In this Ohio National Life Insurance review, we will look at what makes this carrier so unique. We will also provide an overview, focusing on their strengths and weaknesses.
Ohio National Life Insurance is considered a top-tier life insurance company and is one of the leading carriers we offer. As we will discuss further in this article, Ohio National has industry-leading competitive rates and has very strong financial ratings.
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Ohio National is a unique carrier in some respects. They place a very high value on the agent/customer relationship and want to ensure this relationship is strong. For this reason, you won’t often see Ohio National on most agency websites, especially the larger ones.
In fact, you won’t see Ohio National on the quote calculator on this page. However, we use three “back office” quote engines (because each one has it’s own strengths) and Ohio National is included in one of them. We will gladly provide you with a comparison quote, showing how Ohio National compares to other low-cost term life insurance companies.
Placing a High Value on Customer Relationships
Ohio National is not alone; there are other companies that place a very high value on relationships with clients. However, these carriers tend to be “captive companies” like Northwestern Mutual or State Farm. If you do some research, you will find that these companies usually do not to have very competitive term life insurance rates and do not show up on any comparison quote engines. State Farm knows a lot of their policyholders will purchase their life insurance out of convenience and the relationship they have with their agent.
Ohio National – Consistently One of the Very Lowest-Cost Life Insurance Companies
This is worth noting again: Ohio National has consistently had some of the lowest term life insurance rates for the past 15 plus years. Many of our clients have been surprised to learn about them since they received comparison quotes that didn’t show Ohio National as an option.
We have also done many replacements using Ohio National. Sometimes, people are looking for additional coverage, but they end up replacing policies purchased in the past 5 years or so. The premium is generally lower or similar (but they gain extra years on their term policy). Occasionally, clients will save premium dollars AND extend their term policy by a few years or more.
Ohio National doesn’t spend huge amounts of money on advertising and sporting event sponsorships. For this reason, there’s a good chance you are not be familiar with them. They certainly aren’t a household name like MetLife or Prudential (unless you live in Ohio). However, Ohio National has been around along time. Let’s check out their history…
History and Overview of Ohio National Life Insurance Company
Ohio National was founded as The Ohio National Life Insurance Company in Cincinnati, Ohio in 1909. In 1959 they completed the mutualization process and reached $1 Billion of in-force life insurance in that same year. That was quite an accomplishment.
Ohio National has done a lot of things right. As agents, we admire their success.
A few noteworthy items taken from their website:
- “For the 26th consecutive year, individual life insurance sales increased – a record unmatched in the industry.”
- “In the last 6 years, our company has ranked among the top workplaces in the area, taking the #1 spot in 2010, 2012, 2013 and 2014.”
- “For the 92nd year, the company paid dividends to all participating whole life policies.”
Ohio National’s Financial Ratings:
The most recent financial ratings are below:
- A.M. Best: “A+ Superior” (June 2015) 2nd highest rating on a scale of 16
- Standard & Poor’s: “AA-” (July 2015) 4th highest rating on a scale of 21
- Moody’s: “A1” 5th-highest on a scale of 21
- Comdex Score: 93 This score is the average ranking based on the ratings by four major rating agencies. It shows how they compare to all other companies.
Ohio National Life Insurance Review – Strengths and Weaknesses (Pros and Cons)
Strengths (Pros)
- Financial Strength and Stability We covered this already, but it’s important to note this is one of their most significant strengths.
- Agent Support and Training – Emphasis on Education and Product Knowledge. Although this isn’t something our clients are too concerned about, we see it as one of their strengths. The fact that they are willing to invest so much into support and training says a lot about their priorities.
- Ultra Competitive Life Insurance Rates for Higher Face Amounts. For 10, 15, and 20 year level term policies, their rates are most competitive (usually the lowest or second lowest) for face amounts of $500, 000 or higher. You will see sample rates we provide in our other Ohio National Posts.
- Convertibility to all their permanent products on their FlexTerm Series X Plus term insurance. You will find that several low-cost term products have poor conversion options.
Weaknesses (Cons)
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Very Stringent Underwriting Guidelines
Occasionally, folks are super impressed with Ohio National’s low rates and want to immediately apply for coverage. We have done many term replacements when people find out they can save a significant amount of premium. However, we like to make certain that Ohio National is a good fit.
For folks who take certain medications (whether it’s for hypertension, high cholesterol or another condition), there’s a good chance Ohio National won’t offer their very best rate. We like to take time up front and ask the questions necessary to determine which company is the best fit.
Of course, sometimes people think they are in excellent health (and they might be), but the lab results show numbers outside of the acceptable range. So, we can’t always know which carrier is the best fit until the lab results come back.
Ohio National tends not to budge very much (despite our strong relationships with underwriters and our persistent efforts) on many underwriting decisions. They aren’t as flexible as some other carriers in this regard. However, only a small percentage of people receive unfavorable decisions. We do our best to ensure this doesn’t happen.
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No Term Insurance Beyond 20 years.
Ohio National offers term products with a maximum of 20 years. We would like it if they offered a 30-year term or Term for Life (guaranteed universal life), but they currently do not offer these products. The also don’t offer an Indexed Universal Life product, whereas many life insurance companies have rolled out this product in the past several years.
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Slower to Implement Efficient IT Solutions
Sometimes, we are a little frustrated because they have been slow to roll out electronic applications and other ways that make our business more efficient However, we know they are very purposeful in their decisions. They are a little “old school” in the way the introduce new products and improve the application process. Again, they are intentional about this. Ohio National wants to protect their integrity and policyholders. Their relatively new e-app is very good.
Ohio National’s Life Insurance Products
Although we have covered Ohio National’s ultra competitive term life products, they have a full suite of permanent life insurance products. Below is a quick synopsis of their product offerings. We will provide a more in-depth look in our other articles.
- Term Life Insurance. They offer three term products – FlexTerm Series X Basic and FlexTerm Series X Plus – with 10, 15, and 20 year level term options. There is also the less popular Recap Term. This 10-year guaranteed term policy is designed for clients who plan to convert their policy within the first five years. All premiums paid go towards conversion credits.
- Whole Life Insurance. There are four Whole Life products – The Prestige Series. Their policies are designed to cover different purposes and accumulation goals.
- Universal Life Insurance. Their V-Pro UL is their flagship UL policy and offers the most flexibility. They also offer a Virtus Basic UL with is only for policies under $100,000
- Variable Universal Life. Ohio National has one VUL policy called the Virtus VUL. This product is designed for people who want a permanent policy with the ability to grow cash value tied to market performance.
Summary of our Ohio National Life Insurance Review
Hopefully, you found this review, including the Ohio National Pros and Cons, provided an honest and fair assessment of this company.
It should be evident that we hold Ohio National in high regard. We have numerous clients who have made them their carrier of choice for one or more life or disability insurance products. Their extremely low rates and strong financial ratings have made them an excellent choice.
Ohio National isn’t always the best choice. A lot depends on your overall health and desired face amount. We will be glad to help you find the best solution for your situation.
Overall, even with some of their “old school” ways of doing business, we feel confident in offering and recommending Ohio National when appropriate.
