Universal life insurance gives you lifelong coverage while letting you adjust premiums, build cash value and modify your death benefit as your needs change. North American, Protective, Ethos and Midland National earned MoneyGeek's top rankings in 2025. These insurers have strong finances, offer real policy flexibility and keep customers satisfied.
Best Universal Life Insurance Companies in 2026
North American, Protective, Ethos and Midland National offer the best universal life insurance based on MoneyGeek's analysis, but the right option depends on your needs.
Find out if you're overpaying for life insurance below.
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Updated: December 29, 2025
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Key Takeaways
Universal life insurance provides lifelong coverage with flexible premiums and a cash value component, making it suitable for long-term financial planning.
North American is the best universal life insurance company overall. It also ranks first for seniors, smokers and people who are overweight.
The top-rated insurer for people in poor health is Protective. Ethos excels at indexed universal life insurance. Meanwhile, Midland National is the best cheap universal life insurance company.
What is the Best Universal Life Insurance?
North American | 5 | $295 (men) $252 (women) | $3,540 (men) | |
Protective Insurance | 5 | $317 (men) $275 (women) | $3,804 (men) | |
Ethos | 5 | $328 (men) $275 (women) | $3,936 (men) | |
Midland National | 4.5 | $295 (men) $251 (women) | $3,540 (men) |
Rates based on averages from MoneyGeek's 2025 life insurance survey for nonsmokers with average weight and health ratings. Actual premiums may vary depending on your individual profile, health status, coverage needs and insurer underwriting guidelines. Rates shown are for illustrative purposes only.
Best Overall: North American
North American
MoneyGeek Rating
5/ 5
5/5Affordability
5/5Customer Experience
5/5Coverage Points
Average Monthly Cost
$295 (men); $252 (women)Average Annual Cost
$3,540 (men); $3,024 (women)
Best for People in Poor Health: Protective Insurance
Protective
MoneyGeek Rating
5/ 5
5/5Affordability
5/5Customer Experience
5/5Coverage Points
Average Monthly Cost
$317 (men); $275 (women)Average Annual Cost
$3,804 (men); $3,300 (women)
Best Indexed Universal Life Insurance Company: Ethos
Ethos
MoneyGeek Rating
5/ 5
5/5Affordability
5/5Customer Experience
5/5Coverage Points
Average Monthly Cost
$328 (men); $275 (women)Average Annual Cost
$3,936 (men); $3,300 (women)
Best Cheap: Midland National
Midland National
MoneyGeek Rating
4.5/ 5
5/5Affordability
3.8/5Customer Experience
4.2/5Coverage Points
Average Monthly Cost
$295 (men); $251 (women)Average Annual Cost
$3,540 (men); $3,012 (women)
How Does Universal Life Insurance Work?
A universal life insurance policy provides permanent life insurance coverage. It pays a death benefit to your beneficiary and includes a cash value savings component. This cash value grows over time and can be used to fund premiums, take out loans or make withdrawals. You’ll receive the cash value minus surrender charges if you surrender the policy.
TYPES OF UNIVERSAL LIFE INSURANCE
- Traditional universal life: Offers flexible premiums and death benefits with cash value that earns interest.
- Indexed universal life insurance (IUL): Ties cash value growth to a stock market index like the S&P 500.
- Variable universal life (VUL): Allows you to invest cash value in mutual fund-like subaccounts for potentially higher returns but with greater market risk.
- Guaranteed universal life (GUL): Provides lifetime coverage with lower premiums and minimal cash value.
How to Choose the Best Universal Life Insurance Policy
Finding the right universal life insurance policy means weighing cost against flexibility and long-term value. Focus on these factors when comparing providers and policies.
- 1Financial Strength Ratings
Choose companies with AM Best ratings of A or higher.
- 2Policy Flexibility
Look for options to adjust death benefits and premiums as your financial situation changes.
- 3Cash Value Growth Potential
Compare interest rates, crediting methods and fee structures that affect how quickly your cash value accumulates.
- 4Rider Availability
Look at options like accelerated death benefits, chronic illness riders and guaranteed insurability options.
- 5Customer Service Quality
Review complaint ratios from state insurance departments and customer satisfaction scores from J.D. Power.
