National Life Group vs Penn Mutual

Verdict

National Life Group and Penn Mutual are close in size, ranking #14 and #15 by 2024 individual life premiums ($3.41 billion and $3.22 billion, according to NAIC data), and both are mutually owned: National Life through a mutual holding company, Penn Mutual as a policyholder-owned mutual. Both sell through agents and neither sells direct online. Their product emphasis differs. National Life's signature product is indexed universal life, and it builds Living Benefits (accelerated benefits for terminal, chronic and critical illness) into many policies, including term. Penn Mutual's core product is participating whole life, with Accumulation IUL, VUL and survivorship designs as well.

Ratings favor Penn Mutual on the agencies where both are rated. National Life's profile lists AM Best A+ (Superior) as of December 2025, S&P A+ (Strong) and Moody's A1 (Good), with no Fitch rating. Penn Mutual lists AM Best A+ (Superior, affirmed April 2026), S&P A+ (Strong), Moody's Aa3 and Fitch AA-. AM Best and S&P grades match; Moody's is higher at Penn Mutual. In the J.D. Power 2026 individual life study the two were one point apart: National Life 12th of 23 (652 points) and Penn Mutual 13th (651).

Only Penn Mutual's profile gives a 2026 dividend figure for whole life: a record $300 million award, not guaranteed. National Life's whole life offers potential non-guaranteed dividends, but the profile gives no total.

Choose National Life Group if

• You want indexed universal life or term with accelerated benefits for chronic, critical and terminal illness built in.
• You want the slightly higher J.D. Power 2026 result (12th versus 13th, one point apart).
• You are a K-12 educator or small business owner looking for annuities or business-planning products from the same group.
• You want an agent-sold policy with a separate New York option: in New York, National Life Insurance Company is the seller.

Choose Penn Mutual if

• Participating whole life is your priority, with a record dividend award for 2026.
• You want a survivorship policy for estate planning.
• You want VUL with lower-fee Vanguard options.
• You want higher Moody's and Fitch ratings than National Life's.

Key differences

Before you decide

IUL and participating whole life work differently, so ask each for illustrations on the same premium and read the guaranteed column first. For the IUL, ask about caps, participation rates and whether they can change. See how to compare life insurance quotes fairly, Indexed universal life (IUL) explained and AM Best, S&P, Moody's and Fitch ratings explained.