Many people don’t know where to start when it comes to shopping for life insurance. With so many choices, it can be difficult to narrow things down and find the right insurance company for your needs. Transamerica is a company you may have come across while shopping for life insurance.
Is Transamerica’s life insurance coverage good? What type of life insurance coverage does Transamerica offer? What are Transamerica’s life insurance prices like? Read on to learn more about Transamerica life insurance and see if it’s the right fit for your needs.
The Transamerica corporation was originally founded as a holding company for Bank of America in 1928. Two years later, the company acquired the Occidental Life Insurance Company and started selling insurance and other financial products. They went on to acquire other life insurance companies and financial organizations. In 1972, they built the iconic Transamerica Pyramid in San Francisco, which remains a distinctive part of the city’s skyline. The company eventually moved its headquarters to Cedar Rapids, Iowa, and branched out to open offices in Baltimore, Denver, Plano, Texas, St. Petersburg, Florida, and many other locations throughout the United States, although they still have a small presence in San Francisco. They are now a subsidiary of Aegon, which is an international financial organization based in the Netherlands.
What Kind of Products Does Transamerica Offer?
Transamerica offers several different types of life insurance policies for its customers. They also stand out because they offer policies with very high death benefits – some of their policies can provide up to $10 million in coverage. Here are the types of life insurance that Transamerica offers for its customers.
Term Life Insurance
This is one of the most popular types of life insurance because it’s relatively affordable but still provides great value. With term life insurance, your policy lasts for a pre-determined number of years and then expires. Transamerica offers policies with term lengths of 10, 15, 20, 25, and 30 years.
They offer two different term life insurance policies. The first is their Trendsetter Super, which offers coverage of up to $10 million. If you take out a policy under $99,999 in face value, you’ll have the option not to undergo a medical exam. This policy offers some living benefits, as well as options for riders like children’s life insurance and accident indemnity.
The second term life insurance policy that Transamerica offers is the Trendsetter LB. This policy only goes up to $2 million in face value but offers extended living benefits. This means that you can tap into your life insurance policy early if you are diagnosed with a chronic, terminal, or critical illness that requires ongoing medical care.
Whole Life Insurance
As the name implies, whole life insurance is designed to cover you for the duration of your life without expiring. It’s typically more expensive than term life insurance. Transamerica offers whole life insurance policies of up to $2 million. In addition to the death benefit, whole life insurance policies have a cash value component that you can access during your lifetime. They also offer riders such as an accelerated death benefit.
Universal Life Insurance
Universal life insurance is similar to whole life insurance in that it provides coverage for your entire life and does not expire. Universal life insurance also has a cash value component, but its growth is tied to investments instead of monthly payments. With an indexed universal life insurance policy, the growth is tied to a market index such as S&P. While this can help grow your cash value more quickly, there are provisions in place to prevent losses as a result of market fluctuations.
If you’re willing to take a risk with your life insurance policy, Transamerica also offers variable universal life insurance. Variable policies invest your money directly, so there’s the potential for more growth, but also the risk of a loss. Transamerica’s universal life insurance policies also give you the option to adjust your death benefit over time and have riders for added flexibility.
Final Expense Insurance
Final expense insurance is a specific type of whole life insurance that’s designed to cover just your funeral and end-of-life expenses. The policies are small, with death benefits of $50,000 or less. FE insurance typically does not require a medical exam, with coverage available right away.
What Is Transamerica’s Pricing Like?
Generally, Transamerica’s life insurance policies are well priced, with average or below-average rates for many people. Of course, prices vary depending on the type of policy you are purchasing and your current health. Transamerica also stands out because they offer relatively affordable policies for smokers and people with certain chronic health issues that may otherwise struggle to get insurance.
Does Transamerica Have Good Customer Service?
Transamerica receives poor reviews for its customer service. According to data from the National Association of Insurance Commissioners, they have a higher-than-average complaint ratio, meaning they receive more complaints per insurance policy than other insurance companies. Transamerica is also not accredited by the Better Business Bureau and has an A- rating, with poor customer reviews. Reviewers mention long processing times for claims as well as a customer service team that isn’t responsive.
In terms of financial stability, Transamerica is reliable. They have an A rating from AM Best, which is a firm that assesses the financial strength of insurance companies. This means that you can rely on them to pay their insurance claims regardless of the current financial climate.
Benefits of Transamerica Life Insurance
There are a number of advantages to using Transamerica Life Insurance. These include:
- High death benefits, as well as living benefits available with many policies. There’s plenty of options to help you customize your policy to suit your needs.
- Relatively low pricing, including low prices for smokers and other groups of people that may struggle to find affordable life insurance.
Downsides of Transamerica Life Insurance
Like many other insurance companies, there are downsides to using Transamerica’s life insurance policies. The biggest disadvantage of using Transamerica is that they get very poor ratings for customer service. When shopping for your life insurance policy, you’ll want to compare many different options to find the provider that can offer you the best value for money.
|Transamerica Company Information|
|A.M. Best Rating||A+|
|Customer Service Phone Number||800-797-2643|