When shopping for life insurance coverage, there are many variables that you need to keep in mind. These include the type and amount of coverage that you are purchasing. But they should also include a review of the life insurance carrier through which you are buying the coverage.
This is because you will want the carrier to be strong and stable from a financial standpoint – and to know that they will be there if or when your loved ones should even have to file a life insurance claim.
Before you make your final life insurance purchase decision though, we recommend looking into some other company reviews as well, such as our reviews on Zander Insurance, Primerica Life Insurance and United Home.
The History of Phoenix Life Insurance Company
Phoenix Life Insurance Company has been in the business of providing insurance protection to its customers since the mid-1850s. The company was founded in 1851, as the Phoenix Companies, Inc.
With its main headquarters located in Hartford, Connecticut, this insurer’s main focus is to help those who are in the middle-income market, and those who are considered to be mass affluent, in obtaining the right insurance coverage for their needs.
Today, the main products that are offered by Phoenix Life Insurance Company are life insurance and retirement annuities. The products are offered through licensed financial advisors throughout the United States, as well as through Phoenix Life Insurance Company’s distribution subsidiary, a company by the name of Saybrus Partners.
Phoenix Life Insurance Company Review
Although Phoenix Life Insurance Company has its main headquarters in Hartford, Connecticut, the company also has a customer service center in East Greenbush, New York. The company prides itself on its stellar customer service – and it makes it easy for its policyholders to contact its representatives.
In addition, there is a great deal of information that is available on the Phoenix Life Insurance Company website, such as policy forms, claim forms, service forms, and even prospectuses, which can be downloaded by policyholders and potential customers.
Phoenix Life Insurance Company has roughly 600 home office employees – which makes it a relatively small company as compared to many of the other life insurance carriers in the overall industry.
Phoenix Life Insurance Company Ratings and Better Business Bureau Grade
While Phoenix Life Insurance Company has been in the insurance industry for many years, the ratings that the company currently holds are not very high in terms of financial strength and stability. These include the following:
- B (Stable) from A.M. Best. This is 7th out of a possible 16 total ratings
- B+ (Credit Watch) from Standard & Poor’s. This is 14th out of a possible 21 total ratings
In addition, Phoenix Life has also recently been downgraded by Fitch ratings from a BBB+ to a BBB.
Due to its lower ratings, at this time, consumers may want to consider the purchase of life insurance coverage from alternate life insurance carriers at this time. This is because of the fact that these ratings may be indicative of a financial condition that may not be quite as strong as some of the other insurance carriers that are currently available in the marketplace.
It is important to note, however, that Phoenix Life Insurance Company does satisfy its financial obligations to its policyholders on a timely basis. It is also important to view other components of the insurer, such as the company’s statutory surplus. This is because ratings are just one of the many components of evaluating a insurance carrier.
Although the Phoenix Life Insurance Company is not an accredited company with the Better Business Bureau, the insurer has been given a grade of A+ (on an overall grade scale of A+ to F). And, throughout the past three years, the company has closed one complaint through the Better Business Bureau. This complaint focused on problems with the company’s product / service. There have been no customer reviews posted on the BBB’s website at this time.
Life Insurance Products Offered By Phoenix
Phoenix Life Insurance Company offers a variety of different life insurance products to choose from. This can be helpful for its clients in essentially “customizing” their coverage to best fit their specific needs. It can also help clients if they need to revise their coverage if or when their needs may change.
The products that are offered through Phoenix Life include the following:
Whole Life Insurance Coverage
Whole life is a form of permanent life insurance protection. This means that it includes both death benefit coverage and a cash value component. With a whole life insurance plan, the policyholder will have a guaranteed death benefit, as well as a premium that will not increase in price.
The cash value will grow, based on an interest rate that is set by the issuing insurance company. The funds that are inside of the cash value are allowed to increase tax-deferred. This means that there is no tax due unless or until the policyholder withdraws them. Funds can be either withdrawn or borrowed for any reason, such as for paying off debt, supplementing retirement income, or even taking a nice vacation.
Phoenix Life offers the Phoenix Remembrance Life plan, which is a simplified issue, whole life insurance policy that has supplement benefits designed to protect the future of loved ones and leave a family legacy.
Universal Life Insurance Coverage
Universal life insurance is also a form of permanent life insurance protection. It, too, offers both death benefit coverage, as well as a cash value component. This type of policy, however, is thought to be more flexible than a whole life insurance plan. One reason for this is because the policyholder can typically decide how much of his or her premium dollars will go into the cash component, and how much will go into the death benefit. It may also be that in a universal life insurance policy that the premium due date may be changed by the policyholder (within certain limitations).
The Phoenix Accumulator UL universal life insurance policy is designed with a higher current cash value crediting rate, as well as an interest bonus feature. This particular policy may be appropriate for those who want permanent death benefit protection, along with the opportunity to accumulate money for long-term goals on a tax-deferred basis, while at the same time minimizing their long-term life insurance costs.
Indexed Universal Life Insurance Coverage
Indexed universal life insurance also provides death benefit protection and cash value build up. However, the growth of the cash value in this type of policy is dependent on the performance of an underlying index, such as the S&P 500. In this case, if the index performs well during a certain period, the cash value will increase – up to a certain “cap.” If, however, the index performs poorly, the principal in the account is protected and will typically just be credited with a 0%.
The Phoenix Simplicity Index Life policy is a flexible premium universal life insurance policy that offers a choice of cash accumulation options. This plan also offers death benefit protection with the option for clients to choose to allocate their policy value in a fixed account and / or two indexed accounts.
This product features a streamlined application process that does not require the applicant to undergo a medical examination as a part of the underwriting procedure. Nor does it require any complicated paperwork. With that in mind, this particular plan could be appropriate for those who want permanent death benefit protection and the opportunity to accumulate cash for future goals, yet who also want the potential for earning higher cash value crediting rates than current assumption universal life insurance, as well as protection from market downturns.
Other Products Offered Through Phoenix Life
In addition to life insurance protection, Phoenix Life Insurance Company also offers other products such as annuities. The annuities that are offered through Phoenix Life are designed to be flexible, and can help to meet a range of retirement planning needs.
These annuities include the:
- Phoenix Personal Income Annuity – This is a single premium indexed annuity that offers protection from market losses.
- Phoenix Personal Protection Choice – This single premium indexed annuity also offers protection from market loss and provides several different income choices.
- Phoenix Personal Retirement Choice – This is a deferred annuity, that allows its holder to build up long-term savings over time on a tax-deferred basis, and then take advantage of lifetime income options.
How to Get the Best Life Insurance Quotes on Coverage
When shopping for the best life insurance quotes, working with an agency that has access to more than just one single life insurer can typically help you to accomplish your goal. By going this route, you will be able to compare multiple carriers, their policies, and their prices, and from there, you can decide which will be the best for you and your specific needs.
If you are ready to move forward with finding the life insurance coverage that is right for you, then we can help. We work with many of the top life insurance carriers in the marketplace today, and we can assist you in obtaining all of the important information that you require. To proceed, just simply fill out the form on this page.
Should you find that you have any additional questions, then please feel free to contact us directly. We can be reached via phone, toll-free, by dialing 888-430-7668. We understand that locating the right life insurance coverage can sometimes feel like a challenge – but not when you have an ally on your side. So, contact us today – we’re here to help.
Other Offered Life Insurance Company Reviews
- North American Life
- Fast Life
- Mutual of Omaha
- Minnesota Life
- ING Reliastar Term Life
- Principal Life
- Banner Life