Lincoln Financial Life Insurance Review

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Founded in Fort Wayne, Indiana, Lincoln Financial Group has sold life insurance products since 1905. Its insurance companies, The Lincoln National Life Insurance Company and Lincoln Life and Annuity Company of New York, provide life insurance in all 50 states and the District of Columbia. Lincoln Financial offers personal life insurance policies through employer benefit plans and a network of financial professionals.

Lincoln Financial offers the most popular types of life insurance products on the market to meet the short-term or long-term goals of business partners, families and individuals. But is Lincoln Financial the right life insurance company for you?

Lincoln Financial life insurance

Lincoln Financial offers a selection of term life and permanent life insurance policies. A term life policy provides coverage for a relatively short period of time. For instance, with a term life policy, you can ensure that your children achieve a college education or your spouse can pay off the mortgage if you pass away during the policy period.

Lincoln Financial’s permanent life insurance, including universal, indexed universal and variable universal life policies, can provide up to a lifetime of protection and offer both a death benefit and a savings vehicle. Lincoln Financial insurance provides several plans to meet the needs of all types of individuals and families.

Types of coverage

Lincoln Financial offers a well-rounded portfolio of life insurance products.

  • Level term life insurance: Lincoln Financial offers two level term life insurance products, Lincoln TermAccel and Lincoln LifeElements. Both offer 10-, 15-, 20- and 30-year terms, are renewable and can provide coverage up to age 95. With a TermAccel policy, you can choose a death benefit of $100,000 to $1 million, while LifeElements policies have a minimum face value of $250,000. Both options also feature an accelerated benefits rider, which allows you to receive part of the death benefit if you are terminally ill with a life expectancy of six months or less.
  • Universal life insurance: Lincoln Financial’s universal life insurance policies provide lifetime protection and earn a tax-deferred cash value based on a set interest rate. Once your policy earns a cash value, you can borrow against it or withdraw funds. Universal life policies also allow you to alter your death benefit and premium payments. The provider’s LifeGuarantee universal life product covers a couple and pays following the second death, which can help protect your estate’s assets.
  • Indexed universal life insurance: Indexed universal life insurance links your cash value to a market index such as the S&P 500. Lincoln Financial’s WealthAccumulate policies provide permanent coverage, with a floor to protect your cash value from severe market losses, and the option to add an accelerated benefits endorsement. The insurer also offers the WealthPreserve 2 IUL policy, which provides coverage for up to 40 years, or to your 90th birthday and earns a cash value through four market indexes.
  • Variable universal life insurance: Lincoln Financial’s variable universal life policies enable you to choose the death benefit and duration of your coverage. These policies allow you to choose among several investment options to grow your cash value, and enable you to alter your policy’s death benefit and premium payments. The carrier offers several variable universal life policies, including the Lincoln VUL ONE, which allows you to choose from 75 investment options.

Note: Some Lincoln Financial life insurance products are not available in New York.

Cost of Lincoln Financial life insurance

Numerous factors determine your life insurance premium, including your age, family health history, personal health history, gender, hobbies, occupation, tobacco use and the type of policy you buy. Typically, term life policies cost significantly less than permanent life policies because they only provide a death benefit. Permanent life insurance, including universal, indexed universal and variable universal life policies, cost more because the insurer must invest part of your premium to build a cash value.

Lincoln Financial’s term life policies incur annual fees. For example, the provider imposes an annual fee of $80 to $90, depending on the face value of the coverage, on its TermAccel policies.

Reasons why Lincoln Financial life insurance is a great option

Lincoln Financial life insurance policies have advantages and disadvantages. If your employer offers Lincoln Financial life insurance in your benefits package, signing up for a policy could save you the time and hassle of shopping for coverage and may offer a lower rate than you can find on your own.

Lincoln Financial can connect you with a financial planner within its network. A financial professional can help you plan for retirement, avoid financial problems if a serious illness occurs and advise you on the type and amount of life insurance you need.

