Protective Life Insurance Review 2023

Term life insurance buyers should take a look at Protective’s Classic Choice policy because of its low rates. Protective is also notable for offering level term lengths longer than the typical 30 years. Term lengths available are 10, 15, 20, 25, 30, 35 or 40 years.

Protective’s universal life insurance policies offer competitive internal policy costs for most customers’ ages and health risks, so more of your premium can go toward cash value. The company has shown superior performance of the bonds and mortgages that are underlying cash value, and its universal life insurance policy illustrations are usually reliable.

Pros and Cons


  • Protective’s term life insurance rates are competitive.
  • You’ll have a choice of up to 8 permanent life insurance policies from Protective if you choose to convert its term life.
  • Protective’s cash value life insurance policies generally have low internal costs. This can mean more money toward your cash value and less for paying a company’s policy expenses.
  • The company’s investments have performed very well over the years. This is a factor that has likely helped keep premiums lower than many competitors’ universal life insurance products.


Cash value accumulation during the early years of a Protective permanent life insurance policy may be slow. If faster cash value is important to you, make sure you examine the guaranteed parts of the policy illustration to see how fast your cash value will build.

Types of Life Insurance Sold

Protective made the best life insurance companies list and offers these types of life insurance products:

  • Term life
  • Whole life
  • Universal life
  • Indexed universal life
  • Variable universal life

Protective’s Term insurance

Term life insurance is ideal for people who have a specific period they wish to cover with fixed premiums. For example, if a person wants enough coverage for income replacement if they die, a term life policy with a term that covers the remainder of their working years is ideal. Term life insurance is often the least expensive life insurance option but does not build cash value.

Protective offers the Protective Classic Choice Term life product for people ages 18 to 52 seeking term life insurance. You can choose term periods from 10 to 40 years in coverage amounts ranging from $100,000 to $50,000,000. These term-life policies are renewable until age 90, but you should prepare for increased premiums upon each renewal.

Protective’s whole life insurance

If you have a whole life insurance policy, a death benefit is guaranteed as long as you pay your premiums, no matter how long you live. Whole life insurance policies offer the perk of building cash value with a guaranteed rate of return and the assurance of premiums that do not change. You can borrow against the cash value of your whole life policy for any reason.

Protective Non-Participating Whole Life Insurance is a policy that does not pay cash dividends like some other whole-life policies. The premium, death benefit, and cash surrender amounts are set at a fixed amount when you buy the coverage. It is available for people up to age 90. This policy has death benefits starting at $1,000 or $100,000, depending on your health and risk classification, and go up to over $1 million.

Protective’s universal insurance

Universal life insurance offers coverage that can last a lifetime, depending on the type you choose. Some types of universal life insurance offer level death benefit periods (including a lifetime option) where premiums and death benefits do not change.

If you choose universal life with cash value accumulation, you can withdraw or take loans from the cash value for any reason.

Protective Custom Choice UL offers flexible low premiums without cash value accumulation and is available to buyers ages 18 to 85. With this type of UL policy, one can choose a death benefit level period of 10, 15, 20, 25, or 30 years, or a lifetime. During this time, premiums and death benefits remain level or unchanged.

Unless you’ve selected the lifetime option, after the initial level period, premiums will continue to remain level but your death benefit will decrease each year until it reaches $10,000, at which time the premiums will begin to increase.

Death benefit coverage amounts begin at $100,000 and go up to over $1 million.

Protective’s Indexed Universal Insurance

Indexed universal life insurance is an option for people looking for cash value that will grow with an index, like the S&P 500, and the flexibility to vary premium payments.

Participation rates and caps on the cash value growth, along with fees, are commonly associated with indexed universal life insurance products.

Protective Indexed Choice UL is Protective’s indexed universal life product available to buyers ages 18 to 75. With this policy, you can choose two interest-building accounts. One option is a fixed account where the interest rate will never fall below 1%, and the other option is an indexed account where cash value can rise or fall based on the performance of the S&P 500. The fixed account has less risk and less return, while the indexed account is a higher risk with a higher potential for return.

Indexed accounts have a guaranteed minimum floor rate of no less than 0%, which means that the interest rate your cash value earns can never fall below 0%, protecting you from losing value due to poor S&P 500 performance. You can, however, lose value as policy fees are deducted from the account.

After your first year as a Protective Indexed Choice UL policyholder, you can transfer funds between your fixed and indexed accounts. You can also access your cash value through a loan or withdrawal for any reason.

Protective’s variable universal life insurance

Variable universal life insurance may be ideal for people seeking ultimate flexibility. With this type of policy, you can vary premium payments and death benefits. The cash value component is tied to multiple sub-accounts that you get to select.

There is a fixed account option with a guaranteed minimum interest rate for those seeking a little bit lower risk. Like other types of universal life insurance, variable universal gives you the protection of borrowing or withdrawing money from your cash value whenever the need arises.

For example, Protective’s Protective Strategic Objectives II VUL is available to buyers ages 18 to 90 and offers face amounts beginning at $100,000. The fixed cash value account option has an interest rate guaranteed not to fall below 1%. The variable account option gives you the choice of investing in one of four asset allocation portfolios (conservative, moderate, growth & income, aggressive growth) or if you’re interested in choosing your investments, you can invest in a customized portfolio where you select all your investment sub-accounts.

The minimum loan or withdrawal amount for the Protective Strategic Objectives II VUL is $500, and the maximum is 99% of the policy’s cash value.

This Protective Life Insurance policy comes with some built-in lapse coverage, which gives you a lapse grace period if, on any monthly anniversary, the surrender value is less than the monthly deduction. The grace period gives policyholders 61 days to pay past-due deductions before the policy lapses.

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