There are too many life insurance providers, so choosing the right one is always challenging, especially for those who are new to getting life insurance. Banner Life Insurance is a well-known name in the industry, but is it a good choice for you?
In this detailed review, we’ll explore Banner Life’s history, policy offerings, financial strength, customer feedback, and more to help you make an informed decision. Whether you’re new to life insurance or comparing options, this guide will break down what Banner Life brings to the table.
Table of Contents
Company Overview
Banner Life Insurance Company was established in 1949. It is a subsidiary of Legal & General America, part of the UK-based Legal & General Group, which has over 175 years of insurance experience. Banner Life operates in 49 states and Washington, D.C., while its sister company, William Penn Life Insurance, serves New York residents.
With over seven decades in the industry, Banner Life has built a reputation for offering straightforward and affordable life insurance products, particularly term life insurance.
The company’s parent, Legal & General, is a global leader with a strong financial foundation, managing billions in assets. Banner Life itself holds $8 billion in assets and has over $780 billion of life insurance in force, ranking it among the top life insurers worldwide. This scale and stability make it a trusted option for many policyholders.
Types of Policies Offered
Banner Life focuses on a few key life insurance products, each designed to meet different needs. Here’s a closer look at what they offer:
Term Life Insurance
Term life insurance provides coverage for a set period, making it ideal for temporary needs like paying off a mortgage or supporting young children. Banner Life offers terms ranging from 10 to 40 years, which is longer than many competitors.
This flexibility is great for those who need coverage well into the future, such as younger families or individuals with long-term financial obligations.
For example, a healthy 30-year-old might pay around $280 per year for a 20-year term policy, while a 50-year-old could pay about $978 annually, according to industry estimates. These rates are often 9% lower than competitors’, making Banner Life a cost-effective choice.
Universal Life Insurance
Universal life is a permanent life insurance option that offers lifelong coverage with flexible premiums and death benefits. It also builds cash value over time, which you can borrow against or use to cover premiums. This policy suits those who want long-term protection with some financial flexibility, such as business owners or individuals planning for retirement.
Final Expense Insurance
Banner Life’s final expense insurance is a type of whole life insurance designed to cover end-of-life costs, like funerals or medical bills. It’s a guaranteed issue policy, meaning no medical exam is required, and coverage lasts until age 95, when premiums stop. This makes it a good option for older adults or those with health issues who want to ensure their final expenses are covered.
| Policy Type | Coverage Duration | Medical Exam Required | Best For |
| Term Life | 10–40 years | Usually | Budget-conscious buyers, long-term needs |
| Universal Life | Lifetime | Often | Flexible coverage, cash value growth |
| Final Expense | Lifetime (up to 95) | No | Older adults, guaranteed coverage |
Financial Strength and Stability
When choosing a life insurance company, financial strength is critical. You need assurance that the company can pay claims when the time comes. Banner Life has earned high marks from major rating agencies:
- A.M. Best: A+ (Superior)
- Standard & Poor’s: AA (Very Strong)
- Fitch: AA (Very Strong)
These ratings reflect Banner Life’s ability to meet its financial obligations, giving policyholders confidence in its reliability. The company’s $8 billion in assets and $780 billion in life insurance in force further underscore its stability.
However, in February 2025, A.M. Best placed Banner Life’s ratings under review with developing implications due to a planned sale of Legal & General’s U.S. protection business to Meiji Yasuda Life Insurance Company (AM Best).
The deal, valued at $2.3 billion, is expected to close by the end of 2025. While this introduces some uncertainty, the ratings remain unchanged as of May 2025, and Banner Life’s financial position is still strong.
Pros and Cons of Banner Life Insurance
To help you weigh your options, here’s a balanced look at Banner Life’s strengths and weaknesses based on customer feedback and expert reviews.
Pros
- Competitive Pricing: Banner Life is often praised for its affordable rates, especially for term life insurance.
- Long-Term Options: With term policies up to 40 years, Banner Life offers flexibility for those needing extended coverage, which is rare in the industry.
- Flexible Underwriting: Banner Life is more lenient with single health issues, like smoking or osteoporosis, focusing on overall health. This can lead to better rates for applicants with minor conditions.
- Strong Financial Backing: High ratings from A.M. Best, Standard & Poor’s, and Fitch ensure reliability.
- Streamlined Application: Customers report an easy quoting and application process, often completed online or through agents.
Cons
- Limited Policy Variety: Banner Life focuses on term and universal life insurance, with fewer options compared to larger insurers like State Farm or Northwestern Mutual.
- Conversion Challenges: Some customers note difficulties converting term policies to permanent ones, which could be a drawback for long-term planning.
