LIFE INSURANCE
88 American Council of Life Insurers
People buy life insurance to protect their dependents
against nancial hardship when the insured person,
the policyholder, dies. Many life insurance products
also allow policyholders to accumulate savings
that can be used in a time of nancial need. Most
American families depend on life insurance to provide
this economic protection: 90 million American
families rely on life insurers’ products for nancial and
retirement security.
Americans purchased $3.1 trillion of new life
insurance coverage in 2019, a 2.3 percent increase
from 2018. By the end of 2019, total life insurance
coverage in the United States was $19.8 trillion, an
increase of 1.3 percent from 2018 (Table 7.1).
ree types of life insurance policies predominate
the market. Individual insurance is underwritten
separately for each individual who seeks insurance
protection. Group insurance is underwritten on a
group as a whole, such as the employees of a company
or the members of an organization. Credit insurance
guarantees payment of some debt, such as a mortgage
or other loan, in the event the insured person dies,
and can be bought on either an individual or a group
basis. Insurance on loans of 10 years’ or less duration is
classied as credit insurance in National Association
of Insurance Commissioners accounts; insurance on
longer loans is included in individual or group policy
data in this chapter. Life insurance policies oered by
fraternal benet societies are considered individual
insurance.
INDIVIDUAL LIFE INSURANCE
Individual life is the most widely used form of life
insurance protection, accounting for 62 percent
of all life insurance in force in the United States
at year-end 2019 (Table 7.1). Typically purchased
through life insurance agents, this insurance is issued
under individual policies with face amounts as low
as $10,000, although larger minimum amounts are
more typical in today’s market. While individual life is
principally used for family protection, it also is widely
used for business purposes. A business may purchase
life insurance to protect against the economic loss
that would result from the death of the owner or a key
employee.
Individual life insurance protection in the United
7
89 Life Insurance
States totaled $12.4 trillion at the end of 2019 and has
grown at an average annual rate of 1.8 percent since
2009, when $10.3 trillion was in force (Table 7.1).
e average size of new individual life policies
purchased has increased from 2009 ($172,040)
to $178,150 in 2019 (Figure 7.2). e number of
individual policies purchased totaled 10.1 million in
2019 (Table 7.1).
Individual life policies oer two basic types of
protection: covering a specied term, or permanently
covering one’s whole life.
Types of Policies
Term Insurance
Term insurance policies provide life insurance
coverage for a specied period, usually greater than
one year. Term policies provide no further benets
when the term expires, and no buildup of cash value
occurs. If this insurance is not renewed at the end of
its term, coverage lapses and no payment would be
made to the beneciary in the event of death.
Of new individual life policies purchased in 2019, 41
percent, or 4.1 million, were term insurance, totaling
$1.3 trillion, or 72 percent, of the individual life face
amount issued (Table 7.2). e most popular form
of term insurance is level term, which oers a xed
premium.
Permanent Insurance
Unlike term insurance, permanent life (or whole
life) insurance provides protection for as long as
the insured lives. Permanent life policies also have a
savings component, building cash value that can help
families meet nancial emergencies, pay for special
goals, or provide income for retirement years.
ere are four types of permanent life insurance
policies: traditional whole life, universal life (UL),
variable life (VL), and variable-universal life (VUL).
e annual premium for traditional whole life policies
remains constant throughout the life of the policy. In
earlier years, the premium is higher than the actual
cost of the insurance, but in later years it becomes
substantially lower than the actual cost of protection.
e excess amount of each premium in the early years
is held in reserve as the policy’s cash value. is cash
value grows over time from investment earnings and
future premium payments, providing funds for the cost
of coverage as the insured grows older. If a policyholder
decides to give up the insurance protection, he or she
receives the cash value upon surrendering the policy,
less any outstanding policy loans. Universal life
allows varying premium payment amounts subject to
a certain minimum and maximum. For variable life,
the death benet and cash value vary subject to the
performance of a portfolio of investments chosen by
the policyholder. VUL combines the exible premium
payment options of UL with the varied investment
options of VL.
In 2019, direct purchases of permanent life constituted
59 percent of U.S. individual life insurance policies
issued and 28 percent of the total face amount issued
(Table 7.2).
