Updated: June 11, 2025
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Life insurance is a smart financial tool for parents, whether covering end-of-life expenses, replacing income or leaving a legacy for children.
The best companies for parents include Nationwide, GEICO and State Farm, offering a range of term, whole and senior-focused policies.
Your choice of policy should depend on age, health and budget. Term life is great for affordable short-term coverage, while whole and universal life offer lifelong protection and cash value.
MoneyGeek ranked top-rated insurance companies and found Nationwide the best overall insurer for parents, scoring 97 out of 100. For elderly parents, GEICO is the top choice, and State Farm is a great option for whole life insurance. The best life insurance for you depends on your needs and circumstances.
Check the table below for a quick comparison of quality service and value.
Company | Best For | MoneyGeek Score (out of 100) | Monthly Premium (10-Year Term, $250,000) | Key Strengths |
|---|---|---|---|---|
Nationwide | Overall | 97 | $16 | Affordable rates, broad policy options |
GEICO | Senior parents | 97 | $176 | Senior-focused coverage, simplified access |
State Farm | Whole life insurance | 99 | $34 | Excellent customer service, lifelong coverage options |
Nationwide, with a MoneyGeek score of 97, is the top life insurance provider for parents. It earns high ratings across categories, including affordability, financial stability, buying process, customer satisfaction and product diversity, reflecting a balance in cost and quality of service. On average, Nationwide's 10-year term policy with $250,000 in coverage costs $16 per month.
Diverse products, including term and whole life policies
Excellent customer satisfaction and financial stability ratings
Offers riders, such as children's term insurance and living benefits
$1.5 million maximum term coverage
Fewer term length options than some competitors
No-exam product availability may vary
Nationwide, with 97 years of experience in the insurance industry, offers many life insurance options for parents. It provides term coverage from $250,000 to $1.5 million. You can choose from 10, 15, 20 or 30-year terms. The company offers term, whole and universal life policies, plus special riders like children's term insurance and living benefits riders.
Nationwide has a user-friendly mobile app and multiple payment options. These features make it a good choice for parents who want reliable, comprehensive life insurance coverage.
GEICO is the best life insurance choice for senior parents, with a MoneyGeek score of 97 out of 100. Through its partnership with Ladder and others, GEICO offers an average $250,000 10-year term policy at $176 monthly.
High financial stability with A++ AM Best rating
Low customer complaint rate
Extensive term coverage up to $8 million through its partners
Limited product diversity
No direct issuance of life insurance policies
No multiple payment options
GEICO has 87 years of insurance experience. It works with partners like Ladder to offer term coverage from $100,000 to $8 million with terms of 10 to 30 years.
GEICO has limited product options but excels in financial stability and customer satisfaction. This makes it a solid choice for senior parents who want straightforward, high-value term life insurance.
The company offers a no-exam product, which appeals to senior parents who want easy and accessible life insurance options.
State Farm is the leading choice for parents seeking whole life insurance, earning a MoneyGeek score of 99 out of 100 in this category. Its century-long experience and comprehensive product range, including a specialized whole life policy, cater to families' long-term security needs. Premiums start around $34 per month, offering reliable lifelong coverage with strong customer support.
A++ AM Best rating ensures financial reliability
Diverse product range, including whole and term life
Offers no-exam insurance options
No 24/7 online chat support for immediate assistance
Limited term lengths for whole life policies
State Farm is the top provider of whole life insurance for parents. With 101 years of insurance experience, State Farm offers many products for parents, including term life, universal life and guaranteed issue final expense insurance. The final expense insurance covers funeral and burial costs.
The company's Limited Pay Whole Life product offers lifelong coverage with level terms of 10, 15 and 20 years, ensuring long-term security for families.
State Farm provides no-exam insurance, a user-friendly mobile app and strong financial stability. These features make it a top choice for parents who want complete and reliable whole life insurance.
Ensure you are getting the best rate for your insurance. Compare quotes from the top insurance companies.
Choosing the right life insurance policy as a parent can feel overwhelming, but this guide makes it easier. Whether you're protecting young children or covering final expenses for aging parents, the sections below walk you through your options. From comparing term and whole life coverage to evaluating cost, service and long-term value, this guide helps you find a plan that fits your family's needs.
Buying life insurance for your parents helps cover possible end-of-life expenses, such as medical and funeral costs. However, purchasing a policy for your parents isn't as simple as getting a policy for yourself. There are multiple steps you need to accomplish.
Below is a simple guide to help you get started.
You can't purchase a policy without your parents' knowledge. You need to ask for their consent.
Start the conversation about life insurance with them. Discuss their options and explain why you are considering enrolling them in a policy.
If they agree to buy life insurance, you can proceed with the next steps.
When buying life insurance on your parents' behalf, you must demonstrate your insurable interest. You have to prove that the death of the person you want to insure will financially impact you.
This process includes submitting identification and a phone interview. Some companies may also require a medical exam.
The best way to find the right life insurance policy is to shop around. Compare policy features, coverage and rates. Ideally, you should get quotes from at least three insurance companies to get a good idea of how much your parents' policy will cost.
Ensure you get proper coverage by calculating possible financial obligations your parents may leave behind. If they're the ones to pay the premiums, ask them how much they can afford. It's also important to check if they have current or anticipated health issues.
Choose the insurance company that gives you the best offer. Ask the agent about the application process. Prepare all necessary information and documents. Verify if a medical exam is required.
Depending on the insurance company, the application may be completed online, over the phone or in person. The approval and activation timeline also varies per insurer.
