John Hancock Financial, Inc. Review – Policies, Quotes, & Ratings
Last Updated: 01/19/2018
AM Best Grade: A+ (Superior) 5 stars
Address: 601 Congress Street, Boston, MA 02210
Phone: 1 (818) 274-3088
Also Known As: John Hancock, John Hancock Financial, John Hancock Life Insurance Company, John Hancock Financial Services Group
John Hancock Financial is an American insurance company with headquarters in Boston, Massachusetts, and is a subsidiary of the Canadian insurance company Manulife Financial. The company was named in honor of John Hancock, a Patriot and governor of Massachusetts. The company supplies life insurance and investment products, as well as retirement services.
Quick Review Guide:
- Company History
- Insurance Products
- Product Pricing
- Underwriting Niches
- Customer Service & Approval Process
- Financial Stability & Ratings
- Why We Like John Hancock
The year is 1862. Six different life insurance companies are created that year, but only one survives: John Hancock Mutual Life Insurance Company. The company was chartered on April 21, 1862; it was named after John Hancock – the first to sign the Declaration of Independence and later on become the third governor of Massachusetts – because his signature was correlated with a pledge of fidelity (and life insurance had known to be quite dishonest during that time period). George P. Sanger was the John Hancock Life Insurance Company’s first president, and served from 1862 to 1874.
The company continued to rise and gain success throughout the years, even seeing a 7.3 percent rise in business in 1930 – the first year of the Great Depression. In 2000, John Hancock Mutual Life Insurance company was renamed John Hancock Financial Services, Inc. through demutualization, and converted its agents to brokers. The conversion went very smoothly, doubling the stock price and increasing the number of policies sold, and bringing the company to where it successfully stands today.
Next up: John Hancock’s products. Since we are a life insurance agency, we will only be honing in on the company’s life insurance products. Here’s what they offer:
- Term Life Insurance
- Permanent Life Insurance
- Universal Life Insurance
- Variable Universal Life Insurance
- Indexed Universal Life Insurance
Term life insurance is a type of policy that only lasts so many years, such as 10, 15, or 20 years. It is the most affordable policy out of the bunch, which is why it tends to be more popular among clients. John Hancock also has a no-med exam term life option, meaning that if you qualify, you can forgo the medical exam and have your application reviewed and approved much faster (typically 3-5 days). Their term life policy is available to anyone ages 18-80, and includes death benefit protection as well as conversion to a permanent policy any time through the 10th policy year or 70th birthday (whichever comes first). Available riders consists of the Disability Waiver of Premium, Accelerated Death Benefit Rider, and Conversion Extension Rider.
Click here to find out how long your term life policy should be.
The other option is to go with permanent life insurance. While these policies are more expensive, they do come with more benefits. Permanent life insurance includes cash value accumulation, flexibility based on the client’s needs, long-term care coverage availability, and lifetime death benefit protection. Now, you may have seen above that there are multiple types of permanent life insurance. Let’s go over the differences:
Universal Life Insurance: Universal life insurance is a type of permanent life insurance that allows you to be flexible on how much you pay on your premiums, and when you pay the premiums (within reason). With this policy, you have something called a cash value account, which earns a money market rate of interest. When this account has accumulated money over a period of time, you can dip into this money to assist you in your premium payments (as long as there is enough money in the account). It is important, however, to ensure that you don’t run out of money in your cash value account if you choose to stop or reduce your premium payments. If so, your life insurance coverage will end.
Variable Universal Life Insurance: When you purchase a variable life insurance policy, it combines your death protection with a savings account that allows you to invest in stocks, bonds and money market mutual funds. With this, your policy value might increase more quickly than other types of policies, depending on how your investments go. Combining this with universal life insurance allows you to keep the flexibility of adjusting your premium payments when needed with the option to invest and increase your policy value at a faster rate than with universal life alone.
Indexed Universal Life Insurance: Another variation of universal life insurance, “indexed” just means that the policy is linked with a stock market index (like S&P 500). Clients aren’t directly investing in the stock market with this type of policy; instead, the performance of the index is reflected in their cash value account, but is subject to caps and floors. Ergo, there is a lower risk than directly investing like you do with variable universal life. However, keep in mind that the policy is not guaranteed, so if the investment does not go well, the policy can become unaffordable.
