Last updated: April 14, 2026 by the AnnuityJournal Editorial Team.
Mutual of Omaha is one of the most recognized mutual insurance companies in the United States, founded in 1909 and still headquartered in its namesake Nebraska city. The company is known to most Americans for its long-running Wild Kingdom nature series and its strength in Medicare Supplement insurance. Less widely known is that Mutual of Omaha is also a top-tier income annuity provider, regularly quoting some of the most competitive single premium immediate annuity (SPIA) payout rates in the market.
Mutual of Omaha carries an AM Best A+ (Superior) rating, sits in the second-highest rating tier, and manages more than $45 billion in total assets. As a mutual company, Mutual of Omaha is owned by its policyholders rather than outside shareholders, which tends to result in a more conservative investment strategy and lower turnover at the executive level.
Key Takeaways
- AM Best A+ (Superior) rating, A+ from S&P, A1 from Moody’s
- Mutual structure: owned by policyholders, not shareholders
- Top-tier SPIA payouts, especially for ages 65 to 80
- Offers deferred income annuities (DIAs) for retirement income planning
- Also offers MYGAs through subsidiary United of Omaha Life Insurance Company
- Over 115 years of operating history
Mutual of Omaha Company Overview
Mutual of Omaha was founded in 1909 as Mutual Benefit Health & Accident Association. The company grew steadily through the 20th century and became a household name in the 1960s as the primary sponsor of the Mutual of Omaha’s Wild Kingdom television series. Today the company operates several insurance subsidiaries, including Mutual of Omaha Insurance Company (health and life), United of Omaha Life Insurance Company (annuities and life), and Companion Life Insurance Company.
Most retail annuities are issued through United of Omaha Life Insurance Company. United of Omaha carries an A+ AM Best rating and is well-capitalized with conservative investment allocations, predominantly in investment-grade corporate bonds and government securities. The mutual structure and conservative portfolio together make Mutual of Omaha one of the lower-volatility carriers in the fixed annuity market.
Mutual of Omaha Annuity Products
Income Annuity (SPIA)
Mutual of Omaha Income Access Annuity is the flagship single premium immediate annuity. It converts a lump-sum deposit into guaranteed income payments for life, joint life, or a specified number of years. Mutual of Omaha is regularly one of the top three SPIA payout carriers in the United States, especially for buyers between ages 65 and 80. Payments typically begin within 30 days of funding.
Deferred Income Annuity (DIA)
Mutual of Omaha Income Annuity is a deferred income annuity, meaning you fund the contract now and income payments begin at a specified future date. DIAs lock in guaranteed future income at today’s rates and can serve as personal longevity insurance. Suits pre-retirees who want to commit a portion of their savings today to an income stream starting at age 75 or 80.
Multi-Year Guaranteed Annuity (MYGA)
Mutual of Omaha Bonus Flexible Annuity is a MYGA with a modest premium bonus credited at issue. Available in 3, 5, 7, and 10-year terms. 10% annual free withdrawal. The bonus vests over the surrender period. MYGA rates are generally mid-pack, below alternative-credit-backed carriers like Athene but competitive for buyers who prioritize the A+ rating.
Fixed Indexed Annuity (FIA)
Mutual of Omaha Ultra-Premier is a fixed indexed annuity with index crediting linked to the S&P 500 and other indices. Principal protection with the option to participate in market upside subject to caps and participation rates.
Financial Strength & Ratings
| Rating Agency | Rating | Meaning |
|---|---|---|
| AM Best | A+ (Superior) | Second-highest of 16 rating levels |
| S&P Global | A+ (Strong) | Strong capacity to meet financial commitments |
| Moody’s | A1 (Good) | Low credit risk, upper-medium grade |
| NAIC Complaint Index | Below average | Fewer complaints than expected for their size |
Every Mutual of Omaha annuity is backed by the issuing insurer’s claims-paying ability and by the state guaranty association in the policyholder’s state of residence, typically up to $250,000 per insurer per person.
