Allianz Life Insurance Company Review

Two policy options with high coverage limits and many riders to choose from

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Allianz

Allianz

Our Take

Allianz Life Insurance company offers just two policies (term and fixed index universal life) in all 50 states to meet your coverage needs. Policy limits can be as high as $65 million in some cases, and the company offers a robust menu of included and optional riders to choose from.

  • Pros and Cons
  • Key Takeaways
  • Company Overview
Pros and Cons
Pros
  • Available in all 50 states

  • Coverage up to $65 million

  • Many uncommon riders to choose from

  • Term convertibility offered

Cons
  • Only term and fixed index universal life (FIUL) policies available

  • Must buy through agents

  • Claims are filed by mail

  • No online quotes

Key Takeaways
  • Allianz Life operates in all 50 states and is part of the global Allianz SE company.
  • Only two policies are offered: term and fixed index universal life.
  • Coverage limits can be as high as $65 million.
Company Overview

Headquartered in Minneapolis, Minnesota, Allianz has been offering financial protection to consumers since 1896. The company provides both life insurance and annuities and boasts more than $100 billion assets under management.

Allianz Life is a part of Allianz SE, a Munich-based global financial services group. Allianz SE, the parent company, is the 46th largest company in the world for 2020.

Geographical Restrictions

Between Allianz Life, Allianz Life Insurance Company of North America, and Allianz Life of New York, life insurance coverage from this carrier is offered in all 50 states.

  • Year Founded 1896
  • Kinds of Plans Term life and fixed index universal life
  • Number of Plans 2
  • Payment Plan Options Monthly, quarterly, semiannually, annually, lump sum
  • Customer Service Online form, phone (800-950-5872, Monday through Friday from 8:00 a.m. to 5:00 p.m. CST)
  • Official Website www.allianzlife.com

Allianz is not one of our top-rated life insurance companies. You can review our list of the best life insurance companies for what we think are better options.

Pros Explained

  • Available in all 50 states: Allianz SE is a global company, based out of Munich. Allianz Life, based in Minneapolis, offers life insurance and annuities in all 50 states within the U.S., as well as the District of Columbia.
  • Coverage up to $65 million: Term life coverage can be purchased up to $5 million, but permanent coverage is offered with a maximum of $65 million.
  • Many uncommon riders to choose from: Depending on which policy you choose, you’ll have a number of common and unique riders to choose from that can help create the perfect policy.
  • Term convertibility offered: Want to turn your term coverage into permanent protection? Term convertibility, which is available through Allianz, can help you do just that.

Cons Explained

  • Only term and fixed index universal life (FIUL) policies available: Allianz Life does not currently offer any whole life coverage or other universal life policies. There are no final expenses policies, either, only one term life policy and one fixed index universal life (FIUL) policy.
  • Must buy through agents: Allianz does not sell policies directly, so you’ll need to buy coverage through an authorized local agent or financial professional.
  • Claims are filed by mail: If and when your loved ones ever need to file a claim on your policy, the process is rather traditional. After you contact Allianz about your claim, they will mail out a paper claims packet that needs to be filled out and returned. Once the paper forms eventually arrive, they will take approximately 10 days to be processed.
  • No online quotes: Though Allianz offers an online life insurance needs calculator, there are no personalized quotes available.

Available Plans

Policies from Allianz Life are a bit limited in nature, and only include term and fixed index universal life coverage.

Term Pro+

With level premiums and death benefit, the Term Pro+ policy from Allianz Life—which is actually offered by Legal & General—provides 10, 15, 20, 25, or 30 years of term life coverage, with renewability until age 95. Policies are offered with coverage as low as $100,000 or as high as $5 million and issue ages between 20 and 65. 

Coverage is convertible and may be exchanged into a permanent policy in the future.

Allianz Life Pro+ Advantage Fixed Index Universal 

This fixed index universal life (FIUL) policy offers permanent life insurance coverage with the ability to also build value with a fixed interest rate that is set at the beginning of the year. The policy also offers index lock to help prevent loss or 0% interest and is available to applicants age 80 and below.

The minimum death benefit is $100,000 with a maximum of $65 million. After the first policy year, you can choose from a level death benefit, increasing death benefits, or return of premium.

Available Riders

Though Allianz only offers two life insurance policy options, they have a wide range of riders to choose from.

Supplemental Term Rider

With a supplemental term rider, you are able to add up to 10 times your policy’s benefit amount in temporary term coverage. Depending on age and underwriting, this coverage can also be converted into additional base coverage.

Supplemental term riders can be beneficial if you want to buy permanent coverage but won’t need the same level of coverage forever. For example, if your kids will graduate college in 10 years or the home mortgage is paid off in 20, a term rider can offer additional protection for only as long as you need it.

Child Term Rider

The child rider will cover all of your minor children who are at least 15 days old but not yet 21 years old. Coverage is between $5,000 and $10,000 per child, and the rider can be converted into an Allianz permanent cash value policy at adulthood without the need for additional underwriting.

Waiver of Specified Premium Rider

With this waiver of premium rider, the policyholder will continue carrying their life insurance coverage without needing to continue paying premiums, if they are permanently disabled.

Convertible Term Rider

This rider allows you to add term coverage to your permanent policy after it’s been issued. You may also convert a portion (or all) of your term coverage into a permanent policy without additional underwriting, starting in year two.

Chronic Illness Accelerated Death Benefit

You may use this rider to access a portion of your policy’s death benefit ahead of schedule if you are diagnosed with a chronic illness or are cognitively impaired.

