Prudential Insurance Company Review

In our experience, Prudential Financial, and their group of companies, are highly rated and have a rich history of quality service to policyholders and consumers. 

This article highlights Prudential Insurance Company, providing an overview of the company’s history, financial information, company ratings, insurance products, and other considerations when comparing the best life insurance companies.

Initially, founded in 1875, Prudential is one of the most recognized and trusted names in the financial services industry. The Prudential Financial group of companies include The Prudential Insurance Company of America, Pruco Life Insurance Company, Pruco Life Insurance Company of New Jersey, Prudential Annuities Life Assurance Corporation, and others. Though all are members of the Prudential Financial family, each of these companies is independently responsible for its own financial condition and obligations. As of 2018, Prudential reports reflected $1.4 trillion of assets under management and over 50 million customers globally.

Source: Prudential

The research conducted, and ratings awarded, by rating companies allow consumers to feel secure in their financial decisions. Prudential Financial companies currently hold an “A+” (Superior) rating with A.M. Best, as well as high industry ratings with Moody’s, Fitch, and Standard & Poor’s. Financial strength ratings for selected Prudential Financial companies have been provided below for review.

Source: Prudential (2018)

In line with the belief that an organization’s true reputation lies in what others have to say about their service and commitment to consumers, Prudential has accumulated an impressive list of industry awards and accolades. According to Prudential's Annual Report, “Prudential’s commitment to doing business the right way, strengthening  communities and providing an inclusive work environment is reflected in the awards  and recognition we have proudly received from national and global organizations.”

Prudential life insurance offerings include both term and permanent coverage options. The following chart provides the basic features and benefits of the different types of life insurance products available through Prudential.

Term life insurance coverage is designed for a specified period, or term, and is often the most economical initially. Term life offers a tax-free death benefit, low-cost coverage, level premiums, living benefit options, convertibility, and other features. This type of policy is often a great fit for consumers who have a temporary need for life insurance, such as income replacement, mortgage payoff protection, and other time-based scenarios.

Term Life Highlights

Return of premium term life insurance provides coverage for a specified period, like traditional term life, but offers a return of premiums paid at a certain point in the life of the policy. ROP term offers a tax-free death benefit, level premiums, potential return of premiums, living benefit options, convertibility, and other features. Like ordinary term insurance, return of premium term is designed for those with a temporary need for protection but who are also willing to pay more now to have their premiums returned later.

Universal life insurance is a type of permanent life insurance offering significant flexibility with premiums and the death benefit. Universal life offers a tax-free death benefit, lifetime coverage, flexible premiums, cash value accumulation, living benefit options, and other features. This type of policy is an option for consumers with a long-term need for life insurance coverage and a desire for policy flexibility.

Indexed universal life insurance, like traditional universal life, can provide lifetime coverage and significant flexibility, but with cash value accumulation based on an equity index as opposed to a fixed interest rate. This interest crediting strategy offers interest rates linked to a market index but can also provide downside protection. Indexed universal life offers a tax-free death benefit, permanent coverage, flexible premiums, cash value accumulation based on an equity index, living benefit options, and other features. This type of policy is a great fit for consumers who need long-term life insurance protection and have a desire to optimize cash value accumulation but also want protection from potential market losses.

Variable universal life insurance, like traditional universal life, provides long-term protection and flexible premiums. However, with VUL the cash values can be invested in equity subaccounts. This strategy involves investment directly in equities, offering potentially higher gains but also exposing cash values to market risk. Variable universal life offers a tax-free death benefit, long-term coverage, flexible premiums, cash value accumulation, equity investment options, and other features. This type of policy is ideal for consumers with a long-term need for life insurance coverage and a desire to invest directly in equity markets.

Prudential Financial companies to include The Prudential Insurance Company of America, Pruco Life Insurance Company, Pruco Life Insurance Company of New Jersey, Prudential Annuities Life Assurance Corporation, and others, offer a variety of high quality and affordable life insurance policy options. The sample rates below have been provided as an example of Prudential term life insurance premiums.