Somehow life insurance shopping ended up on your to-do list and either you were researching for strong companies or automatically thought of a familiar one such as Prudential. Regardless of how you got to this article by the end of it, you’ll be leaving an expert on all things Prudential.
I would also like to state that I will do my best to provide an unbiased review because this happens to be one of my favorite companies out of 60 different ones that we represent. Not only is Prudential one of the biggest insurers with huge amounts of assets but they also really do help a ton of people get life insurance policies which would not be able to get it otherwise. That and a bunch of reason make this one of the best life insurance companies to deal with.
In this article, we will cover everything about this company such as their history, products, underwriting specialties, rates, application process, customer reviews and more. So if you’re on the fence about going with Prudential, by the end of this article you won’t be.
About Prudential Life Insurance Company
This is one of the oldest life insurance companies out there. Prudential was founded in the year of 1875. If you’re history buff, this is the year that US Congress approved the production of a 20 cent coin which obviously didn’t last long. The company was founded on the idea to provide cost-effective life insurance plans to the middle-class Americans. Today, they offer coverage to pretty much anyone who is looking to get covered whether rich or poor. And they operate in more than 40 different countries, so they are international.
When it comes to life insurance companies, you want to deal with a carrier who has strong financial and a solid rating from one of the rating agencies. In this regard, Prudential has more than a $1 trillion dollars in assets which is ginormous considering a lot of companies have assets ranging between $5 billion to $100 billion. After Metlife, Prudential is the second largest life insurer in the U.S and one of the biggest in the entire planet as well.
Here is also a quick breakdown of the grades Prudential received from various rating agencies as of 2018:
A.M. Best: “A+”
Fitch: “AA-”
S&P: “AA-”
Moody’s: “A1”
You don’t have to look these rating up because they are considered excellent and similar to the grades one would get in school.
The company is also very big on giving back to the community with investments of both time and capital. They have given $890 million to nonprofits along with near 80,000 volunteer hours from their employees. Prudential has also partnered up with a key organization that focuses on the youth. It is good to work with a company that has a strong focus on giving back.
If you landed here to get service on an existing policy you purchased with a different agency or agent, here is their contact information:
213 Washington Street, Newark, NJ 07102-3777
Phone: 1(800)778-2255
Prudential Life Products
This is one of those companies who has a ton of products to offer whether you’re looking for investments, life insurance or workplace benefits. Since this is a life insurance agency will be focusing on their life insurance products because I feel like it. (just kidding)
When it comes to life insurance Prudential offers a large pool of options for both term and permanent life insurance options. You can get a full description with all the available rider right on their site. So let’s break it down into those two categories shall we:
Prudential Term Life Insurance Options
Term Essential
This is your basic term life insurance policy that offers level premiums for the duration of the term. You have an option of selecting 10, 15, 20 or 30-year terms. After the term expires your coverage converts into an annual renewable term and you can keep renewing it until age 95, although is not gonna be cheap. This plan also comes with a conversion privilege which will allow you to convert your term policy into a permanent plan without any questions or a medical examination before expiration or age 65. It also comes with an accelerated death benefit rider, which will allow you to access the death benefit of the policy while you’re still alive if you have a terminal illness with 12 months or less life expectancy.
*This is the term product that most people buy due to affordability and simplicity.
Term Elite
Exactly the same plan as the Term Essential with a slight difference. Term Elite if converted to a permanent plan during the first 5 years from policy inception date allows you to credit all your payments towards the permanent plan. It is an ideal policy for those who know they will be converting their term at one point or another.
PruTerm WorkLife 65
Another term product from Prudential but quite different. With this plan, you don’t specify a term but rather have coverage until age 65. It is designed to protect you until retirement age and it also makes sure that you will have coverage if you’re disabled or unemployed. This is accomplished with two built riders that will waive your premiums if you are disabled or unemployed. Just like their other term plans, this coverage is also convertible to a permanent plan with guaranteed insurability. If that doesn’t get any better this policy allows you to access the death benefit if you become terminally ill, confined to nursing home or require a vital organ transplant. Excellent choice for those who are investing away for their retirement and want to be covered during the vital years.
Prulife Return of Premium Term
Just like Term Essential as far as the coverage periods and being a term policy but with one exception. You can actually get all the money you paid into the policy back should you outlive the term. This is perfect for people who don’t like the idea of their premiums simply being thrown away. Just like other term products it has a conversion and living benefits feature at no cost. You can also borrow money in the event of an emergency from the accumulation account. However, the big catch with these policies is that you may not get your money if the policy terminates before the end of the term. Also, the return of premium policy is a lot more costly than a regular term.
