Although term life insurance is not for everyone, it is the most popular type of insurance in terms of policy count and death benefits year after year. In this article, we will review the best term life insurance rates available in 2024.
If you’ve ever compared the rates for term insurance versus whole life or universal life, you know that the premium for term life insurance is significantly lower than permanent life insurance. And, although mortality rates spiked in 2020 and 2021, it appears most life insurance companies did not knee-jerk their rates.
Term Life Insurance is best suited for young adults who have considerable financial risks that need mitigation if a primary or secondary breadwinner should die unexpectedly.
This article will discuss term life insurance, when it’s the best policy choice, and how rates will look in 2024.
With any type of life insurance, the primary pros and cons are typically based on the applicant or policyholder’s need for life insurance.
For example, if you are looking for life insurance that will build cash value over time, term life insurance would definitely land in the “con” column. On the other hand, if you were looking for life insurance that would provide the largest death benefit for the least amount of premium, term insurance would be at the top of the “pros” column.
There are, however, certain advantages and disadvantages when considering term life insurance that could apply to almost any applicant.
Term life insurance is often thought to be much more expensive than it actually is. In reality, it is one of the most budget-friendly options when it comes to coverage. Many Americans overestimate the cost of term life insurance, thinking it is three times more expensive than it actually is.
When you sit down to figure out how much life insurance you need, you may be surprised to see that the final number is $1 million or more. This can be shocking for people who are on a tight budget and who will likely worry that they can't possibly afford the coverage they need. However, you can buy $10 million or more of term insurance at very affordable rates and achieve the peace of mind you are looking for.
Since term life insurance has very few moving parts, the insurance contracts are simple and easy to understand. You pay X amount per month in premiums, and then your beneficiary will get X amount of money if you die during the policy term.
There are several things to consider when purchasing life insurance, including how you will pay your premiums and how long you need coverage. Most life insurers charge a processing fee for monthly, quarterly, or semi-annual payments, so you may be able to save by paying annually. You can also choose how long you need coverage, from one year to 30 or even 40 years. The most common terms are in five-year increments, from five to 30 years.
The disadvantages of term insurance are pretty much apparent: • Your coverage is temporary • Your policy builds no cash value • Fewer options and higher premiums for seniors
The following term insurance rates are based on a $500,000 death benefit for 10 years. The rates are for a very healthy male and female non-tobacco user.
| Applicant Age | Male | Female |
|---|---|---|
| 25 | $12.75 | $10.97 |
| 35 | $13.46 | $12.11 |
| 45 | $27.26 | $22.93 |
| 55 | $66.27 | $48.86 |
| 65 | $187.80 | $120.98 |
All rates are subject to the insurer’s underwriting. To get actual rates for your current age, please use our instant term insurance quote engine at the bottom of the page.
The following term insurance rates are based on a $500,000 death benefit for 20 years. The rates are for a very healthy male and female non-tobacco user.
| Age of Applicant | Male | Female |
|---|---|---|
| 25 | $18.53 | $13.52 |
| 35 | $21.25 | $16.88 |
| 45 | $47.21 | $37.46 |
| 55 | $114.82 | $83.77 |
| 60 | $199.06 | $137.57 |
All rates are subject to the insurer’s underwriting. To get actual rates for your current age, please use our instant term insurance quote engine at the bottom of the page.
The following term insurance rates are based on a $500,000 death benefit for 30 years. The rates are for a very healthy male and female non-tobacco user.
| Age of Applicant | Male | Female |
|---|---|---|
| 25 | $27.15 | $21.98 |
| 35 | $33.86 | $28.31 |
| 45 | $76.78 | $59.22 |
| 55 | $231.07 | $175.10 |
| 65 | NA | NA |
All rates are subject to the insurer’s underwriting. To get actual rates for your current age, please use our instant term insurance quote engine at the bottom of the page.
Please Note: All rates listed above do not include optional life insurance riders, however, many of the best term life insurance companies will include the conversion rider without an additional charge.
Although we, like other insurance brokers, represent most of the top-rated term life insurance providers, most insurance professionals have a shortlist of at least 3 to 5 go-to insurance companies.
We encourage you to click the company logo to learn more.
Year Established | 1981 |
Current Financial Ratings | A.M. Best A+ (Superior) S&P Global AA- (Very Strong) Fitch AA- (Very Strong) COMDEX Score 94 out of 100 |
Term Policy Period Options | 10, 15, 20, 25, 30, 35, and 40 |
Available Riders | Accelerated Death Benefit Child Protection Rider Disability Waiver of Premium Extended Term Rider Conversion Rider |
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Year Established | 1907 |
Current Financial Ratings | A.M. Best A+ S&P Global AA- Fitch A+ Moody’s A1 |
Term Policy Period Options | 10, 15, 20, 25, and 30 |
Available Riders | Accelerated Death Benefit Accidental Death Benefit Child Protection Rider Disability Waiver of Premium Extended Term Rider Conversion Rider |
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Year Established | 1868 |
Current Financial Ratings | A.M. Best A+ S&P Global A+ Fitch A+ Moody’s A1 |
Term Policy Period Options | 10, 15, 20, 25, and 30 |
Available Riders | Accelerated Death Benefit Accidental Death Benefit Child Protection Rider Disability Waiver of Premium Extended Term Rider Conversion Rider |
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Year Established | 1905 |
Current Financial Ratings | A.M. Best A+ S&P Global AA- Fitch A+ Moody’s A1 |
Term Policy Period Options | 10, 15, 20, 25, and 30 |
Available Riders | Accelerated Death Benefit Child Protection Rider Disability Waiver of Premium Conversion Rider |
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Year Established | 1886 |
Current Financial Ratings | A.M. Best A+ S&P Global A+ Fitch A+
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Term Policy Period Options | 10, 15, 20, and 30 |
Available Riders | Accelerated Death Benefit Accidental Death Benefit Child Protection Rider Disability Waiver of Premium Guaranteed Insurability Conversion Rider (included in the core policy) |
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Although most American consumers have witnessed everything from rye bread to diesel fuel go up double digits during 2021 and 2022, life insurance companies have not followed suit even though they have been impacted by a considerable increase in mortality rates.
Also, there is an additional advantage for consumers shopping for life insurance, you don’t have to go anywhere to find the best rates because virtually every part of the shopping and buying process can be done electronically.
Take a few minutes and call the insurance professionals at LifeInsure.com at 866-868-0099 and we’ll prove it to you.
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Here is the legal information we’re required to provide you. LifeInsure.com, a California corporation and subsidiary of Intramark Insurance, is a licensed independent insurance broker. The information provided on this site has been developed by LifeInsure.com for general informational and educational purposes. We try hard to ensure that this information is up-to-date and accurate. Any insurance policy premium quotes or ranges displayed are non-binding. The final insurance policy premium for any policy is determined by the underwriting insurance company following application.
