Choosing the right life insurance company is an important decision that requires careful consideration. With so many options available, it can take time to determine which provider best suits your needs and budget. In this comprehensive guide, we’ll be comparing two of Canada’s largest and most established life insurance companies – Manulife and Assumption Life.
We’ll analyze these two industry titans in-depth, examining their history, financial strength, product offerings, policy features, costs, ratings, and more. Whether you’re looking for term life, permanent life, or other insurance products, this detailed comparison will give you the knowledge to select the superior insurance carrier for your situation. Let’s dive in!
Brief Backgrounds Manulife and Assumption Life
Manulife
Manulife Financial Corporation is a leading Canadian insurance company founded in 1887. Headquartered in Toronto, Manulife provides insurance, annuities, and wealth management products and services to over 28 million customers worldwide.
With over $1.3 trillion in assets under management, Manulife is the largest insurance company in Canada and one of the biggest in the world. It employs over 38,000 people and operates in Canada, the United States, and Asia.
Manulife offers various insurance solutions, including life, health, travel, home, auto, and group benefits. It is a publicly-traded company on the TSX, NYSE, and SEHK with a market capitalization of over $50 billion.
Assumption Life
Assumption Life, or Assomption Vie in French, was founded in 1903 in Massachusetts by Acadians to serve the insurance needs of their community. Headquartered in Moncton, New Brunswick, Assumption Life provides insurance, investment, and retirement products across Canada.
Assumption Life is a mutual company owned by its policyholders rather than shareholders. With over $2 billion in assets under management, it is significantly smaller than Manulife but still offers a comprehensive suite of insurance and financial services.
Assumption Life employs over 700 people and distributes its products through group plans, brokers, and planners. It offers individual and group life, health, disability, critical illness, and travel insurance.
Manulife and Assumption Life: Who is Financially Stronger?
Manulife: A Pillar of Financial Stability
Manulife is a dominant force in the insurance industry and is a testament to enduring financial strength, fortified by a century-long legacy of expertise. The company’s exemplary track record is underscored by its impressive ratings from reputable agencies:
- A.M. Best: A+ (Superior)
- Moody’s: A1 (Good)
- Standard & Poor’s: AA- (Very Strong)
These ratings testify to Manulife’s robust financial health, cementing its position as a frontrunner in the industry.
With annual premiums and assets under management reaching into the tens of billions, Manulife boasts substantial capital reserves, ensuring seamless fulfillment of claims obligations. Furthermore, its considerable scale affords it distinct advantages, including economies of scale and diversification, further enhancing its financial resilience.
Assumption Life: A Beacon of Financial Prudence
While not on the same scale as Manulife, Assumption Life maintains a steadfast commitment to financial stability:
- A.M. Best: A- (Excellent)
- DBRS Morningstar: A (Good)
These ratings reflect Assumption Life’s dedication to fiscal responsibility and prudent management practices.
Despite its diminutive stature, Assumption Life boasts a commendable annual premium collection exceeding $200 million, a testament to its sustained growth trajectory. The company has consistently bolstered its capital reserves through profitable operations, demonstrating its ability to navigate the insurance landscape with agility and foresight. As a mutual insurer, Assumption Life prioritizes the interests of its policyholders, setting it apart from shareholder-driven models.
Comparative Analysis
Both Manulife and Assumption Life exhibit robust financial backing, instilling confidence in their ability to honour commitments to policyholders. However, Manulife holds a slight edge over Assumption Life in several key areas, including:
Capital Reserves: Manulife maintains more enormous reserves, providing enhanced stability and security.
Assets Under Management: With substantial assets under management, Manulife enjoys more significant financial resources.
Economies of Scale: Manulife’s operations are so large that they enable it to leverage economies of scale more effectively.
Credit Ratings: Manulife’s superior credit ratings further affirm its financial strength and stability.
While both companies are well-positioned to navigate the complexities of the insurance landscape, Manulife’s size and resources afford it a comparative advantage regarding financial resilience and stability.
Life Insurance Product Offerings
Manulife
Manulife provides extensive insurance solutions, from basic term life to exotic universal life. Key products include:
Term Life Insurance
- Manulife CoverMe Term Life
- Manulife Term Life Insurance
- Manulife Term 10, 20, 30
- Manulife RapidDecision Term Life
Permanent Life Insurance
- Manulife Par Whole Life
- Manulife Universal Life Insurance
- Manulife No-Load Universal Life
- Manulife Indexed Universal Life
Additional Offerings
- Manulife VitalityLife
- Manulife Joint Last-to-Die Insurance
- Manulife Disability Insurance
- Manulife Critical Illness Insurance
- Manulife Long-Term Care Insurance
With abundant term lengths, permanent products, and living benefits, Manulife equips clients with comprehensive Coverage.