However, Lincoln Financial does not offer the digital tools that many policyholders enjoy. The provider does not offer online quotes and requires applicants to meet with a financial professional to apply for coverage. While Lincoln Financial enables you to submit your application over the phone or by using an online application, it does not offer the streamlined online process that many other insurers provide.

Lincoln Financial ratings, reviews, customer satisfaction and complaints

J.D. Power publishes an annual study of life insurance companies, which rates providers based on their performance in areas such as claims handling, policy offerings and price, and ranks carriers based on a 1,000-point overall customer satisfaction index. In J.D. Power’s 2020 U.S. Life Insurance Study, Lincoln Financial ranked 13th out of 23 insurers, with an overall customer satisfaction index score of 749, 14 points below the 763 industry average.

AM Best gives Lincoln Financial an A+ (Superior) financial strength rating, which means the provider is well positioned to pay its claims obligations.

The National Association of Insurance Commissioners maintains a national complaint index, which rates insurers based on the consumer complaints it receives. The index employs a 1.0 baseline. Scores below 1.0 indicate lower than average complaints, while scores above 1.0 imply a problem. In 2019, Lincoln Financial had a .10 NAIC complaint index score, better than the national average.

The Better Business Bureau gives Lincoln Financial Group an A- rating. In the last three years, 66 consumers have filed BBB complaints against the carrier. The vast majority of complaints centered on product or service issues, like misappropriated loan payments and invoicing problems.

J.D. Power rating 763/1,000
AM Best financial rating A+ (Superior)
NAIC complaint index score 0.10
BBB rating A-

Additional Policies Offered by Lincoln Financial Group

Through its employee benefits plans, Lincoln Financial also offers:

  • Accident insurance: Following a covered accident, this type of insurance can help pay a wide range of expenses such as ambulance fees, diagnostic examinations and hospital bills.
  • Dental insurance: Benefits for these Preferred Provider Organization plans include examinations, extractions, fluoride treatments, oral surgery, orthodontics and x-rays.
  • Critical illness insurance: Paid directly to the policyholder, funds from critical illness insurance can be used to pay all types of expenses, including grocery costs or car and mortgage payments.
  • Long-term and short-term disability insurance: The benefits of short-term disability insurance can help pay expenses following childbirth or rehabilitation costs incurred by an illness or injury. Following a covered serious injury, long-term disability insurance can help replace up to 60% of your income, up to $5,000 per month.
  • Vision insurance: Lincoln Financial’s vision insurance allows you to choose in-network or out-of-network providers and helps pay for contact lenses, frames, lenses and preventative care.

Frequently Asked Questions

What is the best life insurance company?

The best life insurance company will depend on your needs. Some companies specialize in term life insurance, while others offer a wide range of term and permanent life coverages.

Is term life or whole life the better option?

It depends on your needs. Term life insurance covers you for a certain period, usually one to 30 years. Permanent life insurance policies can provide a lifetime of protection while also earning cash value. Talk to an agent to determine your specific life insurance needs.

How much life insurance do I need?

Determine the amount of life insurance you need by assessing your needs and goals. If your partner or spouse depends on your paycheck, you may need enough coverage to replace your income for a year or more. And if you want to ensure your children can get a college education, calculate the amount of money it would take for them to complete a four- or five-year program. Many companies offer online calculators to help you determine an appropriate level of coverage, or you can reach out to a licensed agent to discuss your needs.

Written by
Michael Evans
Personal Finance Contributor
Michael Evans has worked in numerous industries, including education, finance, government, insurance and journalism. He began writing professionally while working for the world's first online mortgage brokerage in San Francisco, California. His writings have appeared in print and online publications, including Fox Business, International Living, Motley Fool and Yahoo Finance. Michael has contributed to Bankrate since 2013. He and his family divide their time between residences in Northern California and Colombia. When Michael is not writing, he enjoys working in his photography business and playing with his cat, Cyndi Lou.