Is National Life Group a good annuity company?
Yes. National Life Group operates through two carriers, National Life Insurance Company and Life Insurance Company of the Southwest, and both hold an A+ (Superior) rating from AM Best plus an A+ from S&P and an A1 from Moody's. The group runs as a mutual holding company with no outside shareholders, and it has been issuing policies since 1848, making it one of the longest-running insurers in the country. It is also the top seller of fixed index annuities inside employer-sponsored retirement plans, a niche few competitors serve as well. The lineup leans toward MYGAs and FIAs rather than income or variable products, and a 2024 reinsurance deal involving part of its in-force block is worth understanding before you buy.
National Life Group at a glance
| Legal names | National Life Insurance Company, plus sister carrier Life Insurance Company of the Southwest (LSW) |
|---|---|
| Consumer brand | National Life Group |
| Founded | 1848 (National Life); 1955 (LSW) |
| Headquarters | Montpelier, Vermont (National Life); Addison, Texas (LSW) |
| Ownership | Mutual holding company (NLV Financial Corporation) |
| AM Best rating | A+ (Superior) |
| Total assets | About $57.4 billion |
| What it sells | MYGAs, fixed index annuities, and fixed annuities |
| State availability | All 50 states (LSW is not licensed in New York; National Life is) |
Where National Life Group sits on the AM Best scale
A+ is grade 2 of 13. Most buyers look for A- or better for a long-term contract.
- A++
- A+National Life Group
- A
- A-
- B++
- B+
- B
- B-
- C++
- C+
- C
- C-
- D
Today's rates for National Life Group
Rates change often and vary by state, term and deposit size. Get today's numbers for your state, side by side with other top-rated carriers. Free, with no obligation.
National Life Group's history and financial strength
Vermont's legislature chartered National Life Insurance Company in 1848, well over a century and a half ago, which puts it among a small handful of American insurers still operating under a pre-Civil War charter. The group added a second carrier later, Life Insurance Company of the Southwest, founded in 1955 in Texas, which today issues most contracts sold outside New York. National Life itself keeps its New York license, so New York buyers work with that entity instead of LSW.
| Rating agency | Rating | What it means |
|---|---|---|
| AM Best | A+ | Superior |
| S&P Global | A+ | Strong |
| Moody's | A1 | Good |
| Fitch | Not rated |
Both carriers share identical ratings, since both roll up under the same parent, NLV Financial Corporation, a mutual holding company. That structure means policyholders, not outside investors, ultimately own the enterprise, and there is no private equity stake in the ownership chain. Total group assets run around $57.4 billion. Confirm the current rating for either entity at AM Best's site before you commit funds.
One development worth flagging: in 2024, LSW completed a reinsurance transaction that transferred a large, seasoned block of MYGA and fixed index annuity policies to 26North Re, a reinsurer backed by private equity capital, while National Life Group retained a minority ownership stake in that reinsurer. This kind of arrangement has become common across the industry, similar structures back Athene's relationship with Apollo and Global Atlantic's with KKR, and it does not change the guarantees owed to existing policyholders. Buyers who want to understand the full counterparty chain behind their contract may still want to ask their agent how the transaction affects the specific policy they're considering.
What annuities does National Life Group offer?
- Green Mountain Freedom 5, a 5-year MYGA named for the carrier's Vermont roots. It shows up regularly in national rate comparisons for its term.
- RetireMax Secure 5, another 5-year fixed rate option built for buyers focused on straightforward accumulation.
- Green Mountain Freedom Flex, a flexible premium deferred annuity that takes ongoing deposits over time, including payroll-deducted 403(b) contributions. Very few MYGA-style products on the market accept multiple premium payments the way this one does, and it's sold in New York through National Life Insurance Company.
- FIT Secure Growth, a flexible premium fixed index annuity offering more than one index crediting strategy.
- FIT Select Income, an indexed annuity built around lifetime income riders, open to issue ages 18 through 75.
Because rates on these products change frequently, current numbers aren't listed on this page. Check the quote box here for what's currently available by term, product and deposit size.
Who is National Life Group best for?
- MYGA buyers who want top-tier ratings without giving up rate. National Life Group's contracts routinely land near the top of national comparisons while still carrying A+ grades from three agencies.