Participating and Nonparticipating
Insurance
Traditional whole life and term insurance policies can
be purchased on a participating or nonparticipating
basis. A participating policy allows the policyholder
to share in the insurance company’s surplus. With this
type of life insurance, a policyholder receives annual
dividends representing that portion of the premium
not needed by the company for death payments to
90 American Council of Life Insurers
beneciaries, additions to reserves, or administrative
expenses. More than two-thirds of individual life
policies’ face amount purchased were nonparticipating
at $1.3 trillion (70%) in 2019 (Table 7.3).
Characteristics of Individual Policies
Lapses and Surrenders
A policy lapses if its premium is not paid by the
end of a specied time, oen called the grace period.
Policyholders have dierent reasons for terminating
their policies, sometimes using cash values to address
nancial emergencies or achieve long-term goals.
Rates of voluntary policy termination by policyholders
vary considerably among life insurers. Each company’s
rate depends on many factors, including the types of
policies written and the ratio of new policies to older
ones in force with the company.
e voluntary termination rate of individual life
insurance policies reached 5.5 percent by 2019 (Table
7.4). Of the individual life policies that have been
voluntarily terminated, 19% were surrendered based
on face amount.
e life insurance business vigorously seeks to
minimize the lapsing of policies. For example, agent
training focuses on realistic identication of clients’
life insurance needs, and careful analysis of the use
of family income for protection. Since the voluntary
termination rate is higher for policies on which loans
are outstanding, companies urge that loans be used
only in genuine nancial emergencies, and that they
be repaid promptly.
Most insurers oer policyholders time aer their
policy is delivered to consider whether to keep the
policy. ese companies will refund the premium in
full if, within the prescribed time, the policyholder
decides not to keep his or her policy.
Some policies that lapse still have a cash value,
entitling the policyholder to some form of payment
under a cash surrender value non-forfeiture option. All
coverage under the policy terminates at the time of the
surrender.
Disability Provisions
Besides the benet payable upon death of the insured,
many life insurance policies or policy riders provide
disability benets to cover nancial losses that
result from a sickness or injury. e most common
supplementary benet is waiver of premium. Of
individual life policies in force in 2019, 92 percent, or
37 million, allowed the premium to be waived during
disability, representing $4.6 trillion, or 99 percent, of
the individual life face amount in force with disability
provisions (Table 7.6).
GROUP LIFE INSURANCE
Group life insurance is a contract between an insurance
company and some group to insure all of the group’s
members, usually under term coverage. Common
examples are employer-provided life insurance and
insurance oered through unions and professional
associations. Employees or other group members
receive certicates denoting their participation in the
group coverage. In 2019, group insurance represented
42 percent of all life insurance policies in force (Table
7.1).
Group purchases decreased .4 percent in 2019 to
$1.2 trillion. At the end of 2019, group life insurance
provided $7.4 trillion of protection .1 percent less
than a year earlier (Table 7.1).
Group insurance contracts can provide benets
beyond term insurance. Employees oen can retain
coverage aer retirement by paying premiums directly
91 Life Insurance
to the insurer. Many policies also oer survivor
benets, usually continuing monthly payments to the
spouse of an employee who dies before retirement;
payments may extend for life or to the age at which
Social Security retirement payments become available,
but cease on remarriage. Contingent benets to
dependent children in the event of a spouse’s death
are available as well. e initial value of these survivor
benets can range from three to 10 times an employee’s
annual salary.
As with individual life policies, group policies
can be purchased on either a participating or
nonparticipating basis. Most group life policies are
nonparticipating—96 percent of those purchased in
2019, at $1.2 trillion (Table 7.3).
e voluntary termination rate of group life insurance
policies increased to 5.9 percent from 5.1 percent a
year earlier. e voluntary lapses in 2019 increased to
5.8 percent from 5.0 percent in 2018 (Table 7.4).
Group policies also provide disability benets. Of
group life policies in force in 2019, 93 percent, or 83
million, provided for waiver of premium, representing
$5.3 trillion, or 86 percent, of the group life face
amount in force with disability provisions (Table 7.6).
CREDIT LIFE INSURANCE
Credit life insurance pays the balance on loans of
10 years’ or less duration if the borrower dies before
repaying the amount due. At year-end 2019, $87
billion of credit life insurance was in force, up 4.6
percent from the previous year (Table 7.1).
