The best life insurance companies like Transamerica can be a fantastic option for some people. Want to know the truth? We hardly recommend them.
Don’t get me wrong, they’re a great company, and I bet you’re wondering the reason…
The goal for our Transamerica life insurance company review is for you to understand their strengths and weaknesses. That way you can make an informed decision before you apply for coverage.
Transamerica Life Insurance Company Review
Is Transamerica the right life insurance company for you? The best life insurance companies for your situation will depend on a variety of factors. For example, your age and health play a huge role in which life insurance carrier you should apply with.
If you have a preexisting condition, Transamerica may or may not be the best fit depending on the condition.
Let’s find out.
Transamerica Life Insurance Company
Review Summary
Transamerica provides shoppers with several life insurance product options. Transamerica is one of the best life insurance companies that you can find. Depending on your health and age, they should be looked at closely by anyone looking for term and permanent life insurance.
Transamerica Financial Life Insurance Company
Financial Strength
A+ (Superior) rating with A.M. Best
History
Launched in 1904
Assets
Transamerica has over $130 billion in assets and $6 billion of these assets are in reserves.
A.M. Best
Shoppers are concerned that the company they apply with may someday enter bankruptcy. Often referred to as the Gold Standard of ratings organizations, Transamerica’s A+ rating from A.M. Best should make you feel confident that they’re financially strong.
Transamerica A.M. Best Company Rating
As of November 2015, the A.M. Best Company, which is the leading rating agency for life insurance, has given Transamerica Life has an A+ rating.
As of December 31, 2013, the organization has $1,085 billion of insurance in place, leaving no doubt that they can pay out your death claim.
It's Important to Note
The financial strength of a company is by no means the most important factor to consider. The insurer that you choose doesn’t need to have an A+ across the board to be looked at.
…however if you notice that Transamerica is looking to be the best option – well then you should feel assured that Trans will be sticking around for the long haul. When the time comes – Transamerica is in a great position to pay your beneficiary.
Transamerica’s financial strength makes them a particularly solid company.
Pro Tip: If possible, always choose a life insurance company with an “A” rating or better. They don’t have to be rated A+. Only use B rated companies if you have no other option available.
Transamerica Life Insurance Quotes
Here are some sample monthly quotes for Transamerica’s term life insurance policies. These should help you estimate the cost of your coverage. We ran quotes for $500,000 10-year term life insurance.
| Age | Male | Female |
|---|---|---|
| 30 | $14.19 | $12.04 |
| 40 | $24.08 | $20.64 |
| 50 | $52.46 | $42.14 |
| 60 | $153.51 | $112.23 |
| 70 | $420.97 | $333.25 |
| 75 | $675.53 | $538.36 |
Monthly term life insurance quotes Transamerica are based on a healthy non smoking individuals. Sample quotes are for illustrative purposes only.
40 Year Old Non-Smoking Male, Preferred Plus Rate with $500K Coverage
Now that you’ve got an idea of sample rates, let’s look at some competition.
For this example I’m using a 40 year old non-smoking male in excellent health. He was just approved for a $500,000 30-year term life policy.
How will Transamerica compare to the lowest rate available?
- Transamerica: $69.66 per month = $25,077 total premiums paid.
- Protective: $51.66 = $18,597 total premiums paid
Transamerica
Too Much!-
$25,077 paid over 30 years
Protective
BETTER DEAL!-
$18,597 paid over 30 years
The $6,480 Mistake!
In this scenario, Protective Life blows the doors off of Transamerica by saving you $6,480 over the life of your policy!
That’s a lot of money saved by simply choosing the right company for the right situation.
In this example, our 40 year old male was in perfect health. What if you have a health condition or something else that is considered “risky” to the insurer?
Always remember that one company may see your specific medical situation or age more favorably than a competing company.
Now, assuming that Protective Life is the best option for you based on $6,000+ in savings isn’t entirely accurate.
You need to know if their underwriting rules are strict or lenient for specific health conditions. This’s why you need to keep read our Transamerica life insurance review (we’ll get to underwriting soon)!
Will Transamerica offer the lowest rate?
There are so many factors that will determine the best carrier. Start here:
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Pros and Cons of Transamerica Life Insurance
Life Insurance Advantages
Electronic Application
No need for an agent to come into your home to apply.
Fast
Quicker than usual approval turnaround time. As quick as 11 days - but usually 24 to 28 days.
We are fond of Transamerica Life Insurance because of the vast variety of products they offer, the organization is currently on our list of the best life insurance companies in the U.S. and is also on our list of best no exam life insurance companies, as well as our list of top final expense insurance companies.
Life Insurance Disadvantages
Interview
Additional phone interview with underwriter may be necessary.
Transamerica Life Insurance Product Selection
Transamerica provides a vast variety of life insurance types, such as:
- Whole Life Insurance
- Term Life Insurance
- Variable Life
- Universal Life
- Accidental
- Final Expense, and more.
The following is a short summary of some primary products they offer: permanent life insurance and term life insurance.
Transamerica Term Life
Transamerica’s term life insurance comes in 3 types: a return of premium term policy, a no medical exam term policy with a face amount maximum of $249,999, and a general completely underwritten term life insurance policy with terms of 10, 15, 20, 25, and 30 years.
