In this article, we will discuss: 9 Best Life Insurance Stocks to Buy Now.
On December 4, 2025, Reinsurance News reported that Fitch Ratings maintained a ‘neutral’ outlook for the North American life insurance sector in 2026. It cited solid balance sheets as a partial offset to slower economic growth, increased macroeconomic volatility, and geopolitical instability. Despite higher exposure to private credit, the agency expects life insurers to keep strong capitalization and careful asset-liability management. Investment risk is likely to rise slightly. However, insurers will continue to focus on investment-grade bonds while expanding allocations to less liquid assets, such as private credit, through partnerships with alternative investment managers.
Fitch anticipates that collaborations with alternative investment managers and offshore reinsurance will persist, resulting in a dynamic regulatory environment focused on ensuring capital adequacy relative to risk. As shown by “Strong” Prism capital model scores, cash flow matching, and asset class diversification, strong capitalization mitigates incremental market susceptibility, per Fitch. The goal of regulatory control by the Bermuda Monetary Authority and the National Association of Insurance Commissioners (NAIC) in the US is to improve resilience and transparency in the face of portfolio fluctuations.
It is projected by Fitch that operating profits will not change. Spread widening should increase net investment income, with policy rate cuts slightly offsetting this benefit. Exposure to commercial real estate is still under pressure, although it is decreasing. Reserves for anticipated credit loss have increased. Jamie Tucker, Senior Director at AM Best, further elaborated on ‘Neutral outlook and stated:
“Fitch views life insurers’ strong balance sheets as a partial mitigant against potentially slowing economic growth, heightened macroeconomic volatility and geopolitical uncertainty. Investment risk is expected to continue to increase on the margin and investment losses will increase YoY. The regulatory environment will remain dynamic, reflecting continued portfolio shifts, offshore reinsurance and partnerships with alternative investment managers.”
With that said, here are the 9 Best Life Insurance Stocks to Buy Now.
Our Methodology
To compile our list of the 9 Best Life Insurance Stocks to Buy Now, we utilized online screeners to generate an initial list of all U.S.-listed life insurance companies. From this pool, we looked for stocks with the best hedge fund holdings, which we assessed using Insider Monkey’s database of hedge funds as of Q3 2025. Then we chose those stocks with the best upside as of December 4. Finally, we ranked these stocks in ascending order by the number of hedge funds holding stakes.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
9. Abacus Global Management, Inc. (NASDAQ:ABL)
Number of Hedge Fund Holders: 20
Analysts’ Upside Potential as of December 4: 98.13%
Abacus Global Management, Inc. (NASDAQ:ABL) is one of the Best Insurance Stocks.
Northland Securities analyst Michael Grondahl reaffirmed his buy rating for Abacus Life, Inc. (NASDAQ: ABL) on December 5, according to TheFly. The analyst kept the stock’s price target at $13.50.
According to GlobeNewswire, Abacus Global Management, Inc. (NASDAQ:ABL) announced the date of its first-ever annual cash dividend on November 25, 2025. The Board of Directors had previously given its approval. The Board announced that shareholders of record as of December 2, 2025, will receive an annual dividend of $0.20 per share on December 17, 2025, the ex-dividend date.
According to the company’s dividend policy, payouts of up to 25% of adjusted net income or 55% of recurring revenue are permitted. According to CEO Jay Jackson, record cash creation, higher fee-based revenue, and growing margins will support the dividend, which will be financed by cash on hand and free cash flow.
Announced in early November, Abacus Global Management, Inc. (NASDAQ:ABL)’s Q3 non-GAAP earnings per share of $0.24 were above projections by $0.06, and revenue of $63 million exceeded expectations by $15.58 million. Revenue jumped by 124.2% year on year.
Separately, Abacus Global Management, Inc. (NASDAQ:ABL) shares had increased 10.11% during the previous five days as of December 3, 2025.
The financial services firm Abacus Global Management, Inc. (NASDAQ:ABL) focuses on institutional services, life solutions, data-driven wealth solutions, and alternative asset management.
8. Primerica, Inc. (NYSE:PRI)
Number of Hedge Fund Holders: 29
Analysts’ Upside Potential as of December 4: 19.97%
Primerica, Inc. (NYSE:PRI) is among the Best Insurance Stocks.
As of December 5, analyst views tilt towards the cautious side for Primerica, Inc. (NYSE:PRI) with only 40% of analysts recommending a Buy. But the stock is expected to see around 20% potential upside, based on the consensus 1-year median price target of $303.
According to TheFly, Morgan Stanley analyst Bob Huang reduced Primerica, Inc. (NYSE:PRI)’s price objective from $306 to $301 on November 17, 2025. The company’s rating remained Equal Weight.
Morgan Stanley adjusted its insurance-sector models in response to Q3 results, per the analyst note. The analyst highlighted that while property and casualty trends point to a slowing cycle into 2026, life-insurance earnings were substantially higher than suggested by share-price reactions.
Earlier, Primerica, Inc. (NYSE:PRI) reported adjusted net operating income of $206 million for the third quarter of 2025, up 7% year over year, with an 11% increase in EPS to $6.33. The Investment and Savings Products (ISP) category generated record sales of $3.7 billion, up by 28% YoY, and net inflows of $363 million, while customer assets grew by 14% to $127 billion. The management anticipates that ISP sales will climb by about 20% over the course of 2025 due to solid equity markets and steady momentum.
Furthermore, on November 19, 2025, Business Wire reported that Primerica, Inc. (NYSE:PRI)’s Board of Directors had authorized a $475 million share repurchase program that would run until December 31, 2026. According to the business, repurchases could take place through block trades, open-market transactions, or privately negotiated agreements, depending on the situation of the market and legal requirements. Primerica, Inc. (NYSE:PRI) stressed that the authorization was motivated by financial strength in all areas. As of September 30, 2025, the company declared $967 billion in Term Life face amount in force, including continuous contributions from its fee-based investing operations.
Primerica, Inc. (NYSE:PRI) provides financial services to middle-income households in the United States and Canada. The business distributes financial products on behalf of third parties, including annuities, mutual funds, and life insurance.
