How Much Does Term Life Insurance Cost?
Real rates by age, term length, and coverage amount. Compare 10, 20, and 30-year terms from 25+ carriers.
The Short Answer
Term Life Insurance Costs $20 to $100+ per Month
Term life insurance is the most affordable type of life insurance available. Most healthy adults pay between $20 and $100 per month for a policy that provides $250,000 to $500,000 in coverage. Your exact rate depends on your age, health, gender, the term length you select, and how much coverage you need.
Unlike whole life insurance, term life covers you for a specific period, typically 10, 20, or 30 years. Your premium is locked in for the entire term and will never increase. If you pass away during the term, your beneficiary receives the full death benefit tax-free. Term life is ideal for covering a mortgage, replacing income during your working years, or protecting your family while your children are still dependent.
The tables below show estimated monthly premiums for healthy, non-tobacco applicants at two common coverage levels. Your actual rate depends on your health class, carrier, and specific situation. Asurgo compares rates from 25+ carriers to find the lowest option for you.
$250,000 Coverage
| Age | 10-Year (Male) | 10-Year (Female) | 20-Year (Male) | 20-Year (Female) | 30-Year (Male) | 30-Year (Female) |
|---|---|---|---|---|---|---|
| 25 | $13/mo | $11/mo | $16/mo | $14/mo | $20/mo | $17/mo |
| 30 | $14/mo | $12/mo | $18/mo | $15/mo | $23/mo | $19/mo |
| 35 | $15/mo | $13/mo | $20/mo | $17/mo | $27/mo | $23/mo |
| 40 | $20/mo | $17/mo | $30/mo | $24/mo | $48/mo | $38/mo |
| 45 | $28/mo | $23/mo | $45/mo | $36/mo | $72/mo | $55/mo |
| 50 | $42/mo | $34/mo | $70/mo | $52/mo | $115/mo | $85/mo |
| 55 | $65/mo | $48/mo | $110/mo | $80/mo | N/A | N/A |
| 60 | $95/mo | $70/mo | $165/mo | $120/mo | N/A | N/A |
$500,000 Coverage
| Age | 10-Year (Male) | 10-Year (Female) | 20-Year (Male) | 20-Year (Female) | 30-Year (Male) | 30-Year (Female) |
|---|---|---|---|---|---|---|
| 25 | $18/mo | $15/mo | $24/mo | $20/mo | $32/mo | $26/mo |
| 30 | $20/mo | $16/mo | $28/mo | $22/mo | $38/mo | $30/mo |
| 35 | $22/mo | $18/mo | $32/mo | $26/mo | $45/mo | $36/mo |
| 40 | $32/mo | $26/mo | $52/mo | $42/mo | $85/mo | $65/mo |
| 45 | $48/mo | $38/mo | $78/mo | $60/mo | $130/mo | $98/mo |
| 50 | $75/mo | $58/mo | $125/mo | $95/mo | $210/mo | $155/mo |
| 55 | $115/mo | $85/mo | $200/mo | $148/mo | N/A | N/A |
| 60 | $175/mo | $128/mo | $310/mo | $225/mo | N/A | N/A |
What Affects Your Rate
6 Factors That Determine Your Term Life Cost
Term life insurance pricing is based on your risk profile. Insurers evaluate several factors to determine how much you will pay each month. Understanding these factors helps you make smarter decisions about when to buy and how much coverage to get.
1. Your Age at Application
Age is the most significant factor in term life pricing. A 30-year-old will pay a fraction of what a 50-year-old pays for the same policy. Your rate is locked in for the full term, so buying earlier means lower payments for the entire duration of your coverage. Every year you delay can mean a noticeable increase in your premium.
2. Term Length
Longer terms cost more per month because the carrier is taking on risk for a longer period. A 10-year term is the most affordable option, while a 30-year term costs the most but gives you the longest period of locked-in coverage. Choose a term that matches when your financial obligations will be resolved, such as when your mortgage is paid off or your children are financially independent.
3. Coverage Amount
Higher coverage amounts mean higher premiums, but the cost per dollar of coverage actually decreases at higher levels. A $500,000 policy does not cost twice as much as a $250,000 policy. Most financial advisors recommend coverage equal to 10 to 12 times your annual income, which typically falls between $250,000 and $1,000,000 for working adults.
4. Health Class
After your medical exam, the carrier assigns you a health class that directly impacts your rate. Classifications like Preferred Plus, Preferred, Standard Plus, and Standard reflect your overall health. Things like cholesterol, blood pressure, BMI, family history, and driving record are all factored in. The better your health class, the lower your premium.