Credit life, commonly part of consumer credit
contracts, is term insurance, generally decreasing in
amount as a loan is repaid. It protects the borrower’s
family, as well as the lender, against unpaid debt
that may be le at death. Life insurers issue credit
insurance through lenders such as banks, nance
companies, credit unions, and retailers, who in turn
make arrangements with borrowers.
As with other life policies, credit policies can be
purchased on either a participating or nonparticipating
basis. Of credit life policies purchased in 2019, 98
percent, or $47 billion, were nonparticipating (Table
7.3).
POLICY CLAIMS RESISTED OR
COMPROMISED
From time to time, life insurers nd it necessary
to delay or deny payment of claims due to material
misrepresentation, suicide within the contestable
period, or no proof of death, among other reasons.
In 2019, $599 million in new claims along with
$599 million in other claims were in dispute. Of this
amount, $303 million was paid in 2019 and $328
million still resisted at the end of the year (Table 7.7).
92 American Council of Life Insurers
Figure 7.1
Individual, Group, and Credit Life Insurance in Force in the United States (face amount)
Source: ACLI tabulations of National Association of Insurance Commissioners (NAIC) data, used by permission. NAIC does not endorse any
analysis or conclusions based on use of its data.
Note: Data represent U.S. life insurers and, as of 2003, fraternal benet societies.
0
5
10
15
20
1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015 2017 2019
Credit
Group
Individual
$ Trillions
93 Life Insurance
Figure 7.2
Average Face Amount of Individual Life Insurance Policies Purchased
Source: ACLI tabulations of National Association of Insurance Commissioners (NAIC) data, used by permission. NAIC does not endorse any
analysis or conclusions based on use of its data.
Note: Data represent U.S. life insurers and, as of 2003, fraternal benet societies.
120
114
128
157
175
172
162
165
160
163
178
0.00
50.00
100.00
150.00
200.00
1999 2001 2003 2005 2007 2009 2011 2013 2015 2017 2019
$ Thousands
120
114
128
157
175
172
162
165
160
163
178
0.00
50.00
100.00
150.00
200.00
1999 2001 2003 2005 2007 2009 2011 2013 2015 2017 2019
$ Thousands
94 American Council of Life Insurers
Table 7.1
Life Insurance in the United States
Life Insurance Average annual percent change
2009 2018 2019 2009/2019 2018/2019
PURCHASES
Face amount (millions)
Individual
1
$1,744,357 $1,727,874 $1,802,511 0.3 4.3
Group 1,155,824 1,244,329 1,239,463 0.7 -0.4
Credit 68,849 48,253 47,602 -3.6 -1.3
Total 2,969,030 3,020,456 3,089,575 0.4 2.3
Policies (thousands)
Individual 10,139 10,289 10,118 -0.0 -1.7
Group (certicates) 19,051 17,459 21,238 1.1 21.6
Credit 10,944 7,849 8,099 -3.0 3.2
Total 40,134 35,597 39,455 -0.2 10.8
IN FORCE
Face amount (millions)
Individual $10,324,455 $12,120,445 $12,388,298 1.8 2.2
Group 7,688,328 7,366,765 7,358,413 -0.4 -0.1
Credit 125,512 83,534 87,346 -3.6 4.6
Total 18,138,295 19,570,744 19,834,056 0.9 1.3
Policies (thousands)
Individual 153,410 138,471 137,213 -1.1 -0.9
Group (certicates) 112,799 114,699 108,495 -0.4 -5.4
Credit 24,881 13,720 13,038 -6.3 -5.0
Total 291,091 266,890 258,746 -1.2 -3.1
Source: ACLI tabulations of National Association of Insurance Commissioners (NAIC) data, used by permission.
Notes: NAIC does not endorse any analysis or conclusions based on use of its data. Data represent U.S. life insurers and fraternal benet
societies. Data represent direct business, except for face amount in force which is net of reinsurance.
1
Policies issued by fraternal benets societies are considered individual business.
95 Life Insurance
Table 7.2
Individual Life Insurance Purchases in the United States, by Plan Type, 2019
Policies in thousands/Amounts in millions
Policies Percent Face amount Percent
Term insurance
Decreasing 158 1.6 $1,463 0.1
Level 3,980 39.3 1,220,172 67.7
Decreasing other term
1
NA NA 3,765 0.2
Level other term
2
NA NA 73,505 4.1
Term additions NA NA 1,740 0.1
Total 4,138 40.9 1,300,644 72.2
Whole life and endowment 5,980 59.1 501,867 27.8
Aggregate total 10,118 100.0 1,802,511 100.0
Source: ACLI tabulations of National Association of Insurance Commissioners (NAIC) data, used by permission.
