Today, we are going to share 20 popular long-term disability insurance companies. We are not affiliated with any of these companies, nor are we endorsing them. To stay neutral, we are listing them in alphabetical order. This article is for educational purposes only.
What is Long-Term Disability Insurance?
I figured the best way to start this post is to explain what long-term disability insurance is. Here’s a great definition I found online.
Long–term disability insurance (LTD) is an insurance policy that protects an employee from loss of income in the event that he or she is unable to work due to illness, injury, or accident for a long period of time.
Source: The Balance Careers
Why should you buy it? Because you need an income to live! There are so many things in life that our out of control. If you get sick or disabled and lose your income, it could force you into bankruptcy or homelessness. You don’t want that to happen.
Top 20 Long-Term Disability Insurance Companies
With that being said, here is our list of 20 popular long-term disability insurance companies. They are in alphabetical order.
# 1 AllState
The Allstate Corporation is one of the largest insurance providers in the United States and one of the largest that is publicly held. The company also has personal lines insurance operations in Canada. Allstate was founded in 1931 as part of Sears, Roebuck and Co., and was spun off in 1993. The company has had its headquarters in Northfield Township, Illinois, near Northbrook since 1967. Allstate ranked No. 79 in the 2018 Fortune 500 list of the largest United States corporations by total revenue. Its current advertising campaign, in use since 2004, asks, “Are you in good hands?”
# 2 American Fidelity
American Fidelity Assurance Company is an Oklahoma-based supplemental health insurance and financial services company, specializing in multiple industries, including education and healthcare. It offers group short and long-term disability plans, as well as a $50,000 Accidental Death and Dismemberment benefit. Founded in 1960, the company has 1,600 employees.
# 3 Ameritas
Ameritas was originally established in 1887 under a different name, the Old Line Bankers Life Company of Nebraska. They merged with Acacia Life and Union Central Mutual Holding Company of Cincinnati, Ohio. After the two mergers, the company became known as Ameritas.
Source: Good Financial Cents
# 4 Assurity
Assurity follows their motto of helping people through difficult times every day. Founded in 1890, they are a mutual company offering a wide variety of insurance products. Being a mutual Assurity company (like Guardian or MassMutual) means Assurity is owned by their policyholders, so corporate goals and strategies should benefit those policy owners.
Source: High Income Protection
# 5 Guardian Life
Guardian Life Insurance has been around for a long time—150 years! For a life insurance company—or any company—to be in business for that long says a lot. Guardian has made a name for themselves as a trustworthy mutual life insurance company with solid financial strength.
# 6 Illinois Mutual
Over the past 100 years, they’ve experienced a lot of growth. They’ve grown from the small Illinois insurance company they started as, into a company with over 1,000 independent agents.
They had over $1,000,000,000 in total assets in 2016. One thing to be aware of is the states Illinois Mutual can service.
Source: Good Financial Cents
# 7 MassMutual
Massachusetts Mutual Life Insurance Company, better known as MassMutual, is one of the oldest insurance companies in the United States. George W. Rice founded the company in 1851 as a mutual company, or one that is owned by its policyholders. From its early beginnings, Massachusetts Mutual Life Insurance Company has grown to become a financial giant serving over 13 million clients worldwide.
Source: the balance
# 8 MetLife
MetLife, Inc. (MetLife), incorporated on August 10, 1999, is a provider of life insurance, annuities, employee benefits and asset management. The Company’s segments include U.S.; Asia; Latin America; Europe, the Middle East and Africa (EMEA); MetLife Holdings, and Corporate & Other.
# 9 Mutual of Omaha
Mutual of Omaha is considered to be one of the most financially sound insurance companies in the United States. As of year-end 2016, the company reported a pre-tax operating income of more than $526 million, on revenues of nearly $8 billion. Both of these figures represent an increase over its 2015 results. The company also reported an after-tax consolidated net income of more than $356.5 million, as compared with $333 million in 2015.
# 10 Northwestern Mutual
Northwestern Mutual offers life insurance, long-term care insurance, disability insurance, annuities, mutual funds, and employee benefit services.
Northwestern Mutual’s headquarters is in Milwaukee, Wisconsin. Northwestern Mutual has a revenue of $28.1B, and 5,800 employees. Northwestern Mutual’s latest funding round was a Investment Fund for $150M on May 2019.