*If you want to learn more about a return of premium term click here.
PruTerm One
This is Prudential annual renewable term plan. It is designed to provide short-term coverage typically for a year or two. This policy is very affordable and renews every year if you need it. Ideal plan for people who already have life insurance and just need additional coverage for a special project or certain life event. You can also convert this policy in the first 5 years and it comes with the living needs benefit rider.
MyTerm
If you hate needles or need to get a life insurance policy fast, then MyTerm is the right policy for you. You can secure up to $250,000 without a medical examination and ability to apply online. This plan is only available directly through Prudential. Here at InsureChance, we offer a variety of no exam plans so be sure to check them out here.
*Update: Prudential MyTerm is no longer available.
Prudential Permanent Life Insurance Options
If you’re looking for a policy that will last you forever then permanent life insurance is right for you. Luckily, Prudential has a very large variety of permanent life insurance options that you can have. These policies are different variations of universal life such as traditional universal life, indexed universal life, and variable universal life. The type you choose will depend on your primary goals such as pure protection, cash value growth, tax-deferred investment or flexibility.
PruLife Universal Protector
This is a permanent life insurance policy designed for pure protection with locked in rates for life. In other words, your premiums are guaranteed to stay fixed for the duration of the policy. It is also a very affordable life insurance plan in comparison to other permanent life insurance plans. It is also known as a guaranteed universal life which is our second most sought out life insurance product. Building cash value is not it’s main focus but after few years you may have enough accumulated to pay for your premium if you can’t or to use for small emergencies.
PruLife Essential Universal Life
Similar to the Universal Protector plan but with a little more focus on cash value accumulation. This also means you’ll pay a little bit more for this policy but you can have some savings that can grow tax-deferred. Your premiums also come with a no-lapse guarantee so no need to worry about increases.
PruLife SUL Protector
This is a universal life plan that insures lives of two people under one policy and only pays out once both policyholders die. Ideal for people who want to create wealth transfer or cover the estate taxes if you’re a high net worth individual. Typically elderly couples are the ones who request these policies and they also tend to be less expensive than getting separate policies. Qualification for this plan is also simpler since two lives are involved.
PruLife Universal Plus
Essentially a universal life plan that will provide lifetime protection along with flexibility in premiums but with a stronger focus on cash value growth. This can be a good option for people that have maximized most of their other investments and now would like to have life insurance plus some additional retirement income in the future.
PruLife Founders Plus UL
Just like all other plans this coverage provides life insurance protection but offers more aggressive investment options by using a part of your money to invest into an index fund. You also have a choice of investing into a basic interest rate or an index of let’s say S&P 500. The best part is that if the market crashes you can’t lose money. Yes, you read that right. There is actually a floor of 0% to protect you. It also has an option to come with some living benefits which will allow you to access the death benefit if you have a terminal, chronic or critical illness.
PruLife Index Advantage UL
Although indexed universal policies are known to get better returns than traditional universal options. PruLife Index Advantage has the highest potential to generate cash value out all the indexed plans. This creates money that can be used for anything that you’d like whether its emergencies or to supplement your income. You also have a choice between four different cash value crediting options.
PruLife Survivorship Index UL
Same as other index plans but covers the lives of two people and only pays out when both have passed. Ideal for estate planning or wealth transfers with more aggressive focus on cash value growth.
VUL Protector
This is the perfect life insurance option for those who want life insurance with a bit of wall street. If indexed universal life offers a passive investment return, this policy is definitely aggressive. You can gain a lot more money in your cash value with a variable universal life because you directly choose where it gets invested, however, you’re also at a higher risk of losing the money. So if you’re an active investor this policy may be for you since you can get higher returns and tax-deferred growth.
PruLife Custom Premier II
Provides life insurance with aggressive investment options just like the VUL protector. The big difference is that you have way more investment options within the cash value. You can also have many different accounts and not just one. You also have two no lapse guarantees short term for ages 0 to 59 and last 8 years and limited for all ages and is for 10 years or age 75. These lapses are created while you build up the value within the policy.
PruLife SVUL Protector
I really don’t want to go into details with this policy because it is simply a variable universal life made for survivorship. You can get aggressive cash value growth and your beneficiaries will get the funds if both of the insured on the policy passes away.