Assumption Life
Assumption Life provides a focused suite of critical insurance solutions:
Term Life Insurance
- Assumption Life FlexTerm
- Assumption Life Term to 100
Permanent Life Insurance
- Assumption Life Whole Life
- Assumption Life No Medical Whole Life
Additional Offerings
- Assumption Life Critical Illness Insurance
- Assumption Life Disability Insurance
Although its selection is less extensive than Manulife’s, Assumption Life offers varied term life, permanent life, and living benefits options. Clients seeking a more curated set of products may appreciate Assumption Life’s lineup.
Manulife is tough to beat for Canadians wanting access to the broadest possible assortment of intakes and many workouts. Its extensive catalogue caters to diverse needs and goals. Assumption Life provides adequate variety but has noticeable gaps like universal life insurance.
Term Life Insurance Comparison Manulife and Assumption Life
Let’s drill down to compare Manulife and Assumption Life’s term life insurance offerings and features closely.
Manulife Term Life
Manulife offers an array of term lengths and options:
- Term 10: 10 years of Coverage
- Term 20: 20 years of Coverage
- Term 30: 30 years of Coverage
- Convertible terms: Can convert to permanent insurance later
- Renewable terms: Guaranteed renewability to age 100
- RapidDecision Term: Up to $2 million without medical exams
Other advantages include:
- Coverage up to $100 million
- Living Benefits like terminal illness payouts
- Add-on riders for critical illness, disability, and more
- VitalityLife discounts for healthy living
- Policies guaranteed renewable to age 100
- Fully customized premium schedules
With abundant term lengths, jumbo Coverage, and valuable riders, Manulife empowers clients to craft tailored term life insurance.
Assumption Life Term Life
Assumption Life provides two main term life insurance options:
- FlexTerm: 10-35 year terms to age 90
- Term to 100: 20 or 30-year terms renewable to age 100
Other features include:
- Coverage from $50,000 to $10 million
- Renewable and convertible
- Living Benefits like critical illness
- Optional riders for disability, children’s insurance, and more
- No medical underwriting for amounts under $250,000
Spanning key lengths with strong renewability, Assumption Life term life suits most buyers. However, Manulife equips clients with more flexibility in dialling in an ideal term insurance solution.
Permanent Life Insurance Comparison Manulife and Assumption Life
For lifelong protection, permanent life insurance accumulates lasting cash value alongside a death benefit. Here’s how Manulife and Assumption Life’s offerings compare:
Manulife Permanent Life
Manulife’s permanent policies include the following:
- Whole Life: Offers lifelong Coverage with stable premiums
- Universal Life: Flexible Coverage with adjustable premiums
- Indexed Universal Life: Cash growth tied to market performance
- Joint Last-to-Die: Covers two insureds until the last passes
Notable perks encompass:
- Guaranteed cash values
- Tax-sheltered policy cash value growth
- Policy loans and withdrawals
- Paid-up additions to grow death benefit
- Riders for WP, CI, LTC, and more
- Dividend options: cash, reduce premiums, add PUA
Manulife’s permanent products and dividends provide financial value beyond death benefit protection.
Assumption Life Permanent Life
Assumption Life offers two main permanent options:
- Whole Life: Lifelong Coverage with set premiums
- No Medical Whole Life: Available without medical underwriting
Advantages include:
- Guaranteed cash values
- Dividends and dividend options
- Riders for critical illness and disability
- No medical underwriting on some plans
- Conversion from FlexTerm policies
With only whole life insurance available, Assumption Life trails Manulife’s comprehensive menu of permanent products and dividend flexibility. Permanent policy hunters gain more choice and upside through Manulife.
Additional Products
Beyond core life insurance, insurers offer solutions addressing specialized needs:
Manulife Additional Offerings
Manulife complements its life insurance lineup with products like:
- Manulife VitalityLife: Rewards program promoting healthy living
- Manulife RetirePlus: RDSP, RESP, and RRSP rollover annuity
- Manulife Investment Solutions: Segregated funds and mutual funds
- Manulife Bank: Broad banking services and lending products
- Manulife Travel Insurance: Emergency medical and trip cancellation
- Manulife Pet Insurance: Veterinary expense reimbursement
Embedding insurance within broader financial and lifestyle offerings, Manulife provides holistic solutions.
Assumption Life Additional Offerings
Assumption Life rounds out its selection with products including:
- Critical Illness Insurance: Extra funds for serious diagnoses
- Disability Insurance: Income replacement during disability
- Health and Dental Insurance: Supplementary medical coverage
- Travel Insurance: Out-of-country emergency medical protection
- Investment Funds: Professionally managed investment options
With a leaner lineup beyond core insurance, Assumption Life offers sufficient but less comprehensive broader services compared to Manulife.