Notes: NAIC does not endorse any analysis or conclusions based on use of its data. Data represent U.S. life insurers and fraternal benet
societies.
NA: Not available
1
Includes decreasing term insurance on spouses and children under family policies.
2
Includes level term insurance on spouses and children under family policies.
Table 7.3
Life Insurance Purchases, by Participating Status
Individual Group Credit Total
Face
amount
(millions) Percent
Face
amount
(millions) Percent
Face
amount
(millions) Percent
Face
amount
(millions) Percent
2009
Nonparticipating $1,306,802 76.3 $1,106,421 95.7 $54,422 79.0 $2,467,646 84.0
Participating 406,351 23.7 49,403 4.3 14,426 21.0 470,180 16.0
Total 1,713,153 100.0 1,155,824 100.0 68,849 100.0 2,937,826 100.0
2018
Nonparticipating 1,196,400 70.9 1,163,579 93.5 47,025 97.5 2,407,004 80.8
Participating 491,540 29.1 80,750 6.5 1,227 2.5 573,517 19.2
Total 1,687,940 100.0 1,244,329 100.0 48,252 100.0 2,980,521 100.0
2019
Nonparticipating 1,261,768 70.0 1,187,831 95.8 46,746 98.2 2,496,345 80.8
Participating 540,743 30.0 51,632 4.2 856 1.8 593,230 19.2
Total 1,802,511 100.0 1,239,463 100.0 47,602 100.0 3,089,575 100.0
Source: ACLI tabulations of National Association of Insurance Commissioners (NAIC) data, used by permission.
Notes: NAIC does not endorse any analysis or conclusions based on use of its data. Data represent U.S. life insurers, and fraternal benet
societies for 2019.
96 American Council of Life Insurers
Table 7.4
Voluntary Termination Rates for Life Insurance Policies, Calculated by Face Amount (percent)
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Lapse rate
Individual 5.7 5.4 4.8 4.7 4.6 4.3 4.4 4.3 4.5 4.7 4.4
Group 6.6 5.6 4.6 5.6 6.4 5.5 5.9 6.1 5.9 5.0 5.8
Credit 9.9 6.9 6.8 7.4 7.5 8.5 8.0 6.8 6.6 5.8 5.3
Surrender rate
Individual 1.6 1.4 1.2 1.2 1.0 1.0 1.0 1.0 1.1 1.1 1.1
Group 0.3 0.2 0.3 0.6 0.1 0.1 0.1 0.1 0.1 0.1 0.1
Credit 7.0 6.6 7.3 8.2 9.7 14.6 9.6 7.2 7.1 7.2 8.6
Combined
termination rate
Individual 7.3 6.8 6.1 5.9 5.7 5.3 5.4 5.2 5.7 5.7 5.5
Group 7.0 5.8 4.9 6.2 6.5 5.6 5.9 6.2 6.1 5.1 5.9
Credit 16.9 13.5 14.1 15.6 17.1 23.1 17.6 14.0 13.6 13.0 13.9
Source: ACLI tabulations of National Association of Insurance Commissioners (NAIC) data, used by permission.
Notes: NAIC does not endorse any analysis or conclusions based on use of its data. Data represent U.S. life insurers and fraternal benet
societies.
Table 7.5
Voluntary Termination Rates for Life Insurance Policies, Calculated by Number of Policies (percent)
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Lapse rate
Individual 5.7 5.0 4.9 4.7 4.0 5.1 4.6 5.0 5.3 5.6 5.8
Group 10.0 6.7 5.9 5.9 8.4 7.2 6.3 5.7 5.7 4.7 5.9
Credit 10.1 7.9 7.9 7.8 8.1 9.3 7.1 5.6 5.2 5.0 4.7
Surrender rate
Individual 1.2 1.2 1.1 1.1 1.0 1.1 1.0 1.0 1.1 1.1 1.1
Group 0.2 0.1 0.2 0.6 0.1 0.1 0.1 0.1 0.1 0.1 0.1
Credit 10.0 10.7 10.7 11.9 12.2 13.6 10.3 8.3 9.1 8.4 12.6
Combined
termination rate
Individual 6.9 6.1 6.1 5.8 5.0 6.2 5.6 6.0 6.4 6.7 6.9
Group 10.2 6.8 6.0 6.4 8.5 7.3 6.4 5.8 5.7 4.7 6.0
Credit 20.1 18.6 18.6 19.7 20.3 22.9 17.4 13.9 14.3 13.4 17.2
Source: ACLI tabulations of National Association of Insurance Commissioners (NAIC) data, used by permission.