Prudential Underwriting Niches
There are many life insurance companies out there and each one has their own specialties when it comes to underwriting certain risks. This is why I always stress that fact that no one company is ideal for everyone. Now, when it comes to Prudential they have way more niches in underwriting than other carriers as you will see below.
Non-Cigarette Tobacco Use
Life insurance companies will hit usually more than double your life insurance rates if you’re using any tobacco products. Prudential is the only company I know that will give nonsmoker rates to individuals who chew tobacco, smoke cigars or vape via e-cigarettes even if they test positive for nicotine. Of course, this must be disclosed to the carrier first.
Marijuana Use
Although this drug is getting legalized in some states and will most likely get legalized nationwide a lot of companies can turn you down or approve you with a smoker rate. If your marijuana use is moderate Prudential will get you nonsmoker rates, unlike some other carriers.
Diabetes Type 1 and Type 2
If you have any kind of diabetes you’ll find a lot of life insurance companies will not offer you coverage. If you have type 1 diabetes or type 2 with insulin use pretty much 99% of companies are going to outright turn down your application. Not Prudential, as long as you have your condition well managed with favorable a1c levels.
Driving Under Influence
If you had a recent DUI you will have some difficulty acquiring life insurance since you’re considered a high risk. If you had a single incident within the last 5 years you’ll be able to secure a life insurance policy with Prudential.
Criminal Record
Now, Prudential is the not the only company that will consider you for coverage if you had a felony or misdemeanor on your record. But it is one of less than five that will give you a chance once you’re off probation or parole for more than 12 months. Of course, it will be an individual consideration based on the nature of the crime and amount of incidents.
Expats and Foreign Nationals
Anytime my client tells me that they are here on a visa or live in a different country I only quote them with Prudential. The reason is that most companies will not insure applicants unless they hold a green card or citizenship in the U.S. but they will. Sometimes clients come to the U.S. just to buy coverage and this is our go-to company.
*They have a lot of specialties but even if you have any other medical ailments or certain circumstances that caused you to be turned down before you ought to give this company a shot.
Application Process with Pru
The application process with Prudential is similar to any other major company and will differ based on what type of plan you decide to go with. All of their products will require a medical exam except for the MyTerm plan which is capped at $250,000.
Fully Underwritten Process
Once you find a suitable plan for you with Prudential your first step will be to complete an application which will have a series of questions pertaining to your personal information, health, dangerous hobbies, family history of illness and any other supplemental information. When the application is signed and completed the next step will be a for the nurse to come out of your home to complete a paramed exam. Typically the exam will consist of blood draw, urine sample, build check and blood pressure check. If you’re older or are looking for a large amount of life insurance usually in the millions they may also do an ECG or any other additional tests.
After you did these two steps the company will conduct their underwriting process which includes pulling your medical, pharmacy and driving records. If you have medical conditions, Prudential may also request medical records from your doctor. The entire process will take about 3 to 6 weeks at which point you’ll hear the company’s decision.
No Exam Process
If you need a small amount of coverage and are pressed for time then their MyTerm plan is ideal. You simply will fill out an online application, they will check your records digitally and come back with a decision without having to complete a medical exam. Be warned though, no medical exam policies are more strict with their approval criteria so this is not ideal for people with bad health contrary to the popular belief.
Service
When it comes to servicing both agents and policyholders I can tell you from experience that this is a great company to deal with. They always have knowledgeable representatives who are willing to assist you. Because of the company’s size, you may have to wait on hold for longer than you’d like on some days which is usual with large carriers.
Their website is also very user-friendly with lot’s of educational materials about all of their products. They also provide you with access to an online portal where you can manage and review all of the products you have with them.
As far as reviews they do have a few negative reviews on consumeraffaris.com but they are not much considering there are a grand total of 123 reviews and Prudential has millions of policyholders. To prevent any issues you should always take the time to read your policy to make sure that it is exactly what you wanted to purchase and that all the information is listed correctly.
Work with us!
At this point, you know enough about Prudential to ace an interview for their life insurance position. You also have learned that they have a strong reputation, a variety of life insurance products, great underwriting for certain risks and pretty solid customer service. Whether you want to work with them or any other company, we can help. Here at InsureChance, we work with over 60 top rated life insurers to get you the best rate out there. Call us today or get instant quotes right here on our site.
