John Hancock Life Insurance Review 2021

John Hancock Financial provides innovative life insurance solutions that can help clients attain their economic goals at every stage of life. The company compensates customers for staying fit. Not only with actual prizes, like Fitbits, but with discounts on their premiums.
Author: Ben Peetermans
Last updated: June 17, 2021

History Of John Hancock

Back in the 19th century there was, at the very beginning, few if any real oversight concerning insurance companies. They were generally a hodgepodge collection of investors who grouped together and pulled their money and other people’s capital. For every reputable firm, there were 3 to 4 scoundrels wanting to make a quick buck and scamming their clients. That practice changed in the middle of the 1800s. Laws were enacted and charters were enforced. You now had to have state approval in order to set up any sort of financial firm; banks, moneylenders, and Insurance companies.

On April 21, 1862, the license for the John Hancock Mutual Life Insurance Company was established by John A. Andrew, the then governor of Massachusetts. It was one of the first charters of its kind.

John Hancock is one of the most recognizable companies of its kind and it’s one that since its inception has tried its level best to stay at the forefront of change. For example, in 1972, Dr. Mary Ella Robertson was selected as the first black woman and the first woman to serve on the John Hancock Board. This was a watershed moment in women’s rights in the workplace and a crowning achievement for minorities.

Shares the wealth

In 2000 the company “John Hancock Mutual Life Insurance Company” ceased to exist. In its place and a different organization named “John Hancock Financial Services, Inc.” evolved into being. Policyholders acquired shares in the novel partnership in exchange for giving up control of their old plans.

Life insurance proceeded to be marketed by the “John Hancock Variable Life Insurance Company”, a subsidiary of John Hancock Financial Services Inc.

On September 29, 2003, Manulife Financial declared its plan to obtain John Hancock for $10.4 billion. The merger was a huge benefit because now the company had an even stronger financial backbone.

What we like

Innovative solutions that provide financial security

John Hancock’s M.O. and what they not only advertise but strongly hold tight to is that they protect their policyholder’s wealth and safeguard their security. They grow their retirement savings and dutifully safeguard their inheritance for their loved ones. They provide innovative life insurance solutions that can help clients attain their economic goals at every stage of their life.

John Hancock is the only company on our site that offers rebates, benefits, and perks based on your lifestyle.

If you have healthy habits, John Hancock compensates you. Among the benefits are discounts of up to 25% off your annual premium. Wearable devices, like the latest Apple Watch for as little as $25 Complimentary, Amazon Halo subscription, complimentary Fitbit device, discounts on other wearable gadgets, and healthy gear. You can also access savings on available healthy foods at the grocery store. Or get discounts from major retailers like Amazon.com, REI, Starbucks, and more.

John Hancock’s main product is its Vitality program. It’s a program that’s available on all life insurance policies. It provides access to health and diet information through an app and website.

Great ratings by 3rd Parties.

John Hancock received a combined rating score of 3.7 in our 2021 from third-party reviewers All of John Hancock’s term and permanent life insurance plans incorporate a tax-free death benefit.

Quit Smoking Incentive (QSI)

The Quit Smoking Incentive (QSI) allows qualified smokers to obtain conventional non-smoker prices for the first three years of their policy. Following those three years, the policyholder must furnish proof that they have quit smoking for at least 12 months, or the premiums will increase to smoker rates. The plan is open for ages 20 to 70 with specific requirements.

What we don’t like

Whole life insurance policies are not available.

The only available permanent option available by John Hancock is a universal policy. Fixed, listed, and variable are John Hancock’s three types of universal health insurance. Buyers interested in those plans need to chat with an operator to obtain an estimate/quote for any of the permanent policies. They also need to speak to a representative if they are interested in a term life insurance system with coverage of over $3 million.

Not the most elastic option.

John Hancock also has a couple of other peculiarities that set them apart from its peers. The company offers limited customization options. Suicide is not covered, the market model is after two years. Guaranteed acceptance policies are capped at $20,000

John Hancock Life Insurance Products

Term

Terms of 10, 15, 20 and 30 years are available. You can get a quote on their site for plans that start on $25,000 and end at $3 million. If you want a higher death benefit, you’ll have to contact John Hancock directly.

Permanent Life:

The business grants universal, indexed universal, and variable universal life insurance. Online estimates aren’t available for those plans. A couple of them cover people with certain health conditions, including diabetes.

