When choosing a life insurance provider, you want a company that’s reliable, affordable, and easy to work with. Legal & General is a well-known name in the financial services industry, but is it a good choice for life insurance? In this article, we’ll dive into Legal & General’s history, life insurance products, financial stability, customer reviews, and more to help you decide if it’s the right fit for your needs.
Table of Contents
Company Background
Legal & General was founded in 1836 by six lawyers in the UK. Over nearly two centuries, it has grown into a multinational financial services company with operations in several countries, including the United States. In the US, Legal & General America operates through two subsidiaries: Banner Life and William Penn. These companies have been protecting American families and businesses for over 70 years, offering life insurance products designed to provide financial security.
Legal & General America is a major player in the US life insurance market. Since 2019, it has climbed from the 7th to the 3rd largest term life insurance provider, based on new policy issuance. In 2023, the company saw a 42% increase in new policy counts, far surpassing the industry average of 3%. With over 1.5 million policyholders in the US, Legal & General has built a strong reputation for reliability and growth.
Recently, Legal & General announced the sale of its US term life business to Meiji Yasuda Life Insurance Company for $2.3 billion, with the deal expected to close by the end of 2025. According to the company, this sale will not impact current policyholders, who will continue to receive the same benefits and services. The partnership with Meiji Yasuda, a company with over 50 years of experience in the US, could further strengthen Legal & General’s operations.
Life Insurance Products
Legal & General America specializes in term life insurance, which provides coverage for a set period, typically ranging from 10 to 40 years. One of their standout features is offering some of the longest term lengths in the industry—up to 40 years. This is ideal for those who want long-term coverage without the higher costs of permanent life insurance. For example, a 40-year term policy can provide peace of mind for young families or those with long-term financial commitments like a mortgage.
In addition to term life insurance, Legal & General offers universal life insurance. This type of policy combines life insurance coverage with an investment component, allowing the cash value to grow over time. This can be a good option for those seeking flexibility and potential financial growth alongside their coverage.
Another key offering is their no-exam life insurance, which doesn’t require a medical exam. This makes it easier for people who want quick coverage or prefer to avoid health screenings.
Legal & General also allows policyholders to convert term policies to permanent life insurance until age 70, providing flexibility as your needs change. However, one limitation is the accelerated death benefit, which allows policyholders to access part of their death benefit if diagnosed with a terminal illness. This benefit is capped at $500,000 or 75% of the death benefit, whichever is less, which may not be sufficient for some policyholders.
Financial Strength and Stability
Financial stability is a critical factor when choosing a life insurance company. You need to know that the company will be able to pay out claims when the time comes. Legal & General America has an A+ (Superior) rating from A.M. Best, one of the highest ratings available. This rating, affirmed on February 14, 2025, reflects the company’s strong financial health and ability to meet its obligations to policyholders.
Legal & General Group, the parent company, also holds strong ratings from other reputable agencies, such as S&P and Fitch. These high ratings indicate that Legal & General is a financially sound company, giving policyholders confidence that their claims will be honored.
The company’s large customer base—1.5 million policyholders in the US—further demonstrates its stability and trustworthiness. Their growth in new policy issuance, especially in 2023, shows that many customers trust Legal & General to protect their families’ financial futures.
Customer Reviews and Reputation
Customer reviews offer a glimpse into what it’s like to work with a company. However, reviews for Legal & General vary significantly depending on the platform, so it’s important to consider multiple sources.
Trustpilot Reviews
On Trustpilot, Legal & General America has a strong rating of 4.5 out of 5, based on over 2,000 reviews. Many customers praise the company’s customer service, highlighting specific representatives like Yvonne, Darius, Ciara, Natasha, Alexis, and Natalie. These agents are described as professional, compassionate, and patient, making the application process smooth and comfortable. Customers often mention short waiting times and clear communication, which contribute to a positive experience.
However, some negative reviews on Trustpilot point to challenges, such as difficulty reaching agents due to automated systems or issues with payment setups. For example, one customer reported waiting six months without successful auto-payments, raising concerns about the policy’s reliability. These complaints are less common but suggest areas where the company could improve.
Reviews.io Feedback
In contrast, Legal & General has a much lower rating of 1.7 out of 5 on Reviews.io, based on 602 reviews, with only 16% of reviewers recommending the company. Common complaints include:
- Difficulty getting answers or accessing basic policy information.
- Delays in claims processing, with some customers waiting months for payouts after a loved one’s death.
- Unhelpful bureaucracy, such as feeling like claims are treated like a criminal investigation.
- Issues with Direct Debit changes, poor online platforms, and long hold times.
- Inaccurate information from chatbots and unprofessional staff.
These negative reviews are concerning, as they suggest potential challenges in customer service and claims handling. It’s possible that Reviews.io includes more feedback from UK customers, while Trustpilot focuses on US customers, which could explain the difference in ratings. Legal & General America, specifically, seems to have a better reputation than the broader Legal & General brand.
Reconciling the Differences
The discrepancy between Trustpilot and Reviews.io ratings may stem from regional differences or variations in the products reviewed. For example, Trustpilot reviews are linked to Legal & General America’s website (lgamerica.com), suggesting a focus on US customers.
Reviews.io may reflect experiences with the UK-based Legal & General, which could include different products or operational practices. If you’re considering Legal & General America, the Trustpilot reviews may be more relevant, but the negative feedback on Reviews.io shouldn’t be ignored.
Pros and Cons
To help you weigh your options, here’s a summary of the advantages and disadvantages of choosing Legal & General America for life insurance.
| Pros | Cons |
| Competitive term life insurance rates | Some negative reviews about claims processing and customer service |
| Long-term lengths up to 40 years | Limited accelerated death benefit ($500,000 or 75% of the death benefit) |
| Option to convert term policies to permanent life until age 70 | Mixed reviews across platforms, suggesting inconsistent service quality |
| Strong financial strength ratings (A+ from A.M. Best) | |
| No-exam life insurance options | |
| Large market presence and industry experience |
Recent Developments
In February 2025, Legal & General announced the sale of its US term life business to Meiji Yasuda Life Insurance Company for $2.3 billion. The deal, expected to close by the end of 2025, includes a long-term strategic partnership in pension risk transfer and asset management.
According to Legal & General, this sale will not affect current policyholders, who will continue to receive the same benefits and service from the same team. Meiji Yasuda’s 50 years of experience in the US market could enhance Legal & General’s offerings, but potential customers may want to monitor the transition for any changes in operations or policies.
Conclusion
Legal & General America appears to be a strong contender for life insurance, particularly for those seeking affordable term policies with long coverage periods. Their A+ (Superior) rating from A.M. Best, affirmed in February 2025, underscores their financial stability, and their no-exam life insurance and long-term lengths are significant advantages. With over 1.5 million policyholders and a 42% increase in new policies in 2023, the company has a solid track record.
However, customer reviews paint a mixed picture. While Trustpilot shows high satisfaction with Legal & General America’s customer service, Reviews.io highlights serious concerns about claims processing and communication, particularly for UK customers. This suggests that service quality may vary depending on the region or specific circumstances.
The upcoming sale to Meiji Yasuda, set to finalize by the end of 2025, is another factor to consider. While it’s not expected to impact existing policies, new customers might want to wait until the transition is complete to ensure stability.
If you’re considering Legal & General America, it’s a good idea to contact their customer service team to assess their responsiveness. Comparing quotes from multiple providers can also help you find the best coverage for your needs. Overall, Legal & General offers competitive products and strong financial backing, but potential service challenges mean you should proceed with careful research.