Mutual of Omaha Pros and Cons
| Pros | Cons |
|---|---|
| Top-tier SPIA payout rates, especially ages 65-80 | MYGA rates not as competitive as alternative-credit carriers |
| A+ AM Best rating and mutual ownership structure | FIA caps often below top-tier carriers |
| Over 115 years of operating history | Limited variable annuity offerings |
| Below-average NAIC complaint index | Not available direct-to-consumer |
| Conservative investment portfolio reduces credit risk | Product lineup narrower than major VA/FIA issuers |
Who Is Mutual of Omaha Best For?
- Retirees buying SPIAs: Mutual of Omaha is consistently top-3 on single premium immediate annuity payout rates, particularly ages 65 to 80.
- Pre-retirees planning longevity income: Deferred income annuities (DIAs) lock in future guaranteed income at today’s rates.
- Safety-first buyers: Mutual ownership, A+ rating, and conservative investment allocations suit risk-averse retirees.
- Buyers who value brand familiarity: Over a century of operating history and strong name recognition.
Who Should Not Buy a Mutual of Omaha Annuity
- MYGA rate shoppers. Alternative-credit-backed carriers like Athene and Global Atlantic quote higher MYGA rates.
- Variable annuity buyers. Mutual of Omaha does not issue a full variable annuity lineup.
- FIA buyers wanting highest caps. Mutual of Omaha’s FIA caps are competitive but generally not top-tier.
How to Buy a Mutual of Omaha Annuity
- Find a licensed independent agent appointed with United of Omaha Life or Mutual of Omaha.
- Request a SPIA or DIA quote specifying your age, state, deposit amount, and payout option (life-only, joint life, period certain).
- Compare to at least three other top-tier SPIA carriers. For income annuities, shopping is especially important because payout rates differ by $100 to $400 per month on a $500,000 premium.
- Complete the application. Fund by wire, check, 1035 exchange, or IRA rollover.
- Review during the free-look period, which is 10 to 30 days depending on state.
Frequently Asked Questions
Is Mutual of Omaha a good annuity company?
Yes. Mutual of Omaha holds an AM Best A+ (Superior) rating and has over 115 years of operating history. It is consistently top-3 on SPIA payout rates in the United States and benefits from the stability of a mutual ownership structure.
What is Mutual of Omaha’s AM Best rating?
Mutual of Omaha Insurance Company and its United of Omaha Life subsidiary both hold an A+ (Superior) rating from AM Best, the second-highest of sixteen rating levels. They also carry A+ from S&P and A1 from Moody’s.
Is Mutual of Omaha a mutual company?
Yes. Mutual of Omaha Insurance Company is owned by its policyholders rather than outside shareholders. Mutual companies have no stock trading on a public exchange and answer to policyholders rather than quarterly earnings targets. This structure tends to favor long-term stability and conservative investment decisions.
What types of annuities does Mutual of Omaha offer?
Mutual of Omaha offers single premium immediate annuities (SPIAs), deferred income annuities (DIAs), fixed indexed annuities (FIAs), and multi-year guaranteed annuities (MYGAs). Their SPIA payout rates are among the most competitive in the industry.
Does Mutual of Omaha offer variable annuities?
Mutual of Omaha’s variable annuity lineup is limited compared to larger VA issuers like Jackson or Prudential. Buyers specifically seeking variable annuities with market subaccounts should compare to dedicated VA carriers.
Can I buy a Mutual of Omaha annuity directly?
No. Mutual of Omaha annuities are sold through licensed insurance agents and broker-dealers. You cannot purchase directly from Mutual of Omaha.
Are Mutual of Omaha annuities safe?
Mutual of Omaha annuities carry the same guarantees as any fixed annuity from an A+ rated U.S. insurer. Principal is protected by the issuer’s claims-paying ability, its regulatory capital reserves, and the policyholder’s state guaranty association up to coverage limits.
How do Mutual of Omaha SPIA payouts compare to other carriers?
Mutual of Omaha is consistently a top-3 SPIA payout carrier in the United States, especially for ages 65 to 80. On a $500,000 life-only SPIA for a 70-year-old male, Mutual of Omaha’s monthly payout might run $50 to $200 higher than a mid-tier competitor. That gap compounds over a 15 to 20 year retirement.
