Compare Farmers Life Insurance Rates
Use our calculator to compare Farmers Life insurance rates with life insurance quotes from other insurance companies.
Term Life Insurance: Temporary Protection With Level Premiums
How It Works
Farmers offers two term life products:
- Simple Term Life: No medical exam; issue ages 18–65; coverage from $75,000 to $150,000.
- Value Term Life: Medical exam required; issue ages up to 75; coverage up to $10 million.
These policies last for 10, 20, or 30 years. Once the term ends, coverage typically expires or becomes much more expensive if you renew.
Pros
- Affordable premiums during the level term.
- Can be converted to permanent life insurance (depending on the contract).
- Simple Term skips the exam and speeds up approval.
Cons
- No cash value or savings component.
- Premiums spike after the level term ends.
- Minimum face amounts may be too high for final expense buyers.
Who Needs It
- Young families who need coverage for a mortgage or child’s education.
- High-income earners with temporary financial obligations.
- Anyone looking for affordable, short-term coverage before buying permanent insurance.
Who Doesn’t Need It
- People over 75—you’re outside the eligibility window.
- People with long-term needs like lifelong dependents or estate planning.
- Buyers on a tight budget needing low death benefit coverage (e.g., $10,000–$30,000).
Other Insurance to Consider
If you outlive the policy, you’ll have nothing unless you convert. Permanent life insurance or an annuity with a death benefit rider could be better for long-term security.
Whole Life Insurance: Permanent Coverage With Cash Value
How It Works
Whole life insurance from Farmers includes:
- Simple Whole Life: Exam required; level premiums; issue ages 15 days to 80.
- Graded Benefit Whole Life: No exam; reduced death benefit for first two years; designed for those with health concerns.
These policies offer lifetime death benefits and cash value that grows at a guaranteed rate.
Pros
- Level premiums for life.
- Guaranteed death benefit.
- Cash value grows tax-deferred and can be borrowed against.
- Graded whole life offers guaranteed approval.
Cons
- Significantly more expensive than term insurance.
- Not ideal for wealth accumulation—cash value grows slowly.
- Graded death benefit won’t pay full face value during the first two years unless death is accidental.
Who Needs It
- People seeking lifelong protection.
- Parents planning to pass wealth tax-efficiently.
- Individuals with long-term dependents or estate tax concerns.
Who Doesn’t Need It
- Young adults or early-career professionals who can’t afford high premiums.
- Investors looking for strong cash growth—indexed universal life or annuities are better suited.
Other Insurance to Consider
Consider pairing a whole life policy with long-term care or disability insurance to create a comprehensive safety net.
Universal Life Insurance: Flexible Premiums and Death Benefit
How It Works
Farmers’ universal life insurance offers flexible premium payments and adjustable death benefits. Cash value grows based on declared interest rates.
Pros
- Adjustable coverage and premium schedule.
- Cash value can reduce or cover premiums over time.
- Suitable for income planning later in life.
Cons
- Interest crediting may not keep pace with inflation.
- If you underfund the policy, it can lapse.
- Not easy to understand for first-time buyers.
Who Needs It
- Buyers who want permanent coverage but flexible premiums.
- People planning to use the policy for supplemental retirement income.
- High earners wanting estate liquidity.
Who Doesn’t Need It
- Buyers who won’t fund it properly.
- Those who want simplicity or guaranteed performance—consider a traditional whole life or annuity.
Other Insurance to Consider
Use a GLWB annuity for income, and a guaranteed universal life policy for cost-efficient permanent death benefit.
Indexed Universal Life (IUL): Market-Linked Growth, Downside Protection
How It Works
An IUL policy links cash value growth to an index (like the S&P 500), with no direct investment exposure. Farmers sets a cap and floor, so your returns are limited on the upside but protected from losses.
Pros
- Tax-deferred growth potential.
- Upside potential with principal protection.
- Death benefit is permanent.
Cons
- Growth is subject to caps and participation rates.
- Performance depends on index selection and renewal terms.
- Complexity—many moving parts.
Who Needs It
- Savers who want growth potential and protection.
- Business owners seeking executive bonus plans or tax-efficient savings.
- High earners needing tax diversification.
Who Doesn’t Need It
- People who won’t overfund the policy (underfunded IULs often lapse).
- Conservative buyers better suited to fixed life insurance or annuities.
Other Insurance to Consider
Supplement with a deferred annuity for guaranteed retirement income, and use term life to cover early high-risk years.
Final Expense Life Insurance: Simplicity for Seniors
How It Works
Farmers offers a graded death benefit whole life policy that provides smaller coverage amounts for funeral and end-of-life costs. No medical exam required.
Pros
- Simple application.
- Coverage lasts for life.
- No medical underwriting.
Cons
- Graded death benefit delays full payout for 2 years.
- Low maximum coverage—typically not more than $30,000.
Who Needs It
- Seniors looking to cover burial costs.
- People with serious health conditions who can’t qualify for traditional policies.
Who Doesn’t Need It
- Anyone needing more than $50,000 of coverage.
- Younger, healthy buyers who can get better value from term or permanent life.
Other Insurance to Consider
Pair with a small fixed annuity to ensure funeral costs are covered and income continues if health declines.
Who Might Benefit More From Annuities Instead of—or in Addition to—Life Insurance?
- Pre-retirees: An annuity with a Guaranteed Lifetime Withdrawal Benefit (GLWB) can provide predictable lifetime income.
- Seniors: Fixed annuities or MYGAs help preserve capital with guaranteed growth.
- Early retirees under 59½: Use a non-qualified life-only SPIA paired with life insurance to generate penalty-free income before retirement age.
- High earners: An IUL policy can pair with an annuity for tax-efficient income and wealth transfer.
Should You Buy Farmers Life Insurance?
| Farmers Product | Good Fit For | Better Alternatives |
|---|---|---|
| Term Life | Mortgage protection, family income replacement | May be overpriced vs. other term carriers |
| Whole Life | Lifelong death benefit + savings | Consider a no-fee fixed indexed annuity + final expense plan |
| Universal Life | Flexible needs, supplemental income | Only if funded properly; otherwise, use a GLWB |
| Indexed UL | Tax-deferred growth with downside protection | OK if overfunded; otherwise, fixed index annuity is safer |
| Final Expense | Seniors with no medical exam option | Burial policy from another carrier may be cheaper |
Final Verdict
Farmers Life Insurance offers functional policies but may not always be the most competitive option on cost, flexibility, or underwriting leniency. The right solution might be outside the Farmers ecosystem—especially if you want lifetime income, tax-free withdrawals, or better pricing for permanent coverage.
→ Contact The Annuity Expert for free quotes to compare Farmers Life Insurance against other carriers—and find out whether annuities, term life, or permanent life insurance better fit your goals.
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