Your day is about to get brighter because, today, we’ve decided to review Brighthouse Financial Life Insurance. I’m sure you’ve heard of a giant called MetLife. As of 2017, MetLife separated its life insurance business and launched Brighthouse Financial Inc. Brighthouse Financial is no longer part of MetLife, but it inherited the strength, reputation, and customer service MetLife has. Let’s see if Brighthouse Financial is a good choice when it comes to life insurance products.
Related: Life insurance companies review
Brighthouse Financial History
Brighthouse Financial is a provider of life insurance and annuities products in the U.S. In January 2016, MetLife declared its departure from its retail division, which was marketing annuities and life insurance products. The separated entity is now called Brighthouse Financial. Brighthouse Financial is headquartered in Charlotte, North Carolina, and, as of March 6, 2017, they are selling their products only through licensed professionals. They have a simple goal: To deliver transparent and straightforward products to their clients and minimize the expenses, complexity, and confusion that is part of this industry.
Brighthouse Financial Life Ratings
- A.M. Best: A (Excellent)
- Fitch: A (Strong)
- Moody’s: A3 (Upper Medium)
- S&P: A+ (Strong)
Here Are a Few More Financial Aspects You May Find Interesting:
- $219 billion in assets
- 2.6 million insurance and annuities policies in force
- $81.05 billion is invested
Brighthouse Guaranteed Level Term
Term life insurance offers the best value for your money when compared to other permanent coverage. Also, it’s the simplest, most straightforward product to understand: You buy coverage for a specific period (also called term length) between 10 and 30 years. If you die during that initial period, your beneficiaries will collect the death benefit.
If not, at the end of the term, you can convert your policy to permanent coverage, renew it on an annual basis, or drop it. One of the most significant advantages of term insurance is that your premium and death benefit are guaranteed to remain level throughout the initial contract. Term life is probably the most affordable life insurance you can buy!
- Issue ages: 18–75
- Term periods: 10-, 15-, 20-, and a 30-year term
- Minimum benefit amount: $1,000,000
- Fully convertible at the insured’s attained age of 70
Life insurance riders are an add-on provision to supplement and enrich your insurance policy. Brighthouse offers two optional riders:
- Disability Waiver of Premium Rider: If you become disabled for at least six months, Brighthouse will waive your policy’s premium payment and keep it in force.
- Acceleration of Death Benefit Rider: If you were diagnosed with a terminal illness with a life expectancy of 12 months or less, you could tap into your death benefit while you’re still alive. You can request all or part of your death benefit and use it as you see fit.
Brighthouse One-Year Term
As the name implies: One-year term offers coverage for one year. The premium and the death benefit remain the same for the whole year. You can add optional convertible and renewable riders to extend the coverage to five years. You can also convert the policy to whole life later on.
Who Can Use One Year Term?
- Coverage between jobs
- Coverage for an extended trip
- Coverage for a short-term loan
- Coverage for key person employee
Brighthouse Premier Accumulator Universal Life (PAUL)
Brighthouse’s Premier Accumulator Universal Life (PAUL) offers guaranteed death benefit and cash value accumulation with a minimum interest rate of 2%. Further, universal life provides the policyholder flexibilities other permanent policies don’t offer. For instance, UL allows the insured to increase or decrease the death benefit as life events unfold and adjust or skip the premium payment.
PAUL has a unique benefit not found in other universal life policies, and it’s called surrender charges. Surrender charges are the penalties you must pay if you cancel the policy or withdraw funds from the cash account.
With most universal life, you must have the policy in force for more than ten years for you to skip surrender charges. With Brighthouse, there are no surrender charges. This means if your money can work harder somewhere else, take it out and park it somewhere else.
- Issue ages: 0–85
- Minimum benefit amount: $50,000
- Death benefit options:
- Level—death benefit option A
- Increasing—death benefit option B
- No surrender charges
- Guaranteed interest rate: 2%
- Living benefit rider included at no additional cost
Brighthouse Financial vs. Other Carriers’ Sample Monthly Rates
Male 20-year Term $1,000,000
|Company||Age 30||Age 40||Age 50||Age 60|
|Mutual of Omaha||$37.80||$59.68||$161.18||$481.43|
Female 20-year Term $1,000,000
|Company||Age 30||Age 40||Age 50||Age 60|
|Mutual of Omaha||$31.68||$50.93||$119.18||$324.80|
*All rates quoted on this page are for a super-preferred healthy individual who does not use tobacco. Monthly rates are updated as of July 2018 and are subject to underwriting approval.*
Brighthouse is a part of the biggest life insurance company in the U.S., MetLife. With an outstanding financial rating and foundation, Brighthouse Life seems like a no-brainer when buying coverage. I must say that going through their client’s brochure, they try to be as transparent and clear as possible when explaining complicated life insurance products such as universal life insurance. Their universal life offers no surrender charges when withdrawing the money, which can be a huge advantage for most.
There are a few cons to Brighthouse that I can’t ignore. For starters, the minimum face amount for term life is $1,000,000. This may not be an extravagant amount, but it weeds out many who are only looking for a lower face amount than a million. Secondly, Brighthouse only offers two products from which to choose, term and universal life. If you don’t fit into one or the other, you will have to look for a different carrier. Last but not least, Brighthouse’s pricing is more expensive than other leading insurers such as Protective, Banner, and AIG.
We at Effortless Insurance represent Brighthouse Financial and more than 50 other carriers. Our loyalty is to our clients and not the insurance company. Our job is simple: to place you with the right carrier for your specific health issues and budget. You can run the quotes yourself on this page and see if Brighthouse is a good choice for you.