Aspire program:

John Hancock’s Aspire program teams a term or permanent life insurance policy with a diabetes control app and health coaching software. John Hancock maintains that they will approve two-thirds of petitioners with Type 1 or Type 2 diabetes.

Guaranteed-issue whole life:

This coverage, granted to individuals between the ages 55 to 80, is intended for handling end-of-life costs. Coverage sums vary from $2,000 to $20,000. Approval is assured without the need of a medical exam. The entire benefit isn’t settled if the insured soul dies inside the first two years, except if the death resulted from an accident.

Policy benefits

Awards up to $65 million

John Hancock Insurance awards a max of $65 million in term life insurance coverage; this is a sum above the industry standard. It depends on multiple factors and the candidate’s eligibility.

The John Hancock Vitality Program, meanwhile, which is the company’s BIG plus, is available with most of its products. It is an optional innovation that’s rather nifty and singular to this company.

Online Payments

Another great benefit is that online payments can be processed using a checking or savings account.

Conversion options

Term life policies cannot be converted to permanent coverage. This is a huge con and one that we would be remiss not to tell you.

Riders

  • Accelerated Benefit – with the accelerated benefits rider, you can obtain a slice of your benefits beforehand if you are diagnosed with a terminal illness and a life expectancy of one year or less. You get up to 50% of your policy with a maximum of $1 million.
  • Disability Payment of Specified Premium – TIf you become disabled, this add-on will cover your premiums.
  • Critical Illness Benefit – If you are diagnosed with a covered severe sickness, you can get a one-time, lump-sum compensation, of up to $250,000. The perk can be utilized for hospice care, medical expenses, or to substitute your earnings while dealing with the ailment.
  • Return of Premium – With the return of premium rider, you can get an extra insurance sum of benefits equivalent to the premiums you have already paid.
  • Long-Term Care – The long-term care grants endowments to help compensate for a part of your qualified long-term care expenses.
  • Vitality PLUS Program – You can also add the Vitality PLUS Program to all your policy for an extra $2 per month. This platform will allow you to receive credits for health-related pursuits. Your credits can then be utilized to diminish your regular monthly premiums.

Cost

Most quotes for term life insurance plans are available online; up to $3 million. Anything above that sum and you’ll have to talk to an agent.

The company also gives online quotes for final expense life insurance. This is a product that covers funeral costs, medical bills, or remaining debt from the deceased.

A great thing about John Hancock’s coast is that with the Vitality program, you can receive up to 25% off your insurance premiums for simply exercising, purchasing healthy food, and going to the doctor regularly for annual checkups.

For example, term life insurance monthly premiums for a policyholder in great health, with $250,000 in coverage and a 10-year term, will start at $11.29 and then peak at $21.52 the year the policy concludes. This is an industry standard.

Performance

Annually, the NAIC (The National Association of Insurance Commissioners ) issues insurance companies’ complaint ratios. This is a record of the number of complaints the NAIC has received compared to the company’s share of the insurance market. The NAIC holds a complaint ratio of 1.0 to be normal. In 2019, John Hancock’s complaint score was 0.36, a much better-than-average ratio.

Meanwhile, AM Best, one of the most well-known credit rating agencies that audit the financial strength of an insurance company, awarded John Hancock’s grade of A+ (Superior). Meaning they always pay out on time.

The NAIC considers a complaint ratio of 1.0 to be the average. A score over 1.0 is worse than average, while a score below 1.0 is better than average.
In 2019, John Hancock’s complaint ratio was 0.36, a much better-than-average ratio.

AM Best is a credit rating agency that releases Financial Strength Ratings on insurance companies. These ratings measure companies’ abilities to meet their policy and contractual obligations. In 2020, AM Best affirmed John Hancock’s rating of A+ (Superior).

Customer reviews

Customer ratings

On paper, John Hancock is a strong company. They reward healthy individuals with rewards, which is entirely unique in the life insurance industry.

However, many people have filed complaints after getting life insurance through John Hancock. Most complaints are related to long delays after filing a claim.

Another topic that comes back consistently is the difficulty working with the company.

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About the author
Ben Peetermans author
Ben Peetermans
Life Insurance Expert
Ben Peetermans is a life insurance editor. He enjoys blogging about various topics, including finance. He has been writing about insurance since 2015. Ben has been featured in various press outlets including FOX, CBS, and NBC.