Prudential Financial Review: Is Their Term Life Insurance Worth It?

Prudential Financial legitimacy and licensing

Yes. Prudential Financial, Inc. is a publicly traded insurer based in Newark, New Jersey, founded in 1875, and it is not affiliated with the UK company Prudential plc. In May 2026 AM Best affirmed A+ (Superior) financial strength ratings for The Prudential Insurance Company of America, Pruco Life Insurance Company and Pruco Life Insurance Company of New Jersey, with a stable outlook, which means it rates them highly able to pay claims.

In the same action, AM Best lowered its assessment of Prudential’s enterprise risk management from very strong to appropriate because of investigations into misconduct by sales staff at Prudential of Japan, which paused new sales in Japan for 90 days from February 9, 2026. U.S. policies are issued by separate U.S. companies, but it is a governance issue worth knowing about.

What has changed at Prudential

Older reviews describe Prudential as a one-stop shop for life insurance, 401(k) plans and investment accounts. That is no longer accurate. Prudential sold its full-service retirement business, including employer 401(k) plans and rollover IRAs, to Empower, which closed the deal on April 4, 2022. If your old Prudential 401(k) moved, Empower now services it.

Prudential Advisors also moved its retail brokerage and advisory accounts to LPL Enterprise LLC starting in November 2024, so investment accounts opened through a Prudential advisor are now held on LPL’s platform. Prudential still issues life insurance and annuities and runs PGIM, its asset management arm.

Prudential life insurance cost

Prudential does not publish rate tables. Its life insurance page advertises SimplyTerm, a no-exam policy of up to $1 million, starting at $10 a month, subject to health questions. Larger EssentialTerm and universal life policies are quoted by a financial professional based on your age, health, tobacco use, coverage amount and term.

Term premiums are level for the length of the term. If you keep the policy afterward, premiums increase every year through age 95. Get quotes from at least two other insurers for the same coverage, since Prudential is not known as a price leader.

Prudential life insurance policies

Prudential’s term line includes SimplyTerm (5 to 20 years, $25,000 to $1 million, no exam), EssentialTerm Value and EssentialTerm Plus (10, 15, 20 or 30 years, $100,000 to $65 million), Term Essential and PruTerm One, a one-year policy you can buy once in your lifetime. EssentialTerm Value converts to permanent coverage in the first 7 years or until 70; EssentialTerm Plus converts any time during the term until 70, with a credit of up to a year’s premium for conversions in years 2 to 7.

For lifetime coverage, Prudential sells universal, indexed universal, variable universal and indexed variable universal life, but no whole life. A terminal illness rider is included at no extra premium, with a processing fee of up to $100, and a Living Needs Benefit rider covers nursing home confinement, organ transplant and terminal illness where available, with a $150 fee ($100 in Florida).

Prudential complaints

Customer reviews are poor. Prudential’s BBB profile in New York is rated D with 170 complaints in three years, and Trustpilot shows 1.2 out of 5 from 140 reviews, 96% one star, with no company replies. Recurring themes are slow death benefit and withdrawal payments, repeated requests for the same documents, long phone waits and account access problems.

When filing a death claim, send certified copies of the death certificate and the claim form together, keep a record of every call and upload, and ask for a written explanation if a claim is delayed or denied. Your state insurance department handles complaints at no cost, and the NAIC Consumer Insurance Search shows complaint records for Pruco Life and The Prudential Insurance Company of America.

Cancelling a Prudential policy

You can stop a term policy by notifying Prudential in writing or by stopping payments, after which it lapses at the end of the grace period. Term policies have no cash value, so there is nothing to refund beyond any unused premium. Universal life policies may have surrender charges in the early years, so ask for the surrender value in writing first. Most states give a free-look period, often 10 to 30 days, to cancel a new policy for a full refund. Don’t cancel until a replacement policy is approved and in force.

Who should look elsewhere

If you want to compare published prices online, Fabric by Gerber Life and Banner Life show starting rates and sell directly. If you want whole life, Prudential doesn’t list it; Mutual of Omaha and many mutual insurers do. And if service reviews weigh heavily for you, Prudential’s D BBB rating and 1.2 Trustpilot score are a reason to get more quotes.