Notes: NAIC does not endorse any analysis or conclusions based on use of its data. Data represent U.S. life insurers and fraternal benet
societies.
97 Life Insurance
Table 7.6
Life Insurance With Disability Provisions, 2019
Policies and certicates in thousands/Amounts in millions
Policies
Percent of policies
in force Face amount
Percent of amount
in force
Individual
1
Waiver of premium 37,380 27.2 $4,571,848 36.9
Disability income 240 0.2 12,364 0.1
Extended benets NA NA NA NA
Other 2,993 2.2 34,565 0.3
Total 40,612 29.6 4,618,777 37.3
Group
2
Waiver of premium 83,241 76.7 5,296,126 72.0
Disability income 1,308 1.2 52,675 0.7
Extended benets 1,958 1.8 128,980 1.8
Other 3,300 3.0 680,702 9.3
Total 89,806 82.8 6,158,483 83.7
Credit
3
Waiver of premium 78 0.6 4,374 5.0
Disability income 46 0.4 1,977 2.3
Extended benets 13 0.1 111 0.1
Total 136 1.0 6,462 7.4
Source: ACLI tabulations of National Association of Insurance Commissioners (NAIC) data, used by permission.
Notes: NAIC does not endorse any analysis or conclusions based on use of its data. Data represent U.S. life insurers and fraternal benet
societies.
1
Policies in force totaled 137 million, with a face amount of $12.4 trillion.
2
Certicates in force totaled 108 million, with a face amount of $7.4 trillion.
3
Policies in force totaled 13 million, with a face amount of $87 billion.
NA: Not available.
98 American Council of Life Insurers
Table 7.7
New Policy Claims Resisted or Compromised (thousands)
2009 2018 2019
Face Face Face
amount Percent amount Percent amount Percent
New claims in dispute $396,053 30.5 $599,922 49.2 $598,584 50.0
All other claims in dispute 903,736 69.5 619,171 50.8 598,673 50.0
Total claims in dispute 1,299,790 100.0 1,219,093 100.0 1,197,257 100.0
Amount paid for new claims 28,587 25.0 38,878 35.2 246,862 81.5
Amount paid for claims previously
resisted 85,834 75.0 71,542 64.8 56,139 18.5
Total amount paid 114,422 100.0 110,420 100.0 303,002 100.0
Amount resisted at year’s end
1
578,604 363,252 328,457
Source: ACLI tabulations of National Association of Insurance Commissioners (NAIC) data, used by permission.
Notes: NAIC does not endorse any analysis or conclusions based on use of its data. Data represent U.S. life insurers and fraternal benet
societies.
1
Not equal to subtracting total amount paid from total claims in dispute. The amount paid for claims disposed of usually varies from the
amount claimed.
