What You Need to Know Before Buying Coverage or Planning Retirement with OneAmerica
OneAmerica Financial Partners, Inc. is a mutual insurance holding company that has been serving U.S. policyholders since 1877. With over a century of continuous operation, the company offers insurance and retirement solutions through a network of companies including American United Life Insurance Company (AUL). It has consistently maintained strong financial ratings, demonstrating its commitment to financial strength and long-term promises.
Financial Ratings
OneAmerica earns high marks from major rating agencies:
These ratings reflect strong claims-paying ability and a solid financial foundation. While not the highest available, they place OneAmerica among the more stable insurers in the market.
Products Offered
OneAmerica offers a full suite of insurance and retirement products, including:
- Life Insurance: Term life and whole life insurance designed for income replacement, estate planning, and legacy protection.
- Fixed and Variable Annuities: Designed for long-term savings, income generation, and tax deferral.
- Asset-Based Long-Term Care Insurance: Combines life insurance or annuities with long-term care benefits, helping clients protect retirement income from healthcare expenses.
- Retirement Services: Group retirement plans for businesses, including 401(k)s, 403(b)s, and 457 plans.
Why Comparing Premiums, Interest Rates, and Income Payouts Matters
Before committing to OneAmerica or any insurer, it’s essential to compare:
- Premium Rates: Life insurance and long-term care policy costs can vary significantly across carriers. Comparing premiums helps ensure affordability over time.
- Interest Rates: For annuity products, declared fixed interest rates and index crediting strategies will impact long-term growth. Some fixed index annuities (FIAs) include annual fixed-rate alternatives.
- Income Payouts: If your goal is retirement income, evaluate how guaranteed lifetime withdrawal benefits (GLWBs) and payout options compare to other insurers. Higher GLWB income payouts can increase retirement security.
Pros and Cons of Choosing OneAmerica
Pros:
- Over 140 years of experience and mutual ownership, focused on long-term customer interests
- Strong financial ratings, ensuring long-term claims-paying ability
- Unique asset-based long-term care options
- Competitive suite of annuities and retirement plan services
Cons:
- Limited online policy management tools compared to some competitors
- Customer service has received mixed feedback, especially in claims and administrative areas
- Not all product types (like RILAs or enhanced GLWB income riders) are as competitive as those from specialized annuity carriers
Who Needs OneAmerica—and Who Doesn’t?
Who might benefit from OneAmerica:
- People who want conservative long-term life insurance coverage or annuity income
- Those who prioritize asset-based long-term care using life insurance or annuities
- Business owners or HR leaders seeking retirement plan administration
Who might not benefit:
- Individuals seeking top-tier customer support and claims responsiveness
- Clients looking for the most competitive income riders, fixed index annuity strategies, or cutting-edge technology
- People who want wide access to multiple market indices or structured annuity options
Consider Other Insurance or Annuities That Could Help
- Fixed Index Annuities (FIAs): If you’re considering long-term growth and principal protection, FIAs from specialized carriers may offer higher caps or participation rates than OneAmerica’s versions.
- GLWB Income Riders: If your goal is guaranteed lifetime income, compare GLWB payouts across multiple insurers.
- Long-Term Care Insurance Alternatives: Compare traditional LTC policies, hybrid annuities with LTC riders, and asset-based LTC options.
- Life Insurance for Estate Planning or Tax-Free Retirement: Consider IULs (Indexed Universal Life) for supplemental income or tax-free legacy planning.
Funding Options for Annuities
OneAmerica annuities can typically be funded by:
- 401(k) or 403(b) rollovers
- Traditional and Roth IRAs
- Non-qualified brokerage or savings accounts
- Trust-owned or business-owned plans for executive benefits
Get Help From an Expert
Before making a decision, get a free quote and side-by-side comparison from The Annuity Expert. Whether you’re looking for income for life, long-term care protection, or tax-deferred growth, we’ll help you compare OneAmerica with other top-rated providers to make sure you get the best possible outcome for your financial goals.
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