- 403(b) plan participants. LIMRA data puts National Life Group at the top of the market for FIA sales inside employer plans, and Green Mountain Freedom Flex is purpose-built for ongoing salary-reduction contributions, a feature most competitors in this review don't match.
- New York residents, since National Life Insurance Company holds a New York license even though LSW does not, giving New York buyers access that some competitors can't offer at all.
- Pre-retirees still adding to savings, who want a flexible-premium product that grows with each new contribution rather than requiring one lump sum upfront.
National Life Group is a weaker fit for buyers wanting a variable annuity, a registered index-linked annuity, or an income product with an extensive menu of living-benefit rider choices. Its FIA shelf, while solid, is narrower than what specialists such as Allianz or North American offer.
National Life Group pros and cons at a glance
National Life Group's biggest strengths are its ratings, its age, and its mutual ownership structure, three factors that tend to matter most to buyers prioritizing safety. Its clearest limitation is breadth: no variable annuity, no RILA, and a smaller FIA menu than the market's biggest indexed-annuity specialists carry. The 2024 reinsurance transaction is neither a red flag nor something to ignore; it's a detail worth understanding, much like it would be with any large carrier that reinsures part of its book.
Other annuity companies to consider
- Midland National: another A+ rated carrier with a broad MYGA and FIA lineup
- North American: a larger FIA specialist worth comparing on index options
- Massachusetts Mutual: another mutual company with top-tier ratings
Pros and cons
Pros
- A+ from AM Best, A+ from S&P and A1 from Moody's across both carriers
- 175 years of continuous operating history, among the oldest insurers in the country
- Structured as a mutual holding company, with policyholders rather than shareholders as owners
- The leading seller of fixed index annuities inside employer-sponsored retirement plans, per LIMRA
- One of the few carriers offering a flexible-premium MYGA-type product for ongoing contributions
- A below-average complaint ratio with state insurance regulators
- New York coverage available through National Life Insurance Company even though LSW cannot sell there
Cons
- LSW cannot sell in New York, so New York buyers get a different issuing entity and potentially different pricing
- A 2024 reinsurance transaction moved a large block of in-force MYGA and FIA policies to a private-equity-backed reinsurer
- The fixed index annuity lineup is narrower than specialists such as Allianz or North American
- No variable annuity or registered index-linked annuity
- Some customer reviews cite delays with fund transfers
Frequently asked questions
What's the difference between National Life Insurance Company and LSW?
Both operate under the same parent, NLV Financial Corporation, and both are rated A+ by AM Best. National Life Insurance Company holds a license in all 50 states, including New York. Life Insurance Company of the Southwest is licensed everywhere except New York. Outside New York, most contracts get issued through LSW; New York residents receive their contract from National Life instead, though the financial strength behind both is the same.
Why does National Life Group show up so often in 403(b) plans?
According to LIMRA data, National Life Group leads the market in fixed index annuity sales within employer-sponsored retirement plans. Its Green Mountain Freedom Flex product is built to accept ongoing salary-reduction contributions, which makes it one of the few MYGA-style products that fits naturally into a 403(b) or 457 plan structure. Teachers, hospital staff and nonprofit employees whose employer offers this option may want to weigh it against rolling savings into an IRA instead.
How do I buy an annuity from National Life Group?
These annuities are sold through independent agents, affiliated advisors and, in some cases, employer plan sponsors, rather than directly by the company. A licensed strategist can quote National Life Group alongside other top-rated carriers so you can compare rates and features before committing.
Written and reviewed by
James Forren Warren
Licensed Retirement Income Strategist · License #20551202
James Forren Warren is a licensed Retirement Income Strategist with Tax Free Wealth Plan. For the past five years he has helped individuals and families turn their savings into retirement income they can count on. He writes and reviews the annuity research on this site and keeps it plain: what a product does, what it costs you, and who it actually fits.
Sources
Educational only, not investment, tax or legal advice. Tax Free Wealth Plan LLC is a licensed insurance agency, not a registered investment adviser or broker-dealer. Annuities are not bank deposits, are not FDIC insured and are not guaranteed by any government agency. Guarantees are backed solely by the claims-paying ability of the issuing insurance company. Features, rates and availability vary by state and change over time; the contract and disclosure documents govern.
