Allstate Life Insurance Review…What You Need to Know

Allstate Life Insurance Review…What You Need to Know

If you have been considering buying life insurance from your local Allstate office and wanted to do some research first, you have landed in a good spot. This Allstate life insurance review will address, product offerings and alternatives, as well as advice on how to get the best deal possible on life insurance.

Allstate Life Insurance Review:  "Aren't They The Home and Auto  Folks?"

Allsate is one of the best known multi-line insurers in the country. You are probably familiar with the "good hand s people" television commercials.

All State life insurance review

In addition to being well known Allstate is highly ranked by the financial rating agencies. They are rated "A+" by A.M. Best. You can learn more about the the ratings of life insurers here.

Founded in 1931 Allstate has grown steadily since inception. In 1954 

Founded in 1931 Allstate has grown steadily since inception. Whether it's home, auto, renters, or business insurance, All State will likely be competitive in the market place.  However when it comes to life insurance, it's largely a different story.

Allstate entered the personal life insurance business in 1954​, and has been cross selling property and casualty clients with "captive agents" ever since. The "up sell" of life insurance to these clients is industry standard for all multi line carriers and a smart business decision for Allstate. The benefit to the client is the convenience of "one stop shopping". However, as will be shown, that convenience comes with a hefty price tag. 

Allstate Life Insurance Review: Products Offered

Although this article is focused on tern insurance, Allstate offers not only term, but whole life and universal life also. ​

Term​

Allstate ​term insurance is branded as TRUEFIT Term and is offered in 10, 15, 20 & 30 year terms.  Benefit amounts up to $150,000 may be eligible for no exam options. Additionally, several common riders are available including a child rider, and a waiver of premium rider.

​Allstate Life Insurance Review :  Underwriting Niches

Many, but not all, life insurance carriers are known for being more lenient with specific medical conditions or niches. It is for this reason the the Life Insurance Help Desk urges all consumers to use independent agents with multiple carriers available. This way if you have an like say, Crohn's disease, you can find the carrier most friendly to your unique circumstance. ​

The Life Insurance Help Desk resource page for life insurance wi​th existing conditions can help with any number of health issues including:

​All that being said, Allstate is not known for being particularly liberal with any specific medical condition. In fact, the only real niche that All State has is convenience. The ability to  take care of all your insurance needs at once has a value. The question becomes  what is that value worth in dollars and cents? 

​Allstate Life Insurance review of Pricing

​This discussion of pricing is limited to term insurance for the practical reason that permanent life insurance pricing is entirely dependent on the customized structure of the policy.

​Term Pricing

Earlier we posed the question "how much is the convenience of "one stop shopping" worth when it comes to life insurance. 

We have compared a 50 year old male in excellent health at all 4 term period that All State offers. Below, see the  All State Rate and compare with the quote tool showing the top carriers.

all state life insurance review

As you can see here the convenience of Allstate is awfully expensive on a 10 year policy with Mutual of Omaha being $89.17 cheaper per month.

The 15 year policy shows a Prudential policy saving 106.36 per month.

The 20 year policy, the most common policy issues today, shows a monthly savings of 116.38 by choosing Prudential over Allstate. 

Last. we have a 30 Year policy. This option shows Allstate to be an astounding $226.91 more expensive than Prudential.  That's over $81500 over the course of the policy. That's a lot of cheese!

all state life insurance review

All State Life Insurance Review : The Verdict

The above screen shots show that in the specific case shown Allstate is way more expensive than traditional life insurers. Not all cases will be as extreme, I chose this one because I used my age ( and better health). However, it does show that if you should shop around....particularly if you have an existing health condition.

Yes, Allstate, an all the multi line carriers, are convenient.The question is how much is the convenience worth? I quite sure that most people would rather spend 20 minutes on the phone with an independent agent than  ​spend an additional $81000. I mean, come on!

​Thank you for choosing to read the Allsate life insurance review on the Life Insurance Help Desk Company Review List. Should you have any question, please don't hesitate to give us a call or send over an email

Summary
Review Date
Reviewed Item
Allstate Life Insurance Review…What You Need to Know
Author Rating
51star1star1star1star1star
James Tobin, CFP
 

Jim Tobin is the owner of Life Insurance Help Desk, a Fairfield County, CT. life insurance agency. You can find him on Google + and Facebook. Over the past 10 years, Jim has used his CFP-financial planning designation to help individuals with their life insurance needs. In addition to working with life insurance clients, Jim teaches ESL classes in his spare time. He resides with his beautiful wife Nicole and the 3 cats that rule their lives..