- 6Premium Costs
Get quotes from multiple insurers.
How Much Does Universal Life Insurance Cost?
Life insurance costs depend on factors like age, lifestyle, health and coverage amount. Because universal life combines lifelong financial protection with a cash value component, premiums are generally higher than term life but offer more flexibility and long-term value. Rates also differ depending on whether you choose a standard or indexed universal policy, as well as any riders you add for additional financial protection.
The tables provide average costs based on gender, age and coverage amount:
Data filtered by:
40
Male
| $100,000 | $59 | $706 |
| $250,000 | $147 | $1,764 |
| $500,000 | $294 | $3,528 |
| $750,000 | $441 | $5,292 |
| $1,000,000 | $588 | $7,056 |
| $2,500,000 | $1,470 | $17,640 |
The rates above are based on averages for nonsmokers with average weight and health ratings. Actual premiums may vary depending on your profile and coverage needs.
Universal Life Insurance FAQs
We answer common questions about universal life insurance to help you determine the best policy for your needs.
What are the pros of universal life insurance?
Universal life insurance pros include lifetime coverage with flexibility in the death benefit and premiums. You can build cash value, and some policies offer features like a no-lapse guarantee and minimum interest rate guarantees. You can use the cash value to pay premiums, make withdrawals, take out a loan or cash out the policy if you no longer need coverage.
What are the cons of universal life insurance?
Universal life insurance takes ongoing attention. Premiums and cash value depend on how the policy is funded and how credited interest performs, so ignoring it for long periods can lead to problems. If returns fall short, you may need to add more money to keep coverage in place.
Cash value growth can be slow in the early years and may lag behind other long-term financial options. Without regular check-ins, a policy can quietly drift toward underfunding and eventually lapse.
Is universal life insurance worth it?
Universal life insurance may be a good option for people who want lifetime coverage with flexible premiums and are comfortable adjusting the policy over time. Its value depends on personal financial goals, income consistency and willingness to monitor performance.
Can I borrow against my universal life insurance policy?
Yes. You can take a loan against the cash value in your universal life policy, often up to about 90% of the cash surrender value. The loan charges interest set by the insurer, commonly around 4% to 8% per year.
Any loan balance you don’t repay reduces the death benefit dollar for dollar. If the loan and interest grow too large compared to the remaining cash value, the policy can lapse.
What's the difference between universal and whole life insurance?
Universal life insurance allows changes to premium payments and death benefits over time, giving policyholders more flexibility. Whole life insurance uses fixed premiums and offers steady cash value growth. Universal life requires more oversight, while whole life follows a more predictable structure.
Our Review Methodology
Universal life insurance shopping means sifting through dozens of companies, each promising competitive rates and flexible coverage. The challenge isn't finding options; it's identifying which insurers actually deliver affordable premiums, reliable claims processing, and the policy flexibility that drew you to universal life in the first place.
We designed our research to cut through marketing claims and focus on what actually matters when you're comparing universal life policies. Our analysis examined 248,399 life insurance quotes alongside customer satisfaction data, financial stability reports, and product offerings to identify which companies deliver the best combination of value and reliability.
Our Scoring Framework
MoneyGeek ranked the top universal life insurance companies using the following weightings:
- Affordability (55%)
- Customer Experience (30%)
- Coverage Options (15%)
Each company's final score incorporates cost data from online quotes, AM Best financial strength ratings, years in business, NAIC customer complaint index data, and availability of tools like online account management and flexible payment options.
Sample Customer Profile
Unless otherwise stated, the rates shown in this article use this standard profile:
- 30- to 49-year-old
- Nonsmoker
- 5'9" tall, 160 pounds for male
- 5'4" tall, 120 pounds for female
- Average health rating
- $500,000 coverage
We adjusted age, health, weight and smoking habits on this baseline profile to see what different customers actually pay. The patterns told us which insurers charge less across the board and helped us estimate what you'd pay based on your situation.
These pricing trends mean we can show you more than raw quote data. You'll understand how your premiums shift when you age, gain weight or quit smoking.
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About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. He has analyzed the insurance market for over five years, conducting original research for insurance shoppers. His insights have been featured in CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
He writes about economics and insurance, breaking down complex topics so people know what they're buying.