LUMICO life Insurance Review 2020

by Jim Tobin, CFP

Company Highlights

  • A.M. Best Rating :  A
  • Tern and Whole Life Offered
  • High NAIC Complaint Index
  • Pricing Inconvenient to Compare
LUMICO Life Insurance Review

Life Insurance Help Desk Rating

LUMICO Life Insurance is a member of the SwissRE financial services family.

This review will address company history, financial ratings, and the positives and negatives of the LUMICO Life Insurance. 

Additionally it will address some specific  situations where it may make more sense to go outside the LUMICO family of products. 

The goal is to make sure that you get the policy that provides you the most value.

LUMICO Life Insurance company History

Founded in 1965  LUMICO Life Insurance  is a micro insurance carrier. LUMICO Life Insurance itself, accounts for approximately $18,000,000 a year in US premiums or well less than .01 % of the overall market.  

The LUMICO Life Insurance Company  was purchased in 2011 by SwissRe subsidiary iptiQ Americas.

Lumico has been agressively growing in recent years and , in spite of a small market share , is fast becoming a recognized brand. 

Lumico is also part of the Medical supplement  market as well.

LUMICO Life Insurance Company life insurance Company Ratings

The  LUMICO Life Insurance Company company received a pretty good financial stability rating from AM Best,. However, the carrier is not covered by the other agencies..  This indicates that the company is in good position to meet it's obligations going forward. 
  1. A.M. Best Company:   LUMICO Life Insurance Company company  rating given by A.M. Best was an A.
  2. Moody's Ratings:  LUMICO Life Insurance Company  was not rated by Moody's. 
  3. S&P Ratings-  LUMICO Life Insurance Company company was  not rated by S&P.
  4. Comdex Score- ​n/a

LUMICO Term Insurance

LUMICO offers traditional term insurance. terms of 10,15,20 and 30 years are available. However, any conversion privileges are limited as their permanent product lineup is thin. 

The term insurance offered is 'no exam" and thus, quick and convenient.

Underwriting (based on your prescription history and public data) is thought to be stricter than many of the major carriers.  

Other Lumico  Life Insurance company Products

Lumico  is primarily a term insurance and final expense company on the life insurance side and a med supplement carrier on the health side.

Final expense insurance is generally in the form of a small whole life policy meant to cover burial costs.

Medicare supplement insurance is meant to cover medicare copays and is very popular with more affluent seniors.

LUMICO Life Insurance Company Rates

 LUMICO Life Insurance Company company  markets it's products directly though Lumico/Assurancet agents.

Because LUMICO is not carried by independents at this time , you will need to go to the theLUMICO  web site and contact an agent to get a quote.

You may need to set up an appointment through a representative as there is no  online quote path.

Are Lumico Life Insurance rates competitive?

Hard to say...but not likely.

Probably not the answer you were looking for, I know. It is however, the truth. 

Because  LUMICO Life Insurance Company does not make it easy for the public to access rate information, it is difficult to make apples to apples comparisons.  

However, it has been our experience that companies (even good ones), that are not conveniently transparent with pricing, are seldom the price leaders. 

With few exceptions, the best priced carriers are willing and, in fact, eager to be compared with other carriers. Example of "price busters" are Banner Life and Protective Life.

Carriers that may cost more but are more lenient in underwriting are Prudential and Mutual of Omaha.

Cases where Lumico life insurance company is not a great choice

To be perfectly frank, it's hard to find a situation where LUMICO would be a great fit. The convenience factor of not needing a medical exam is available with more transparently available carriers.  

If you have a specific condition, you are best off speaking with an independent agent to find out which carrier will give you the best chance to get approved at a great rate.  

After all, different carriers have differing risk appetites for YOUR condition.

​That being said, if you are using LUMICO for other financial services, like medicare supplements, and you find that the rate being offered is competitive,  it may make sense to keep everything in house.   

LUMICO Life Insurance Suicide Exclusions

The 2 year suicide clause that is part of all life insurance policies in the United States, is the same. (Note that some states use a 1 year exclusion)  

LUMICO Customer Service

The National Association of Insurance Commissioners reports a complaint index of 15.48 for Lumico (2018) . This is well above the national average of 1 percent. This is a RED FLAG 

Additionally, while life of Lumico life Insurance is not rated by JD Power & Assoc., it's  has a BBB rating of B.

Lumico Life Insurance Contact Info:

Address:P.O. Box 83303
Lincoln, NE 68501

Phone:(866) 440-4047

Web:https://www.lumico.com

The LUMICO life Insurance review final Verdict

Is LUMICO right for you?It really all depends on your situation.

If you have notable health impairment(s), you will likely be better suited by shopping around on the open market where it is convenient to make apples to apple comparisons. 

Moreover, having the use of an independent expert who can send your application to a carrier that is likely to view you in the best possible light has value that LUMICO can't offer.

However, if you happy with other services being being provided by LUMICO and in good health and require their products, it may be convenient to keep things "in house".  

Thank you for choosing the Life Insurance Help Desk to shop for life insurance.

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James P. Tobin, CFP