# 11 Ohio National
Founded in 1909, Ohio National Life Insurance Company is a mutual insurance holding company headquartered in Cincinnati, Ohio. The company has nearly $42 billion in assets under management, and employs more than 1,300 associates at its headquarters.
Source: Simple Life Insure
# 12 Petersen International Underwriters (PIU)
Petersen International Underwriting will cover risks that traditional life insurance companies either will not or cannot insure. That being said, you will receive a more favorable rate if you can ultimately place a policy with a traditional life insurance company.
Source: Good Life Protection
# 13 Principal Financial Group
Principal Financial Group, Inc (Principal) is an financial institution incorporated in 1879, whose controlling shareholder is the American investment fund The Vanguard Group Inc (10.73%). The company offers pension instruments, insurance and asset management throughout 18 countries. It has its headquarters in Des Moines (Iowa, USA) and regional offices in Mexico, Chile and Sao Paulo.
# 14 Prudential
Prudential Financial, Inc. is an American Fortune Global 500 and Fortune 500 company whose subsidiaries provide insurance, investment management, and other financial products and services to both retail and institutional customers throughout the United States and in over 40 other countries.
Prudential Financial is the largest insurance company in the United States, with total assets amounting to approximately 1.456 trillion U.S. dollars.
# 15 RiverSource
Riversource has been in business since 1894 and has an “A+” financial stability rating from A.M. Best. Two income protection plans are available through RiverSource, Income Protection and Income Protection Plus. Both plans offer an income tax-free monthly benefit. Coverage is guaranteed up to age 65. A cost of living rider adds coverage to help protect you against cost-of-living increases.
Source: the balance
# 16 Sunlife Financial
Sun Life Financial, Inc. is a diversified financial services company. It provides life and health insurance, savings, investment management, retirement and pension products and services to both individual and corporate customers. The company was founded by Mathew Hamilton Gault on March 18, 1865 and is headquartered in Toronto, Canada.
# 17 The Hartford
Founded in 1810, The Hartford Financial Services Group, Inc. (NYSE: HIG) is one of the largest investment and insurance companies based in the United States, with offices in Japan, Brazil, Ireland, England, and the United States. With nearly 30,000 employees and $2.1 billion in income in 2004, The Hartford was ranked 88th on the 2005 Fortune 100 list.
Source: Advantage Group LLC
# 18 The Standard
The Standard is in fact a group of companies based in the United States. It carries under its name the Standard Insurance Company of Portland, Oregon, as well as Standard Life Insurance Company of New York, based in White Plains, New York. The former is active and has license to operate in all the states of America except New York, which is covered by the latter.
Source: Great Life Insurance Group
# 19 Thrivent
Back in 1902, a company named Aid Association for Lutherans (AAL), a fraternal benefit society, launched in Wisconsin. Around fifteen years later, Lutheran Brotherhood (LB) formed in Minnesota. For a long time, the two operated separately but with very similar goals. In 2001, after years of conversation and praising the services of one another, the two insurers combined and became Thrivent Financial for Lutherans. Currently ranked #316 on the 2017 Fortune 500, this non-profit company helps to support families in numerous ways (including their many life insurance products).
# 20 Unum
The company claims to provide insurance protection plans to more than 80,000 employers worldwide, including 32% of Fortune 500 companies. It’s been in business for decades, has high financial ratings across the board, and has made Fortune’s most trustworthy and reputable companies’ lists. It offers some riders with its group LTD policy, giving some flexibility and choice to employees. Unlike some of its competitors, it doesn’t offer individual plans, which limit its services to consumers.
Suggestions & Tips
When you are shopping for long-term disability insurance, here are a few suggestions and considerations.
- Ask your HR Department if this is provided by your employer and if not, what do they suggest.
- Talk with your current insurance company or insurance agent and see if they provide it. It would also be wise to talk with your CPA and/or attorney.
- Educate yourself and determine what you need and how much you need.
- Get quotes from at least three different insurance companies. Make sure the quotes are for comparable benefits, so you are comparing apples to apples.
There you have it folks. These are 20 popular long-term disability insurance companies. What are your thoughts? Do you agree or disagree with our list? Leave a comment below to share your thoughts.
Once again, we are not endorsing any of these companies, nor are we affiliated with them.
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