Transamerica Trendsetter Series provides basic premium term products.
The three initial products are Trendsetter Express, Trendsetter Super, and Trendsetter Living Benefits.
The trio of these products provides non-medical exam underwriting choices for specific face amounts (to a maximum of $99,999 for Super, and $249,999 for LB and Express).
The face amounts range from $25,000 and up. At no extra cost, each of them provides a terminal illness rider (where it is applicable). That said, Trendsetter LB provides extra living benefit coverage which is extremely important for some buyers.
The living benefits life insurance may be most beneficial since it shields the insured in both life and death.
Riders
Trendsetter LB offers a variety of life insurance riders to choose from. They provide shoppers the option of getting:
- Terminal illness rider
- Disability rider
- Critical illness rider
- Chronic illness rider
Disability rider protects the insured should the endure an eligible disability and cannot work. Critical illness protects the insured if they endure paralysis or a major health condition.
Chronic illness protects the insured if they can’t perform 2 of 6 ADLs (Activities of Daily Living) or a substantial and significant cognitive impairment. Transamerica’s terminal illness rider protects the insured if they are diagnosed with a terminal illness and have less than a year to live.
Transamerica Permanent Life Insurance
Transamerica Life provides great permanent life insurance in the organization’s Universal and Whole life insurance products. For clients who require lifetime life insurance.
A common situation for permanent life insurance is for financing a buy/sell agreement. Some other situations are if someone requires estate planning with trusts.
For these situations Transamerica Life is an ideal choice.
Transamerica Whole Life Insurance
The organization provides cash-value permanent life insurance that can be borrowed against for an interest fee. The interest owing doesn’t need to be repaid, but will be withdrawn after your life insurance beneficiary receives the final life insurance payment.
Transamerica Graded Death Benefit Product Review
Graded death benefit products are generally used by those who seek final expense insurance or burial insurance. Transamerica offers the following whole life policies:
- 10 Pay Solution: Issue ages 0 to 85. 10 years’ worth of level premiums. Minimum issue amount $1,000. Maximum: Ages 0 to 55 maximum issue amount $50,000, 56-65 $40,000, 66-75 $30,000, 76-85 $25,000.
- Easy Pay Solution: level premiums to age 121. Available for ages 18 to 80. Death benefit for the first 24 months: 110% of premiums paid or 100% for accidental death. Once the first 24 months conclude, 100% of the death benefit will be paid by the policy.
- Immediate Solution: set-rate premiums. Issue ages 0 to 85. Minimum issue amount $1,000. Maximum: Ages 0-55 maximum issue amount $50,000, 56-65 $40,000, 66-75 $30,000, 76-85 $25,000.
Transamerica Life Insurance and Health Conditions
The Transamerica Life Insurance Company is strong in several areas.
One of Transamerica’s strength is that they provide some of the best life insurance for seniors over 60. Transamerica is very strong when it comes to life insurance rates based on age. They have liberal regulations for clients older than 70 years old, which is an age that other life insurance companies typically end offering life insurance policies.
Life Insurance Health Risk Niches
- Survivor/Family History Excellent
- Recent Weight Loss Good
- Heart Attack Good
- High Blood Pressure Good
- Diabetes Fair
- Former Tobacco Use Fair
- Sleep Apnea Fair
- High Cholesterol Fair
Good for High Cholesterol
A preferred plus health class rating is an option for those with a high cholesterol – just as long as you have a ratio of 5.0 or less. Most organizations only allow up to 4.5 for the best rate class. Transamerica will provide the best rate class for clients older than 70 years old with a 5.5 cholesterol ratio.
Good for High Blood Pressure
What if you have a blood pressure reading of 145/85 and you’re older than 71? You are eligible for the best health class rating with Transamerica.
Hepatitus C
What if you are diagnosed with Hepatitis C? You have a chance to obtain a standard rate class.
schizophrenia
If you suffer from regulated schizophrenia and have received a diagnosis more than 2 years ago – you may obtain a Table 2 to Table 8 health class rating. A client with schizophrenia may obtain a standard rate class 10 years out.
Age
Transamerica life insurance offers shoppers some of the most competitive life insurance rates by age.
Final thoughts
Thank you for reading our post, “Transamerica Life Insurance Company Review“. Now, the big question is this: Is Transamerica the best life insurance company for you?
Let us find the best life insurance company for your situation. To learn more about life insurance, make sure to visit some of our popular pages like: Dave Ramsey Life Insurance and Life Insurance Payout Amounts
Transamerica Life Insurance Company
Name(s): Transamerica Life Insurance Company; Transamerica Financial Life Insurance Company; Transamerica Advisors Life Insurance Company; Western Reserve Life Assurance Co. of Ohio; Transamerica Life Canada; Transamerica Corporation; Monumental Life Insurance Company; Stonebridge Life Insurance Company
Address:
4333 Edgewood Road NE
Cedar Rapids, IA 52499
Phone: 877-991-5419
Website: www.transamerica.com
Ratings: A.M. Best (A+), Standard & Poor’s (AA-), Fitch (A+) Comdex (93)
