If you’re looking for life insurance, you have dozens of companies, term lengths and coverage amounts to choose from.
Price will no doubt factor into your decision and may even determine what type of policy you choose. To give you a snapshot of those prices, we compared average life insurance rates for men and women at different ages and for different policy lengths.
How life insurance rates are determined
Life insurance rates are based primarily on life expectancy, so many factors help determine rates, including gender, age, health and whether you smoke. That’s why it’s wise to buy life insurance as early as possible; the longer you wait, the more your rates will increase based solely on age.
Waiting to buy will always be more expensive. For example, consider a 30-year-old who waits 10 years to buy a policy at age 40:
- A 20-year, $500,000 term life policy will cost about $100 more per year.
- By waiting 20 years until age 50, rates for a 20-year, $500,000 term life policy will more than triple.