Prudential vs. Mutual of Omaha Life Insurance

In this article...
  • Learn about the life insurance options available through Mutual of Omaha and Prudential, including how their prices and application processes compare.

Mutual of Omaha and Prudential are two insurance industry heavyweights that offer broadly comparable life insurance products. However, there are significant differences in terms of price, accessibility and permanent insurance options. Below, you can find out how Mutual of Omaha and Prudential compare to help you choose the right company for your needs. 

Mutual of Omaha Life Insurance Summary

Mutual of Omaha sells a range of term and permanent life insurance products. Its term policies span 10, 15, 20 or 30 years and cost the same amount over the entire term. Beneficiaries receive a guaranteed death benefit if the insured dies before the policy expires. Coverage ends when the term finishes, although Mutual of Omaha allows customers to switch to permanent insurance as an alternative.

Mutual of Omaha's permanent life insurance options are whole life and universal life policies. Whole life insurance comes with the benefit of level premium payments, and policies grow cash value in a savings account on a tax-deferred basis. Universal life insurance is more flexible, allowing death benefit and premium payment adjustments, provided you meet certain criteria. Mutual of Omaha's permanent life insurance policies include various living benefits that may allow access to funds tied up in the account if you develop a chronic or terminal health condition.

Prudential Life Insurance Summary

Like Mutual of Omaha, Prudential offers term life insurance policies with 10-, 15-, 20- and 30-year terms. It also sells a 1-year term policy called PruTerm One. This product could be a good option if you don't want to commit to a longer policy because you expect your needs or financial situation to change over time. 

Prudential doesn't sell a whole life insurance policy, but it does offer three permanent life insurance options. Its universal life insurance product accumulates tax-deferred cash value and permits premium and coverage adjustments. Meanwhile, its indexed life insurance products include a death benefit and grow cash value in line with selected indexes, which could provide a retirement income. Finally, its variable life insurance policies allow customers to invest the cash value element. This option could help you accumulate cash value quicker, but it also risks your capital if your investments perform poorly.

Mutual of Omaha vs. Prudential Life Insurance Comparison of Accessibility

Mutual of Omaha accepts online applications for selected products, while others require you to call the company to apply through an agent. Its guaranteed whole life insurance policy welcomes anyone between the ages of 45 and 85, and you won't need to undergo a medical examination. This product is usually more expensive than Mutual of Omaha's other policy types, but it could be worth considering if you have a health condition that makes it difficult to get life insurance. Otherwise, you'll usually need to have a medical exam or answer a health questionnaire to apply for Mutual of Omaha life insurance policies. 

Prudential's SimplyTerm life insurance policy allows you to apply online, and you can often set up your coverage without speaking to an agent. However, you'll need to answer questions about your circumstances, and underwriters may request additional health information to determine whether you're eligible. You'll need to contact an agent to purchase most other Prudential life insurance products. Prudential may waive the requirement for a medical exam if you're aged between 18 and 60 and meet certain health and lifestyle criteria.

Mutual of Omaha vs. Prudential Life Insurance Comparison of Company Ratings

Prudential and Mutual of Omaha both hold an A+ (Superior) A.M. Best rating. These ratings assure policyholders that the companies are financially solvent and exercise responsible operating practices. 

Prudential and Mutual of Omaha both hold above-average scores with J.D. Power. These scores suggest that the companies offer excellent customer service and verify high levels of customer satisfaction. Prudential has a score of 753/1,000, while Mutual of Omaha comes in somewhat higher with a score of 795/1,000.

Mutual of Omaha vs. Prudential Life Insurance Comparison of Cost

Mutual of Omaha and Prudential both offer affordable term life insurance products. Prudential's Term Essential product is specially designed with affordability in mind. Mutual of Omaha's guaranteed acceptance products are relatively expensive, but customers are essentially paying for the convenience of skipping a medical exam.

According to U.S. News, Mutual of Omaha's average monthly premium rates for a 20-year term policy with $1million coverage for people in decent health are:



















Meanwhile, Prudential's average rates for a similar policy are as follows:



















These figures suggest that Mutual of Omaha may offer somewhat more affordable policies than Prudential. However, these prices are based on estimates, and the quote you receive will depend on your health status, age and circumstances. 

Choosing the Right Insurance Company for You

Life insurance protects your dependents financially, so choosing the right policy is an important decision. The cost will be a crucial factor for many people, but it's also essential to ensure that your policy is adequate to meet your family's needs. Comparing the benefits and drawbacks of several policies in your price range, instead of going straight to the cheapest option, can help you find the best possible coverage.

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