- Restricted Riders: The accelerated death benefit rider only applies to terminal illnesses, unlike some competitors who cover chronic or critical illnesses as well.
- Pending Sale Uncertainty: The announced sale to Meiji Yasuda introduces potential changes, though no immediate impact has been reported.
Customer Service and Claims Process
Banner Life is generally well-regarded for its customer service. Customers appreciate the ease of getting quotes online and the straightforward application process. Many independent agents, such as those at SelectQuote or JRC Insurance Group, work with Banner Life, making it accessible for personalized guidance.
When it comes to claims, Banner Life aims to pay out within one business day of approval, which is faster than many competitors. For policies under $50,000, the process is even more streamlined, requiring minimal paperwork. However, experiences can vary, and it’s wise to check recent customer reviews or the NAIC complaint index for a fuller picture of satisfaction.
Comparison with Competitors
Banner Life stands out for its affordability and long-term term life options, but how does it compare to other providers? Here’s a quick look:
- Vs. Pacific Life: Some customers report Pacific Life increasing quotes due to family health history, while Banner Life may offer more favorable rates in similar situations, thanks to its flexible underwriting.
- Vs. State Farm: State Farm offers a broader range of products, including whole life and variable universal life, but its premiums may be higher than Banner Life’s for term policies.
- Vs. Northwestern Mutual: Northwestern Mutual provides more comprehensive financial planning services, but may not match Banner Life’s affordability for straightforward term coverage.
To find the best fit, get quotes from multiple providers and consider your specific needs, such as coverage amount, term length, or health conditions.
| Competitor | Strengths | Weaknesses |
| Pacific Life | Wide range of policies | Stricter underwriting for family history |
| State Farm | Diverse products, strong brand | Higher premiums for term life |
| Northwestern Mutual | Comprehensive financial planning | Less competitive pricing |
Who Is Banner Life Best For?
Banner Life Insurance is a great fit for specific groups:
- Healthy Individuals: Those in good health can benefit from Banner Life’s competitive rates and lenient underwriting, especially for term policies.
- Long-Term Coverage Seekers: If you need coverage for 30 or 40 years, Banner Life’s extended terms are a standout feature.
- Budget-Conscious Buyers: Its affordable premiums make it appealing for those looking to maximize coverage without breaking the bank.
- Seniors or Those with Health Issues: The final expense insurance offers guaranteed coverage without a medical exam, ideal for older adults or those with health concerns.
If you’re looking for a wide variety of policy types or specific riders, you might need to explore other providers.
Getting Started with Banner Life Insurance
Ready to explore Banner Life Insurance? Here’s how to get started:
- Get a Quote: Visit the Banner Life website or contact an independent agent to get a personalized quote. You’ll need to provide details like your age, health, and desired coverage amount.
- Choose Your Policy: Decide between term life, universal life, or final expense insurance based on your needs and budget.
- Complete the Application: Fill out the application, which may require a medical exam for term or universal life policies. Final expense insurance typically skips this step.
- Underwriting Process: Banner Life will review your application and health information to determine your premium rates.
- Policy Issuance: Once approved, you’ll receive your policy documents and can begin making premium payments.
Working with an independent agent can simplify the process, as they can compare Banner Life with other providers to find the best fit.
Tips for Choosing Life Insurance
Choosing the right life insurance policy requires careful consideration. Here are some tips to guide you:
- Assess Your Needs: Calculate how much coverage you need based on debts, income, and dependents. For example, aim for 10–15 times your annual income for term life.
- Compare Quotes: Request quotes from at least three providers to ensure you’re getting the best rate.
- Understand Policy Terms: Read the fine print to know what’s covered, including premiums, death benefits, and any riders.
- Check Financial Strength: Look for companies with high ratings from A.M. Best, Standard & Poor’s, or Fitch to ensure reliability.
- Review Customer Feedback: Check platforms like Reddit or the NAIC complaint index to gauge customer satisfaction.
By following these steps, you can confidently choose a policy that meets your needs and budget.
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Conclusion
Banner Life Insurance is a strong contender for those seeking affordable, reliable life insurance. Its competitive pricing, long-term policy options, and solid financial ratings make it a trustworthy choice for many.
Customers appreciate its straightforward application process and flexible underwriting, particularly for healthy individuals. However, its limited policy variety and rider restrictions may not suit everyone, and the pending sale of its parent company’s U.S. business introduces some uncertainty.
If you’re in the market for term life insurance or a simple permanent policy, Banner Life is worth considering. Compare quotes, review your needs, and consult an independent agent to ensure it’s the right fit.
With its strong track record and customer-focused approach, Banner Life could provide the peace of mind you’re looking for.
