Unum Whole Life Insurance Reviews: Pros, Cons, and Consumer Ratings

Unum offers whole life insurance policies to employees through workplace benefits plans. Here’s an in-depth look at Unum’s whole life product, including pros, cons, features, and real customer reviews.

Overview of Unum’s Whole Life Insurance

Unum’s whole life insurance provides permanent coverage along with a cash value account. Key features include:

Lifelong coverage – Remains in force until age 100 as long as premiums are paid.
Cash value growth – Earns interest at a guaranteed rate to build cash value that can be borrowed against.
Portable – Can be kept if you leave your employer.
Optional riders – Accelerated death benefit and waiver of premium available.
Employee benefit – Offered through employers rather than direct to consumers.

Unum whole life aims to provide lifetime protection plus tax-advantaged savings. It gives employees an alternative to term life insurance.

Pros of Unum’s Whole Life Insurance

Unum’s whole life insurance has several advantages:

Strong financial ratings – Unum has an A rating from A.M. Best reflecting excellent financial strength.
Few complaints – Unum has received fewer complaints than average for its size per the NAIC.
Guaranteed death benefit – The death payout is guaranteed as long as premiums are paid.
Guaranteed cash value – Cash value grows at a preset interest rate outlined in the policy.
Premiums don’t rise – Premiums are fixed when the policy is purchased.
Tax benefits – Cash value grows tax-deferred and death benefits are income tax-free.
Portable coverage – Employees can keep their policy if they leave their employer.

Cons of Unum Whole Life Insurance

Some downsides to consider include:

Limited customization – No choice of term lengths or death benefit options.
Higher cost – Premiums are much higher than term life insurance.
Underwriting required – You must answer health questions to qualify for coverage.
Slower cash value growth – Cash value grows at a guaranteed but relatively low interest rate.
No direct sales – Policies only available as an employee benefit at work.

Unum Whole Life Features and Riders

Unum offers a straightforward whole life insurance policy along with a couple optional riders.

Accelerated death benefit for terminal illness – Receive an advance payout if diagnosed with a terminal illness.

Waiver of premium – Premiums waived if you become disabled after a waiting period.

Children’s term rider – Adds term life coverage for your kids.

Unum’s whole life insurance doesn’t offer any investment options or unique customization features. But the accelerated death benefit can provide important financial relief in the event of a terminal diagnosis.

Unum Whole Life Customer Reviews

Unum whole life insurance gets mostly positive reviews from policyholders:

“Very fast and smooth process…excellent customer service.” – Larry, Verified Customer
“When I needed it, claims process was easy and fast.” – Michelle, Verified Customer
“Reliable with fast turnaround on claims.” – Marie, Verified Customer
“Wish I could keep this policy if I leave my employer.” – Brandon, Verified Customer

Many customers praise Unum’s fast claims payments and easy processes. The main complaint is that coverage ends if you leave your job rather than being portable.

Is Unum Whole Life Right for You?

Unum whole life insurance can provide lifetime coverage and tax-advantaged cash value to employees as a workplace benefit. It’s a simple permanent life policy from a financially strong insurer.

However, options are very limited compared to buying an individual whole life policy. And you can’t take Unum’s policy with you if you switch employers. Overall, Unum whole life is best suited for employees wanting basic permanent coverage via their employer plan.

Is Unum a Good Insurance Company?

FAQ

Does Unum life insurance have cash value?

This policy accumulates cash value. * You can borrow funds from this value as needed. policy’s benefit amount and use it for any purpose.” ܀܀ Long term care benefits.

Can I borrow money from Unum life insurance?

Whole Life Insurance also earns interest, or “cash value,” at a guaranteed rate of 4.5%. * You can borrow from that cash value, or you can buy a smaller, paid-up policy — with no more premiums due.

How does Unum pay out?

You can have the benefit payments electronically deposited in your bank account by filling out an electronic transfer form in your Unum account. This is the fastest and easiest way to receive your benefit. If you wish, however, payments can be mailed to you as a check.

How long does it take Unum to process a life insurance claim?

After Day 5… The life benefits specialist will provide written updates on the claim status at least every 30 days until a benefit determination is made. Benefit determinations on Accidental Death & Dismemberment claims often take longer. Unum will typically make a decision on AD&D claims within 60 days.