Terminal Illness Accelerated Benefit

If you’re diagnosed with a terminal illness and given 12 months or less to live, this rider can allow you to access up to 100% of your policy’s death benefit (maximum of $1 million) ahead of time.

Other Insured Term Rider

With this rider, you can add coverage for up to four additional people, such as a spouse or business partner. Total coverage is limited to four times your death benefit amount, and coverage can stay in effect to age 100 for each additional insured.

Enhanced Liquidity Rider

During the policy’s surrender period, this rider can reduce the surrender charge applied if the policy is canceled. This allows the policyholder to pay a smaller fee—and keep more of their policy’s cash value—after canceling coverage.

Loan Protection Rider

If you take out a loan against your policy’s cash value, this rider protects you against a policy lapse before that loan is repaid. This rider may be utilized between the ages of 75 and 120 and is automatically added to your policy when you purchase coverage (though you may opt out).

Customer Service

If you have questions about your policy or need to make changes to your coverage, you can contact customer service by phone at 800-950-5872 Monday through Friday from 8 a.m. to 5 p.m. CST. They also have an online contact form if you’d prefer to reach them by email.

There is no live chat option available, nor is there a mobile app.

Complaint Index

Each year, the National Association of Insurance Commissioners (NAIC) provides a complaint index to discuss trends among insurance carriers. This index, which is adjusted for each company’s size and market share, demonstrates the expected number of consumer complaints with the national average complaint index being 1.0. 

A score below one means that the company received fewer than expected complaints, while a score higher than one represents more complaints than expected. For example, a 2.0 means the company received twice as many as the expected number of complaints.  

In 2020, Allianz Life Insurance Company of North American received a complaint index of 0.34, or less than half of the complaints they were expected to receive that year. In 2019, their complaint index was 0.64 and in 2018, it was 0.64. This indicates that Allianz consistently scores better than expected.

Third-Party Ratings

A financial strength rating, provided by AM Best, shows the confidence in a company’s financial strength. In other words, how likely is this company to be around and solvent if and when your loved ones need to file a life insurance claim years (or decades) into the future?

According to AM Best, Allianz has a financial strength rating of A+ (Superior). This is the second-highest rating possible on the scale.

Cancellation Policy

The process for canceling life insurance coverage depends on what type of policy it is. Since term life insurance does not build a cash value, it can generally be canceled at any time without penalty (but also without refund). 

If you’d like to cancel your Allianz term life policy, call customer service and submit your request. You can also stop paying premiums and allow your policy to lapse. 

To cancel a fixed index universal life, you’ll likely need to pay a surrender fee, which can eat into your policy’s accumulated cash value. Contact Allianz directly to submit your request.

Price

The price you’ll pay for life insurance coverage depends on a number of individual factors and circumstances. For example, the type of life insurance you buy (in this case, term versus fixed index universal life) will impact premiums from the start, as will the level of coverage you choose and the optional policy riders added. Additionally, your personal factors matter, like your age, health and medical history, tobacco use, hobbies, and gender.

Please note that you can still buy life insurance if you’re non-binary. Depending on the company you buy from, though, they may use your birth gender for underwriting purposes.

With that said, Allianz premiums have a minimum premium amount and will never be less than $25 per month, or $300 per year. This price may increase, however, depending on your individual factors and the level of coverage you choose. 

Competition

Here's how Allianz life insurance measures up against a competitor: Penn Mutual.

Both Allianz and Penn Mutual are old, established companies with a smaller market share. Both sell coverage through licensed agents around the country, both have an A+ AM Best financial strength rating, and both receive excellent complaint indexes through NAIC. Lastly, both carriers have very high coverage limits, with Penn Mutual offering up to $10 million and Allianz providing as much as $65 million in coverage.

Allianz, however, only offers two life insurance policy options, whereas Penn Mutual has nine (including whole life and even survivorship policies). 

We think that Penn Mutual is a better choice over Allianz, as you’ll have many more policy options to shop from. This increases the chances of building life insurance coverage that best meets the unique needs of your family and assets.

  Allianz Penn Mutual
Market Share Unranked, 0.30% U.S. market share Not applicable
Number of Plans 2 9
Dividends for 2020 Not applicable $100 million
Service Method Agents Agents, financial professionals
AM Best Rating A+ (Superior) A+ (Superior)
Price Rank Not available Not available
Complaints Trend 0.34 (Excellent) 0.26 (Excellent)
Final Verdict

If you’re looking for high-limit life insurance coverage, Allianz may be worth a look. While the company only offers two life insurance policy options—term coverage through Legal & General and fixed index universal life (FIUL)—coverage limits can be as high as $65 million. 

The company has a long history of providing stable, trusted coverage in all 50 states, and their parent company operates globally, as well. Allianz consistently receives excellent consumer satisfaction and third-party ratings, though you’ll need to shop through an agent if you’re looking to buy a policy.

Methodology

In order to provide you with trusted life insurance reviews, we look at a number of key factors when evaluating a carrier based on a comprehensive methodology. This includes analyzing their policy options, pricing, the application process, product availability, and customer service ratings. We also look at third-party reviews, consumer complaints, and how easy it is to buy and manage your coverage.

Article Sources

Investopedia requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate. You can learn more about the standards we follow in producing accurate, unbiased content in our editorial policy .
  1. NAIC. "Allianz Life Ins Co Of N Amer National Complaint Index Report." Accessed May 7, 2021.