength rating, J.D. Power customer satisfaction score and the number of complaints to state regulators against the company, adjusted for market share. NerdWallet scores the largest nationwide companies that sell policies to individuals.
A.M. Best financial strength rating: A++ (Superior)
MassMutual’s financial strength is “superior,” according to ratings agency A.M. Best.
Financial strength is important because it indicates how well an insurer can pay claims. It’s especially important when choosing a life insurance company because claims might not be made until many decades after a policy is purchased.
Consumer complaints: Better than the median
MassMutual drew significantly fewer than the median number of complaints to state regulators in 2017 for a company of its size, according to the latest data from the National Association of Insurance Commissioners.
The association assigns a complaint ratio score to insurance companies, based on the number of complaints to state insurance commissioners, adjusted for market share. The median score is 1, and a score less than 1 means fewer complaints. The weighted average score for MassMutual and its subsidiary life insurance companies in 2017 was 0.07.
J.D. Power ratings: ABOUT AVERAGE
MassMutual scored “about average” in four categories and “better than most” on one measure in the J.D. Power 2018 U.S. Life Insurance Study for customer satisfaction. Among the 23 life insurance companies included in the ranking, MassMutual was No. 10.
|Customer satisfaction category||MassMutual's score|
|Overall satisfaction||"About average"|
|Billing and payment||"Better than most"|
|Policy offerings||"About average"|
More about MassMutual
|Types of life insurance sold||Other products & services|
LIFE INSURANCE OPTIONS
Immediate term life insurance: MassMutual’s Direct Term is available online, and coverage takes effect immediately if the application is approved. Applicants must take medical exams within 90 days. After the exam results are in, the coverage price is adjusted if necessary. You can cancel the policy and get a refund, or change the coverage amount if the price goes up. MassMutual also offers term life insurance online through a subsidiary, Haven Life. Haven Life uses medical information to set rates, but most younger and healthy applicants don’t need to take a medical exam. In addition, MassMutual sells term life offline through its advisors.
Permanent life insurance: MassMutual offers whole, universal and variable universal life through its advisors. Whole life policy owners are eligible to earn dividends. The company also offers simplified-issue whole life online for people ages 40 to 80. You answer a few health questions, but don’t have to take a medical exam to apply. For those who can’t qualify for simplified-issue whole life, MassMutual offers guaranteed-acceptance whole life insurance online. There are no health questions or medical exam. Guaranteed-acceptance life insurance is available for people ages 50 to 75 to cover final expenses.
Special-needs planning: MassMutual offers services to help parents and caregivers financially plan for loved ones with disabilities and other special needs. The company launched the American College MassMutual Center for Special Needs in partnership with The American College of Financial Services in Bryn Mawr, Pennsylvania, in 2015. The center educates financial professionals on how to help people with disabilities and other special needs.