If all I needed was a simple and powerful word processor, my first option would be Mellel Lite. If I needed more options like TOC generation, I'd look at the full version of Mellel. Both have been around on the Mac for about 20 years and IMO a better option than the free Office suites. Both are on the MAS.
If all you need is a decent text editor, with features like tables and lists, and the ability to read/write .doc, .docx, and RTF files, look no further than the free TextEdit app on your Mac. It's a lot more powerful and capable than most people give the app credit for.
I exchange documents with my two attorneys, with one of them working off a paid-for group of templates. The paid-for templates contain some odd fonts and they also use Windows - I asked them to embed the TT fonts used in the documents before sending them to me, and those compatibility "problems" stopped; I really wish MS would provide that option on the Mac platform. I've also asked some of my employees to work with RTF file formats so I don't have to deconstruct their attempts at word processing, since they really only need a text editor.
Pages is a powerful app, but it plays well with native and RTF documents IMO, .doc and .docx/XML files - not so much. A tip: if you're using/exchanging Word files but don't have Word on your Mac, DL and install the Office 2011 Trial or the demo Office 2016 so you can get the "free" benefit of the MS fonts that are installed along with the Office suite that you can't find anywhere else at that price (like Calibri), and you'll find you have fewer font substitution problems in your other apps. Good luck!