Table 7.8
Life Insurance Purchases, by Year
Policies and certicates in thousands/Amounts in millions
Individual Group Total
Year Policies Face amount Certicates Face amount Policies/Certicates Face amount
1940 17,872 $10,039 285 $691 18,157 $10,730
1945 16,212 13,289 681 1,265 16,893 14,554
1950 20,203 22,728 2,631 6,068 22,834 28,796
1955 21,928 37,169 2,217 11,258 * 24,145 48,427 *
1960 21,021 59,763 3,734 14,645 24,755 74,408
1965 20,429 90,781 7,007 51,385 + 27,436 142,166 +
1970 18,550 129,432 5,219 63,690 + 23,769 193,122 +
1975 18,946 194,732 8,146 95,190 + 27,092 289,922 +
1980 17,628 389,184 11,379 183,418 29,007 572,602
1985 17,637 911,666 16,243 319,503 * 33,880 1,231,169 *
1986 17,116 934,010 17,507 374,741 + 34,623 1,308,751 +
1987 16,455 986,984 16,698 365,529 33,153 1,352,513
1988 15,796 996,006 15,793 410,848 31,589 1,406,854
1989 14,850 1,020,971 15,110 420,707 29,960 1,441,678
1990 14,199 1,069,880 14,592 459,271 28,791 1,529,151
99 Life Insurance
Table 7.8, continued
Life Insurance Purchases, by Year, continued
Policies and certicates in thousands/Amounts in millions
Individual Group Total
Year Policies Face amount Certicates Face amount Policies/Certicates Face amount
1991 13,583 1,041,706 16,230 573,953 + 29,813 1,615,659 +
1992 13,452 1,048,357 14,930 440,143 28,382 1,488,500
1993 13,664 1,101,476 17,574 576,823 31,238 1,678,299
1994 13,835 1,057,233 18,390 560,232 32,225 1,617,465
1995 12,595 1,039,258 19,404 537,828 31,999 1,577,086
1996 12,022 1,089,268 18,761 614,565 30,783 1,703,833
1997 11,734 1,203,681 19,973 688,589 31,707 1,892,270
1998 11,559 1,324,671 20,332 739,508 31,891 2,064,179
1999 11,673 1,399,848 26,912 966,858 38,584 2,366,706
2000 11,820 1,593,907 21,537 921,001 33,357 2,514,908
2001 14,059 1,600,471 26,036 1,172,080 40,095 2,772,551
2002 14,692 1,752,941 24,020 1,013,728 38,713 2,766,669
2003 13,821 1,772,673 21,946 1,050,318 35,767 2,822,992
2004 12,581 1,846,384 25,872 1,101,599 38,453 2,947,983
2005 11,407 1,796,384 23,112 1,039,878 34,519 2,836,262
2006 10,908 1,813,100 18,378 1,022,080 29,287 2,835,180
2007 10,826 1,890,989 19,962 1,102,654 30,788 2,993,643
2008 10,207 1,869,554 18,392 1,073,273 28,599 2,942,827
2009 10,139 1,744,357 19,051 1,155,824 29,190 2,900,181
2010 10,123 1,673,216 18,498 1,135,354 28,621 2,808,570
2011 10,309 1,672,514 16,867 1,159,934 27,177 2,832,448
2012 10,306 1,679,314 16,757 1,120,625 27,063 2,799,939
2013 9,929 1,640,202 15,336 1,138,686 25,264 2,778,888
2014 9,440 1,590,181 17,707 1,168,416 27,147 2,758,596
2015 10,305 1,647,292 18,010 1,229,275 28,315 2,876,567
2016 11,005 1,684,585 16,518 1,189,673 27,523 2,874,257
2017 10,478 1,711,545 17,557 1,315,651 28,035 3,027,196
2018 10,289 1,727,874 17,459 1,244,329 27,748 2,972,203
2019 10,118 1,802,511 21,238 1,239,463 31,356 3,041,974
Sources: ACLI tabulations of National Association of Insurance Commissioners (NAIC) data, used by permission; LIMRA International.
Notes: NAIC does not endorse any analysis or conclusions based on use of its data; Data represent direct business and exclude revivals,
increases, dividend additions, and reinsurance acquired. 1940-73 data exclude credit life insurance. Beginning with 1974, data include long-
term credit insurance (life insurance on loans of more than 10 years’ duration). Data represent U.S. life insurers and, as of 2003, fraternal
benet societies.
*Includes Federal Employees’ Group Life Insurance of $1.9 billion in 1955, $84.4 billion in 1981, and $10.8 billion in 1985.
+Includes Servicemen’s Group Life Insurance of $27.8 billion in 1965, $17.1 billion in 1970, $1.7 billion in 1975, $45.6 billion in 1981, $51
billion in 1986, and $166.7 billion in 1991.
