Brighthouse Life Insurance Company Review

As a growing player in the life insurance marketplace, Brighthouse Financial continues to make inroads into the industry through innovative products and services. In this Brighthouse Life Insurance Company review our focus will be on the company’s history, strong ratings, life insurance policies, and the unique features and benefits provided.

About Brighthouse Financial

MetLife has been around since 1863. It has grown substantially over the last 150+ years. When a company such as MetLife grows to the level it has, it is common for the company to look for ways to maximize further growth and reduce risk exposure where applicable.

In 2017, MetLife created Brighthouse Financial to be a separate entity. Headquartered in Charlotte, North Carolina, Brighthouse Financial now represents MetLife’s retail segment for life insurance and annuities.

Brighthouse Life is a stock life insurance company, which means the company has shareholders. Trading under symbol BHF, Brighthouse Financial is no spring chicken, as it now manages more than $204 billion in assets (as of year-end 2023).

Brighthouse Financial’s life insurance and annuities are issued by Brighthouse Life Insurance Company Charlotte, NC (together with its subsidiaries and affiliates, “BLIC”), formerly MetLife Insurance Company USA, is domiciled in Delaware and licensed to write business in 49 states. Brighthouse Life Insurance Company of NY (“BHNY”), formerly First MetLife Investors Insurance Company, is domiciled in New York and licensed to write business in New York.

Somewhat of interest is that in July 2016, MetLife completed the sale of MetLife’s U.S. retail advisor force to MassMutual. As part of the deal, MetLife and MassMutual entered into a product development agreement under which Brighthouse exclusively develops certain annuity products that are issued by MassMutual.

Anytime you are on a search for the best life insurance companies it is important to get to know the different carriers in the marketplace. There is no “best” company, rather, the ideal life insurance for you must be properly designed to meet your needs, goals, and objectives.

Financial Ratings & Strength

Brighthouse Financial and Brighthouse Life Insurance Company maintains strong financial ratings from major independent rating agencies.

Brighthouse’s current financial ratings:

• A.M. Best rating: A (Excellent) — Outlook revised to negative in January 2025, but the rating remains strong
• S&P rating: A+ (Strong)
• Moody’s rating: A3 (Upper Medium)
• Fitch rating: A (Strong)
• Comdex Ranking: 77 out of 100

Brighthouse maintains a robust risk-based capital (RBC) ratio in its target range (400–450%) despite recent earnings volatility tied to its annuity business. These strong ratings reflect Brighthouse’s position as a highly rated life insurance company.

Products Overview

Brighthouse Financial offers the following products and services through its different affiliates, including Brighthouse Life Insurance Company and, in New York only, by Brighthouse Life Insurance Company of NY.

Life Insurance

• Guaranteed Level Term
• SmartGuard Plus (Registered Index-Linked Universal Life)
• SmartCare (Hybrid Long-Term Care Insurance)
• Premier Accumulator Universal Life (PAUL)

Annuities

• Shield Registered Index-Linked Annuities
• Fixed Rate Annuities
• Variable Annuities with FlexChoice Access
• Guaranteed Income Builder
• Income Annuity

Brighthouse Life Insurance Policies

Brighthouse offers several types of life insurance policies: term and various forms of permanent life insurance.

Term Life Insurance

Brighthouse Life Insurance Company offers term life insurance. The product name is Guaranteed Level Term.

Guaranteed Level Term

• Four level premium payment options: 10, 15, 20, and 30 years
• Once the term expires, the policy’s premium increases annually and is renewable to age 95
• Minimum face amount of $1,000,000 (coverage up to $3 million available)
• Issue ages from 18-75, depending on term length and state the policy is issued in
• Convertible term life insurance – can convert to permanent coverage by age 70 or 5 years after issue date, whichever is later

SmartGuard Plus (Launched 2023)

SmartGuard Plus is Brighthouse’s newest flagship life insurance product, categorized as a Registered Index-Linked Universal Life (RIUL) policy.

Key Features:

• Guaranteed death benefit (generally income tax-free)
• Guaranteed Distribution Payments to supplement retirement income (tax-advantaged, can last for life)
• Cash value growth potential tied to market indexes or a fixed account
• Multiple buffer options (10%, 15%, 20%, or 100%) to protect cash value from market downturns
• Lifetime Lapse Prevention Benefit: guarantees policy stays in force if required premiums are paid
• Flexible payment duration: lifetime or shorter for higher payments
• Distribution Payments: Begin after 10 years, accessed via policy loans that reduce the death benefit

SmartCare

SmartCare is a hybrid life insurance product that combines traditional life insurance with long-term care (LTC) benefits.

Key Features:

• Combines death benefit protection with LTC coverage
• Offers growth potential and protection from unexpected events
• Designed for individuals seeking both life insurance and a way to cover potential long-term care costs

Premier Accumulator Universal Life (PAUL)

Universal life insurance is similar to whole life in that it lasts your entire life if designed properly. However, there are subtle differences between whole life vs universal life that you need to be aware of.

With universal life you have the option to make more or less premium payments, as long as minimum requirements are met. Further, you can change your death benefit amount. Finally, you can also choose different death benefit options, including a fixed death benefit or increasing death benefit.