When completing the application process, working with your parents is best. This ensures they're aware of what their policy covers.
Getting life insurance for your parents requires their permission. You can't purchase a policy on their behalf without their consent. Insurance companies will verify that your parents have approved the purchase to avoid fraud.
The right amount of life insurance depends on coverage needs and circumstances. As a rule of thumb, purchase a policy with coverage amounting to 10 times your parents' salary. However, this doesn't apply to seniors who may no longer be employed.
Below are some considerations that can help evaluate your coverage needs.
According to the National Funeral Directors Association, the U.S. median funeral cost with viewing and burial is $7,848. With rising costs, final expenses can be around $10,000 in the next few years.
So that your loved ones won't be financially burdened, include all debts when calculating the life insurance coverage amount.
Life insurance can help with estate planning. Beneficiaries can use the proceeds from the policy to pay estate or inheritance taxes. Also, life insurance proceeds are typically tax-free.
Life insurance ensures financial protection for new parents' children. To calculate coverage needs, multiply your annual salary by 10. Consider expected or planned financial obligations, such as college funds and mortgages.
Consider your children's possible future expenses, such as special care needs and higher education. If you have student loans and other debt, include them in your calculation to prevent leaving a financial burden on your loved ones.
Insuring elderly parents is harder because of their age. Insurance providers often correlate old age with health concerns. If you must purchase life insurance for elderly parents to cover possible final expenses, policies like simplified issue and guaranteed acceptance are ideal.
Although standard life insurance policies, such as term, whole and universal, are also valid choices, the following are recommended for seniors:
Term life insurance provides temporary coverage for a fixed cost. It's generally the best option for parents because it's affordable compared to other life insurance types. New parents can choose this for lower premiums so they can have extra money to save or invest.
Although seniors may not always get accepted for term life insurance, it's smart to try applying for this first.
Parents looking for coverage that doesn't require a medical exam may find simplified issue life insurance the best option. This type of coverage is ideal for people with serious health concerns.
Applicants may still need to answer some health-related questions depending on the insurance company. Also, insurers may reject applicants.
Since a medical exam isn't required, the application process for simplified-issue life insurance is typically faster. However, premiums are often higher than traditional policies.
Guaranteed acceptance life insurance is a type of whole life insurance that offers approval regardless of the applicant's health status. It doesn't require medical exams or health questions. Most seniors between 50 and 80 get instant approval after completing the application process.
This type of policy is best for those needing coverage but who have been denied simplified issue life insurance due to serious health issues.
Guaranteed acceptance coverage usually has low coverage amounts and high premiums.
Consider various factors when looking for the best life insurance for parents. Shopping around and comparing coverage and features can help you choose the right policy.
For many parents, term life insurance may be the best option. Instead of paying higher premiums for whole life insurance, consider investing the remaining money in a high-interest savings account or low-risk investment.
Life insurance can help pay your parents' final expenses and debts. But it may not be worth it to get it for your parents, especially if you aren't dependent on their income.
Buying insurance for yourself is often a better option. It may also not be worthwhile to purchase life insurance for a parent if you have enough savings to cover final expenses.
Life insurance can be expensive for elderly parents. Instead of paying costly premiums, saving money and investing it in better flexibility may be a better approach. Also, you won't have to deal with complicated paperwork.
Life insurance is a key part of financial planning for parents, whether raising young children or caring for aging loved ones. Nationwide is the best overall provider with affordable premiums and flexible options. GEICO is ideal for senior parents, while State Farm offers top-rated whole life coverage. Compare your goals, budget and policy features to find the right coverage to protect your family’s future.
Depending on your situation, purchasing life insurance for your parents can be beneficial. MoneyGeek answers frequently asked questions about parental life insurance to help you decide.
Based on MoneyGeek’s analysis, Nationwide is the best overall insurance company for parents. Elderly parents may find GEICO the top option, while State Farm is the best for whole life insurance.
Buying life insurance for your parents can be beneficial, depending on your family’s circumstances and needs. For example, purchasing a policy to help cover their medical bills may be a good idea if you're concerned about possible health issues.
No, you need to get your parents’ consent to purchase a life insurance policy on their behalf.
The right coverage amount will depend on your situation. Multiply your salary by 10. Consider your current debts and possible financial obligations, too.
Why Trust MoneyGeek?
We analyzed 1,488 life insurance quotes alongside customer satisfaction, financial stability reports, product offerings and more to determine the best life insurance companies for living benefits.
MoneyGeek created a scoring system to compare life insurance companies across five categories and ranked them based on their scores. We chose to review these companies based on their broad national coverage and ability to provide an online quote.
MoneyGeek’s Scoring System
In our unique scoring system, companies can earn up to five points in each of the five categories below. We then use these category scores to calculate an overall MoneyGeek score out of 100. We applied the following weightings to score insurers:
Each company’s score incorporates the following:
Sample Customer Profile
MoneyGeek used a standard profile to obtain life insurance quotes:
Premiums are based on the standard profile unless otherwise noted.
We modified the profile by age, gender, height, weight, tobacco use, health rating and geographic location to collect various quotes and determine the best life insurance company for several types of customers. We also collected quotes for term life insurance with varying term lengths and coverage amounts.
We identified trends in the dataset and used those patterns to calculate projections and extend the data beyond what was initially collected.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. With over five years of experience analyzing the insurance market, he conducts original research and creates tailored content for all types of buyers. His insights have been featured in publications like CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
Passionate about economics and insurance, he aims to promote transparency in financial topics and empower others to make confident money decisions.