Next up: pricing. How much is your policy going to cost, you ask? According to John Hancock’s website, a 10-year term policy with $500,000 in coverage for a 30-year-old male would be $26.82/month (it did not say which risk class the individual fell into, but we’re assuming either Preferred Plus or Preferred). In comparison to other companies, this pricing is a little bit above average cost.
Is it worth it? That depends. If you have a certain medical condition or hazardous sport that John Hancock covers more readily than other life insurance companies, the answer might be yes. Also note that that price is just an estimate; please give one of our licensed agents a call and let them know your specific conditions and concerns to determine if John Hancock is the right fit for you!
It is very rare for every single person applying for life insurance to be in perfect health; life insurance companies get that. Thus, each company has niches – or leniencies – to appeal to clients who may have one or two health concerns, but still deserve affordable rates. These are the niches that John Hancock has:
If you are over 60 years of age with Type II diabetes, but are taking an oral medication to control it and have no complications of neuropathy, kidney disease or retinopathy, you may be eligible for “preferred” rates with John Hancock. If you are between 50 and 60 with the same conditions, you may still qualify for “standard plus” rates.
Have high blood pressure, but keep it well under control with medication? We’ve got good news! You may still be eligible for “preferred plus” rates, which is extremely rare for clients with high blood pressure (especially those on medications).
To be eligible for “preferred” rates with John Hancock with epilepsy/seizures, it must have been over three years since your diagnosis, having 3 or fewer seizures total, and none of those occurring in the past year.
If you have been diagnosed with a mild case of Rheumatoid Arthritis for at least 2 years and have it well controlled with non-steroidal medications or immunosuppressants, you can still qualify for “preferred” rates.
Customer Service & Approval Process
In addition to high ratings from the five independent rating companies, John Hancock Financial, Inc. has received an A+ from the Better Business Bureau (BBB), and has been an accredited company since 1996. The company got many positive customer reviews, but here are just a few:
“The initial application process is much easier than you would think, and every member of the staff treats you respectfully and makes you feel like family. They show you how much they care about your family’s future, and you will never feel so confident and secure that you have taken steps to support your loved ones no matter what the future holds.”
“I have had insurance with John Hancock for the past 15 years. I switched from another insurance company to them because they offered me the most for my money as well as cash investments…The company provides me with monthly statements that gives me all relevant information such as policy values, advances in stocks associated with the policy. It has a website where I can go and get answers to all of my questions. To date, my relationship with the company has been excellent and I would recommend them to anyone who needs insurance.”
“I have had this insurance for over 30 years and am happy with it. The benefits are great and the investment grows quickly. If I have any questions, they are answered in a timely manner. I also have a representative who lives in my town and is very easy to work with.”
As we stated earlier, John Hancock is typically very fast with their application and approval process. Unless medical records are requested (which isn’t very common), the whole process – which includes applying, the underwriting interview, and decision – will take anywhere from 3-5 days.
Financial Stability & Ratings
As of 2017, John Hancock has approximately 10.7 million clients, reported their assets under management to be $468.2 billion, and estimated revenue to be over $7 billion. Their parent company, Manulife, has reported to have even more success.
John Hancock’s Financial Stability Ratings:
- A.M. Best: A+ (Superior)
- Fitch: AA- (Very Strong)
- Standard & Poor’s: AA- (Very Strong)
- Moody’s: A1 (Good)
- Comdex: 92/100
Why We Like John Hancock
At Term Life Advice, we want to make sure that we represent the best of the best when it comes to life insurance companies. Without doubt, John Hancock falls within those lines. Here’s a list to summarize why John Hancock Financial, Inc. is a top pick for us:
- More than a 150-year history of success
- Term, no-exam term, and various universal life insurance options
- Multiple underwriting niches
- Additional policy benefits and riders
- Affordable pricing
- Strong financial stability
- Very high ratings from the big five independent rating companies
Term Life Advice is an owner-operated life insurance agency that works directly with highly-rated life insurance companies including John Hancock Financial, Inc. This company could be a great choice for you; but it is always best to shop around and compare rates to make sure that you are matched with the best possible company.
If you’d like to get an accurate quote based on your age and health, or to determine if John Hancock Financial, Inc. is your best choice for coverage, give us a call today toll-free at: 855-902-6494. Our services are free, and our agency can quickly compare your options and rates by asking you a few questions about your health and lifestyle.