Key Features:

• No surrender charges – You can access your life insurance cash value through life insurance loans, withdrawals and surrender with no penalties
• Available for ages 18 – 85
• Face amounts from $50,000 to $5,000,000
• Two different death benefit options – Option A provides a level death benefit that stays the same. Option B is an increasing death benefit, that will grow your death benefit over time
• Guaranteed crediting rate is 2%
• You can borrow against your cash value for 3% in the first 20 years. In year 21 and beyond, net loan costs of 0% are available

Enhanced Rate Plus (ERP)

Brighthouse Life Insurance Company is part of a growing number of companies offering some form of no exam life insurance through the use of automated accelerated underwriting.

The ERP program is available for ages 20 – 60 and takes the place of traditional life insurance underwriting. And even though it allows you to bypass the paramedical exam, it is still fully underwritten and includes a background check, such as the Medical Information Bureau, Motor Vehicle Records, Prescription Database and a Public Records search.

The primary benefit of the ERP program is it can drastically reduce the amount of time it takes to get approved and have your policy placed in force. Typically, normal underwriting including an exam takes 3-4 weeks for approval. However, with accelerated underwriting programs such as Enhanced Rate Plus, approval times can be as quick as 48 hours.

Life Insurance Riders

The following life insurance riders are not available on all policies or in all states.

Waiver of Specified Premium Rider: The waiver of premium rider credits a specified premium amount to the policy, helping you make premium payments if you suffer from a qualifying total disability.

Chronic and Terminal Care Rider: Provides access to your death benefit if you are diagnosed with a qualifying chronic illness or terminal illness.

Acceleration of Death Benefit Rider: Provides access to your death benefit if you are diagnosed with a qualifying terminal illness.

Benefits of Permanent Life Insurance

There are many additional advantages of life insurance, such as:

Tax free life insurance policy loans

Using your cash value as collateral, you can borrow against your cash value through a life insurance loan. The cash can be used for whatever you want, such as purchasing cash flow assets like real estate.

Tax deferred cash value growth

As per the Internal Revenue Code, cash value life insurance grows tax deferred. That means you are not taxed on the gains in your policy, allowing your cash value to increase year in and year out in true compound growth fashion.

Tax free death benefit

Life insurance is not taxed to your beneficiary as income. As a general rule, your life insurance death benefit passes to your life insurance beneficiary income tax free.

Annuity Products

Brighthouse Financial has established itself as a leader in the annuity market, with particularly strong performance in Registered Index-Linked Annuities (RILAs).

Fixed Rate Annuities

• Guaranteed growth for 3, 5, or 7 years
• Tax-deferred accumulation
• Protection from market volatility
• Access to withdraw up to 10% of account value annually without penalty
• Automatic renewal after the initial guarantee period into a one-year period without withdrawal charges

Registered Index-Linked Annuities (RILAs)

Brighthouse is a market leader in RILAs, ranking as the fourth-largest RILA writer in the U.S. in 2024, with $5.79 billion in sales through the first nine months.

• Growth potential tied to market indexes
• Downside protection via buffers
• Range of crediting strategies
• Shield Annuities product line

Recent Developments & Strategic Moves

Capital and Financial Strength

• Brighthouse has taken steps to strengthen its balance sheet, including reinsurance agreements and updated hedging strategies for its annuity products
• Maintains strong financial ratings despite some recent earnings volatility

Corporate Strategy

• As of early 2025, Brighthouse is reportedly exploring a sale, potentially to a private equity-backed asset manager
• This move could accelerate value realization and address lagging stock valuation relative to peers
• Appointment of two new independent directors with financial expertise to the board in 2025

Product Innovation

• Introduction of SmartGuard Plus in 2023, a new registered index-linked universal life insurance product
• Partnership with BlackRock to offer the LifePath Paycheck solution for defined contribution plans, providing lifetime income options for retirees
• Continued expansion of the Shield annuity product line

Contact Information

Brighthouse Life Insurance Conclusion

Brighthouse Financial has established itself as a significant player in the life insurance and annuity markets since its spinoff from MetLife in 2017. With over $204 billion in assets under management and more than 2 million customers, the company has built a solid foundation in the industry.

Brighthouse’s financial strength is affirmed by strong ratings from major agencies (A.M. Best, S&P, Moody’s, and Fitch), though investors should note that A.M. Best revised its outlook to negative in January 2025 while maintaining the “A” rating.

The company’s product portfolio has expanded significantly since its formation, with innovative offerings like SmartGuard Plus (launched in 2023) combining death benefit protection with retirement income potential, and SmartCare providing a hybrid approach to life insurance and long-term care coverage. The original Premier Accumulator Universal Life (PAUL) continues to offer flexible permanent coverage with the unique advantage of no surrender charges.

In the annuity space, Brighthouse has become a market leader, ranking as the fourth-largest writer of Registered Index-Linked Annuities in the U.S. in 2024. The company’s Shield annuities provide growth potential with downside protection, addressing a key concern for retirement-focused investors.

Recent strategic developments, including the exploration of a potential sale and the appointment of new board members with financial expertise, suggest Brighthouse is positioning itself for its next phase of growth. The partnership with BlackRock for the LifePath Paycheck solution demonstrates continued innovation in the retirement income space.

Brighthouse Life Insurance Company provides several innovative life insurance options, particularly its PAUL policy with no surrender charges and the new SmartGuard Plus product, making it a fantastic option for anyone considering life insurance who wants flexibility, control, and growth potential.

Curious if Brighthouse Life Insurance Company is right for you? Please give us a call today for a free strategy session.