5. Tobacco Use
Tobacco use can double or even triple your term life premium compared to a non-tobacco applicant. Most carriers define tobacco as cigarettes, cigars, chewing tobacco, vaping, and in some cases nicotine patches. If you have been tobacco-free for 12 to 36 months, some carriers may offer you non-tobacco rates. This is one of the biggest savings opportunities when shopping for term life.
6. Gender
Women statistically live longer than men, which means they pay less for term life insurance. The difference is typically 15% to 25% less for the same coverage and term length. This is reflected in all the rate tables above and is a standard factor across every carrier.
How It Compares
Term Life vs. Whole Life Insurance Cost
Term life and whole life insurance serve different purposes, and their costs reflect that difference. Understanding how they compare helps you choose the right type of coverage for your financial goals.
Term life insurance provides coverage for a specific period and is significantly cheaper. A healthy 35-year-old man can get $250,000 in coverage for around $20 per month with a 20-year term. When the term ends, the coverage expires. There is no cash value component, and the policy is purely a death benefit.
Whole life insurance covers you for your entire life, never expires, and builds cash value over time. But it costs substantially more. That same 35-year-old man would pay around $225 per month for $250,000 in whole life coverage. That is more than 10 times the cost of term.
For most families, term life makes the most financial sense during the years when your obligations are highest. You can always supplement term coverage with a smaller whole life policy if you want some permanent coverage as well. Many term policies also include a conversion option that lets you switch to permanent coverage later without a new medical exam.
For a detailed look at term life coverage options, visit our Term Life Insurance product page.
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Save Money
4 Ways to Get the Lowest Term Life Rate
1. Compare Rates from Multiple Carriers
Different carriers price their term life policies differently, even for the same applicant. One carrier might have the best rates for a 40-year-old with controlled blood pressure, while another is more competitive for a healthy 30-year-old. Asurgo compares rates from 25+ carriers on your behalf so you get the lowest available price without making multiple phone calls.
2. Buy When You Are Young and Healthy
The younger and healthier you are, the lower your premium will be. A 30-year-old man pays around $18 per month for a 20-year $250,000 policy. By age 40, that same policy costs $30 per month. By age 50, it jumps to $70. Every year you wait costs you more, and any health changes during that time can push you into a higher rate class.
3. Right-Size Your Term Length
Choosing the right term length saves money without sacrificing coverage. If you have a 15-year mortgage and your youngest child is 10, a 20-year term covers your obligations and costs less than a 30-year term. Match the term to when your financial responsibilities will be resolved, and you avoid paying for years of coverage you may not need.
4. Improve Your Health Class
Small health improvements can make a real difference in your rate. Lowering your cholesterol, getting your blood pressure under control, or losing weight can bump you from Standard to Preferred, potentially saving 20% to 30% on your premium. If you have time before you need coverage, even a few months of lifestyle changes can pay off for the entire term of your policy.
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Frequently Asked Questions About Term Life Costs
How much does a $500,000 term life policy cost?
A $500,000 term life policy costs between $18 and $310 per month depending on your age, health, and the term length you choose. A healthy 30-year-old man can get a 20-year term for around $28 per month. A 50-year-old man would pay closer to $125 per month for the same 20-year term. Women typically pay 15% to 25% less than men for the same coverage. The best way to find your actual rate is to compare quotes from multiple carriers.
Is a 10-year or 20-year term cheaper?
A 10-year term policy has a lower monthly premium than a 20-year term, but a 20-year term gives you locked-in coverage for twice as long. For example, a 35-year-old man might pay $15 per month for a 10-year $250,000 policy versus $20 per month for a 20-year policy. The longer term costs more per month, but you avoid the risk of having to reapply at an older age when rates are significantly higher.
What happens when my term life policy expires?
When your term life policy expires, your coverage ends and no death benefit will be paid. You typically have two options: renew the policy at a much higher rate based on your current age, or convert to a permanent policy if your contract includes a conversion option. Many people buy term life while they have a mortgage, young children, or other financial obligations, and the coverage period is designed to match when those responsibilities are highest.
Can I convert term life to whole life?
Many term life policies include a conversion privilege that lets you convert to a permanent whole life or universal life policy without a new medical exam. This is a valuable feature because it gives you the option to keep coverage even after your term ends. The conversion must usually be done before a specific deadline outlined in your policy. Your new permanent policy premium will be based on your age at conversion, but you will not need to re-qualify based on health.
Why is term life so much cheaper than whole life?
Term life insurance is cheaper because it only provides coverage for a set period, and the majority of term policies never pay out a death benefit. Whole life insurance is more expensive because it covers you for your entire life, guarantees a death benefit payout, and includes a cash value savings component. Think of term life like renting and whole life like buying. Both have their place, but term life gives you the most coverage per dollar during the years you need it most.