100 American Council of Life Insurers
Table 7.9
Life Insurance in Force in the United States, by Year (millions)
Individual Group Credit Total
Year Policies
Face
amount Certicates
Face
amount Policies
1
Face
amount
Policies/
Certicates
Face
amount
1900 14 $7,573 -- -- -- -- 14 $7,573
1905 22 11,863 -- -- -- -- 22 11,863
1910 29 14,908 -- -- -- -- 29 14,908
1915 41 20,929 * $100 -- -- 41 21,029
1920 64 38,966 2 1,570 * $4 66 40,540
1925 94 65,210 3 4,247 * 18 97 69,475
1930 118 96,539 6 9,801 * 73 124 106,413
1935 114 88,155 6 10,208 1 101 121 98,464
1940 122 100,212 9 14,938 3 380 134 115,530
1945 149 129,225 12 22,172 2 365 163 151,762
1950 172 182,531 19 47,793 11 3,844 202 234,168
1955 192 256,494 32 101,345 28 14,493 252 372,332
1960 195 381,444 44 175,903 43 29,101 282 586,448
1965 196 539,456 61 308,078 63 53,020 320 900,554
1970 197 773,374 80 551,357 78 77,392 355 1,402,123
1975 204 1,122,844 96 904,695 80 112,032 380 2,139,571
1980 206 1,796,468 118 1,579,355 78 165,215 402 3,541,038
1985 186 3,275,539 130 2,561,595 70 215,973 386 6,053,107
1990 177 5,391,053 141 3,753,506 71 248,038 389 9,392,597
1991 170 5,700,252 141 4,057,606 64 228,478 375 9,986,336
1992 168 5,962,783 142 4,240,919 56 202,090 366 10,405,792
1993 169 6,448,885 142 4,456,338 52 199,518 363 11,104,741
1994 169 6,448,758 145 4,443,179 52 189,398 366 11,081,335
1995 166 6,890,386 147 4,604,856 57 201,083 370 11,696,325
1996 166 7,425,746 139 5,067,804 50 210,746 355 12,704,296
1997 162 7,872,561 142 5,279,042 47 212,255 351 13,363,858
1998 160 8,523,258 152 5,735,273 46 212,917 359 14,471,448
1999 162 9,172,397 159 6,110,218 46 213,453 367 15,496,069
2000 163 9,376,370 156 6,376,127 50 200,770 369 15,953,267
2001 166 9,345,723 163 6,765,074 48 178,851 377 16,289,648
2002 169 9,311,729 164 6,876,075 42 158,534 375 16,346,338
2003 176 9,654,731 163 7,236,191 40 152,739 379 17,043,661
2004 168 9,717,377 165 7,630,503 39 160,371 373 17,508,252
2005 166 9,969,899 167 8,263,019 40 165,605 373 18,398,523
2006 161 10,056,501 177 8,905,646 37 150,289 375 19,112,436
101 Life Insurance
Table 7.9, continued
Life Insurance in Force in the United States, by Year (millions), continued
Individual Group Credit Total
Year Policies
Face
amount Certicates
Face
amount Policies
1
Face
amount
Policies/
Certicates
Face
amount
2007 158 10,231,765 180 9,157,919 36 149,536 374 19,539,219
2008 156 10,254,379 148 8,717,453 31 148,443 335 19,120,276
2009 153 10,324,455 113 7,688,328 25 125,512 291 18,138,295
2010 152 10,483,516 109 7,830,631 23 111,805 284 18,425,952
2011 151 10,993,501 112 8,119,879 23 105,685 286 19,219,065
2012 146 11,215,136 106 8,011,839 19 93,940 272 19,320,916
2013 144 11,365,441 114 8,214,718 17 81,359 275 19,661,518
2014 143 11,825,927 120 8,208,725 15 79,955 278 20,114,607
2015 142 12,342,152 123 8,360,705 16 76,133 281 20,778,990
2016 142 11,991,547 133 8,245,991 15 78,117 291 20,315,655
2017 142 11,927,253 133 8,410,652 14 77,787 289 20,415,692
2018 138 12,120,445 115 7,366,765 14 83,534 267 19,570,744
2019 137 12,388,298 108 7,358,413 13 87,346 259 19,834,056
Sources: ACLI tabulations of National Association of Insurance Commissioners (NAIC) data, used by permission; Spectator Year Book.
Notes: NAIC does not endorse any analysis or conclusions based on use of its data; Data represent direct business for policies/certicates and
net business for face amounts. Beginning in 1959, data include Alaska and Hawaii. 1994-97 data for individual amount and group certicates
were revised. Individual and group categories include credit life insurance on loans of more than 10 years’ duration; credit category is limited
to life insurance on loans of 10 years’ or less duration. Totals represent all life insurance (net of reinsurance) on residents of the United States,
whether issued by U.S. or foreign companies. Data represent U.S. life insurers and, as of 2003, fraternal benet societies.
*Fewer than 500,000 policies/certicates.
1
Includes group credit certicates.