Policy Cost Comparison
Sample Manulife Term Life Rates
Profile | Rate |
Male, Age 30, Non-smoker, $500K Coverage, 20-Year Term | $37/month |
Female, Age 50, Non-smoker, $500K Coverage, 20-Year Term | $105/month |
Male, Age 40, Smoker, $250K Coverage, 10-Year Term | $40/month |
Sample Assumption Life Term Life Rates
Profile | Rate |
Male, Age 30, Non-smoker, $500K Coverage, 20-Year Term | $43/month |
Female, Age 50, Non-smoker, $500K Coverage, 20-Year Term | $110/month |
Male, Age 40, Smoker, $250K Coverage, 10-Year Term | $45/month |
While competitive, Assumption Life’s rates are slightly higher than Manulife’s, albeit still offering value for consumers.
Both Manulife and Assumption Life provide competitive rates, but Manulife’s premiums tend to be slightly lower, making it an attractive option for those seeking affordability without sacrificing coverage quality.
Manulife and Assumption Life: Who’s more favoured?
Manulife: Customer Satisfaction Insights
Various third-party evaluations affirm Manulife’s reputation for providing quality service:
- A.M. Best Customer Service Rating: B++ (Good)
- J.D. Power Customer Satisfaction Rating: 5/5 stars
- Google Rating: 3.6/5 stars
Positive feedback lauds Manulife’s excellent customer service and efficient claims processing. However, some negative reviews highlight occasional delays in application processing and claims settlement.
Assumption Life: Client Feedback and Ratings
Assumption Life also garners favourable ratings across several platforms:
- A.M. Best Customer Service Rating: B+ (Good)
- Google Rating: 4.1/5 stars
Clients appreciate Assumption Life’s swift underwriting process and the expertise of its advisors. Nevertheless, some clients express frustration with paperwork-related delays.
Comparative Analysis
Manulife and Assumption Life receive predominantly positive reviews, indicating high customer satisfaction. However, Assumption Life holds a slight edge over Manulife in overall customer satisfaction, as reflected in its higher Google rating.
This disparity may be attributed to Assumption Life’s localized operations, facilitating more personalized service delivery with fewer bureaucratic hurdles. Conversely, larger insurers like Manulife, while offering extensive resources and services, may need help maintaining the same level of personalized attention due to their vast customer bases.
It’s important to note that larger insurers often receive more complaints simply due to the scale of their operations. Despite this, both Manulife and Assumption Life strive to address customer concerns and maintain high standards of service excellence.
Conclusion: Choosing Between Manulife and Assumption Life
When it comes to selecting between these two prominent insurers, your decision should be based on your priorities and preferences:
Opt for Manulife If You Value:
- Strong Financial Backing: Manulife boasts the most vital financial support, reassuring policyholders.
- Wide Range of Insurance Products: With Manulife, you can access a diverse portfolio of insurance products to suit your specific needs.
- Competitive Rates: Enjoy below-average insurance rates with Manulife, ensuring affordability without compromising Coverage.
- Comprehensive Additional Services: Beyond insurance, Manulife offers various supplementary services to enhance your overall financial well-being.
Consider Assumption Life If You Prefer:
- Local Customer Experience: Assumption Life offers a more personalized, localized customer experience, catering to the needs of its regional clientele.
- Streamlined Product Selection: Assumption Life focuses on a select range of essential insurance products, simplifying the decision-making process for policyholders.
- Avoidance of Bureaucracy: By choosing Assumption Life, you can avoid the bureaucratic complexities often associated with larger insurers.
- Vital Service as a Smaller Provider: Despite its smaller size, Assumption Life prides itself on delivering vital service, leveraging its agility and focus on customer satisfaction.
Both Manulife and Assumption Life excel in their own right, making them worthy contenders for your insurance needs. Manulife’s expansive resources, top-tier ratings, competitive premiums, and diverse offerings position it favourably for the average insurance buyer.
However, Assumption Life distinguishes itself with its specialized product offerings and a personalized approach to service delivery. As you weigh your unique requirements and preferences, consider whether the regional expertise of Assumption Life or the national prominence of Manulife better aligns with your needs.
Visit Best Insurance Online for more latest Canadian insurance news and updates.
Article Sources
At Best Insurance Online, our mission is to equip Canadians with thorough and honest information to help them make prudent insurance decisions. We tap into the expertise of veteran finance professionals to ensure our guidance follows industry best practices. The statistics we reference come from trusted governmental and industry sources like Statistics Canada and the CLHIA to guarantee accuracy.
Our recommendations result from extensive, impartial research on major insurance providers in Canada. This allows us to customize our suggestions to individuals’ unique budgets and needs. Best Insurance Online maintains high standards of objectivity, transparency, and independence in all of our content. We take pride in offering advice readers can trust by citing reputable sources and adhering to editorial principles. As Canada’s most dependable source for insurance news and updates, we are devoted to empowering Canadians to make informed insurance choices that support their welfare.
Assumption Life Insurance Review: What You Need To Know (2024) – policyme.com
Assumption Life Insurance: Overview and products – lsminsurance.ca
Manulife Term Life Insurance Review [2024] – dundaslife.com
Manulife Financial Corporation – thecanadianencyclopedia.ca