I dont' think he's the best character, but I think he's definitely underrated.
Another anon gave a stark assessment of Jerry that really opened my eyes to the character. He said, without a doubt, Jerry is the only one on the show who becomes a better person and/or tougher when he's under immense stress. When his life and/or family is on the line, Jerry instantly transforms into a dominant alpha male pack leader, capable of overcoming any/all obstacles.
I decided to think about that for a second and each time there was an obstacle before Jerry, he would suddenly transform and beat/overcome it to protect himself/family.
>Kronenberg reality/world.
Jerry recognizes that other people are suddenly monsters and he becomes an alpha male almost instantaneously to protect his family. By the end of the episode, Beth is all over him and Summer feels protected. She also inherits his 'toughness' persona. In general, Summer exhibits a toughness that her mother lacks. She gets it from her dad, not her mom.
>Meeseeks.
When the Meeseeks finally confront Jerry in the restaurant, Jerry bucks up and finally achieves his goal. He becomes tougher, stronger and even SMARTER when pressure is put on him. The more pressure he's under, the more he thrives.
There are other minor cases to consider too, but generally speaking, Jerry becomes a 'man' when he's faced with unfathomable odds/pressure.
In the episode with Snowball, the ''true'' Jerry doesn't come out because his life isn't immediately threatened (only his masculinity/testicles). Jerry MUST be under life/death circumstances for his true persona to come out.
It made me think about Evil Morty in that context. When Rick hinted that a Morty with too much ego is dangerous, that side of Morty is a direct result of Jerry's true persona. Rick hates Jerry for a variety of reasons, but I also think he hates Jerry because he is well aware of Jerry's true ''persona.'' When ''true Jerry'' comes out, he's essentially the anti-Rick.