How much does life insurance cost?

January 15, 2019
Melissa Schreur
how much does life insurance cost

How much is life insurance per month? You’re not the only person looking for the average life insurance cost!

There is a plethora of insurance products and insurance companies out there for life insurance. Consumers, like you, are looking for cheap life insurance rates.

Truthfully, there really is no average life insurance premium! While you may be familiar with a life insurance cost calculator, these are designed to give you an idea. In order a more accurate number for the cost of life insurance, you should use an insurance agency.

Yes, this means you will need to speak to a live human being. This is the absolute best way to obtain affordable term life insurance.

Average cost of life insurance per month

As mentioned earlier, finding an average is tough. Companies determine their rates based on the following primary factors:

  • Death benefit
  • Term lengths
  • Age of prospect
  • Height & weight
  • Tobacco use
  • Medications

Additionally, most all companies have more underwriting criteria. They’ll ask about your citizenship, driving record, family medical history, criminal record, etc…Companies have to do a full review on the majority of their applicants. Especially if one is asking for a million dollar life insurance plan.

how much does life insurance cost

Cheap life insurance without medical exam

Does this exist? Sure! You can get life insurance, affordably, without doing an exam. The availability depends on the amount of life insurance you are request.

It also depends on how you answer the health questions on your application. Remember, you should always be honest. If you’re not you are essentially voiding coverage. Never lie or withhold information when it comes to insurance!

Most consumers are under the impression they can get life insurance with no questions asked. They are confusing no exam life insurance with no underwriting review required.

There are some guaranteed life insurance plans that ask very little; however, these are best suited for people with severe, uninsurable medical conditions. Such policies should not be a go to option for people who have either no or mild health issues.

Great news is that there are many companies willing to skip the need for a medical exam. Work with an independent life insurance broker and they will know which carrier works best for your specific situation.

How much does term life insurance cost?

Cheap term life insurance can be purchased by working with an experienced broker who has several life insurance companies. They can help you narrow down your options in 30 minutes or less!

While this may sound like a long time to be on the phone, consider the fact that you are likely locking in a 30 year policy. Not to mention one that will provide your surviving family members with financial security should you pass away prematurely.

That puts things into perspective, doesn’t it?

If you are looking to start off with a baseline price use this term life insurance calculator. Then you’ll have an idea(keyword) of what the cost is.

Term life insurance rate chart

The coverage amount chosen and primary underwriting factors determine your policy price. In general the longer term you lock in the more it costs every month.

Most people purchase between 20 or 30 years.

The chart below will provide an average cost of life insurance by age. Keep in mind these are sample term life insurance rates.

The prices are displayed using preferred tier offerings. Not everyone can qualify for preferred. However, for people in the age brackets that have no health issues or high risk factors these are available.

At least you’ll have that baseline idea we talked about earlier!

20 year term life insurance cost

30 year term life insurance

One million dollar life insurance

How much does a million dollar life insurance policy cost? I think the better questions are:

  • Do you need this amount of coverage?
  • Can you qualify for this face amount?

You see, insurance carriers do review the amount you are asking for as part of their approval process. You can’t just get whatever you apply for! It has to make sense financially for the company and for you.

Companies often have a certain multiplier for your annual, gross income. Usually they’ll offer 20-30 times your salary with little questions asked.

If you are wondering how much coverage you even need, then use an online needs analysis. Then you will have a solid idea of what face amount to buy on your policy.

how much life insurance do i need

How much life insurance do I need?

A rule of thumb for life insurance is to purchase 7-10 times your income. While this may be a quick and easy way to calculate the amount of life insurance needed, there is a more accurate method. It’s best to use a life insurance needs calculator. This is also referred to as a needs analysis or calculation formula. To make it easy you can use an online life insurance calculator.

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when to buy life insurance

When to Buy Life Insurance?

Knowing when to buy coverage makes the process easier.one knows when they are going to die. However, there are times when purchasing life insurance is common. You may be wondering “at what age should I get life insurance?” Generally, getting life insurance at a young age is best. Premiums are cheaper when you are younger.

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Melissa Schreur

Melissa Schreur has 16+ years helping consumers choose the best insurance protection. As a military spouse, she is dedicated to delivering world-class service to her customers. Insure The Heroes Life Insurance Agency is owned and operated by Melissa. She helps military families(past & present), parents and business owners secure affordable term life insurance coverage.