* Rates shown are estimates of the companies MoneyGeek surveyed based on a 40-year old with average weight and height, non-smoker, average health, 20-year term, and $500,000 coverage. Actual rates may vary by state, health profile, and insurer underwriting. Contact insurers directly for personalized quotes.
Best Term Life Insurance Companies in 2025
Updated: September 26, 2025
Advertising & Editorial Disclosure
Key Takeaways
Term life insurance offers affordable, time-limited coverage, making it ideal for protecting income, paying off debt or securing your family's future.
Legal & General, Pacific Life, and Protective Insurance are top-rated providers offering strong term life options for various budgets and life stages. Other options may be more suitable for you depending on your specific needs.
Premiums and eligibility depend on your age, health and preferred coverage length. Most policies range from 10 to 30 years with fixed monthly payments.
Compare the Best Term Life Insurance Companies
Best For | Company | Avg Monthly Rate | Ages Supported | MoneyGeek Score |
|---|---|---|---|---|
Overall | Legal & General | $38.00 (Female) | 20-75 | 4.7 |
Young Adults | Pacific Life | $39.00 (Female) | 18-75 | 4.69 |
Seniors | Protective Insurance | $36.59 (Female) | 20-80 | 4.67 |
Customer Experience | Guardian Life | $40.00 (Female) | 18-75 | 4.59 |
No Medical Exam | Gerber Life | $46.69 (Female) | 18-70 | 4.54 |
Smokers | North American | $35.00 (Female) | 18-60 | 4.53 |
Multi-product Bundling | Nationwide | $45.00 (Female) | 18-55 | 4.53 |
Affordability | Lincoln Financial | $31.00 (Female) | 18-80 | 4.51 |
Best for Overall: Legal & General
Legal & General
MoneyGeek Rating
4.7/ 5
4.7/5Affordability
4.7/5Customer Experience
4.7/5Coverage Options
Best for Young Adults: Pacific Life
Pacific Life
MoneyGeek Rating
4.7/ 5
4.7/5Affordability
4.6/5Customer Experience
4.9/5Coverage Options
Best for Seniors: Protective Insurance
Protective
MoneyGeek Rating
4.7/ 5
4.8/5Affordability
4.6/5Customer Experience
4.3/5Coverage Options
Best for Customer Experience: Guardian Life
Guardian Life
MoneyGeek Rating
4.6/ 5
4.6/5Affordability
4.9/5Customer Experience
4/5Coverage Options
Best for No Medical Exam: Gerber Life
Gerber
MoneyGeek Rating
4.5/ 5
4.5/5Affordability
4.9/5Customer Experience
4/5Coverage Options
Best for Smokers: North American
North American
MoneyGeek Rating
4.5/ 5
4.8/5Affordability
4.6/5Customer Experience
3.3/5Coverage Options
Best for Multi-product Bundling: Nationwide
Nationwide
MoneyGeek Rating
4.5/ 5
4.4/5Affordability
4.9/5Customer Experience
4.3/5Coverage Options
Most Affordable: Lincoln Financial
Lincoln Financial
MoneyGeek Rating
4.5/ 5
5/5Affordability
3.6/5Customer Experience
4.5/5Coverage Options
What Is Term Life Insurance?
Term life insurance provides coverage for a specified period or "term." You pay fixed premiums throughout the term. If you die during that period, the insurance company pays a death benefit to your beneficiaries.
Term life insurance policies usually range from 10 to 30 years based on your needs. When terms expire, you can renew at higher premiums or convert to permanent life insurance for lifetime coverage.
TERM VS. WHOLE LIFE INSURANCE
Term life insurance policies provide coverage for a specific period at lower premiums, while whole life insurance policies combine lifelong coverage with a cash value component that grows over time. Most people choose term life because it's much cheaper and covers their highest-risk years (when they have mortgages, young children, and peak earning responsibilities). Whole life may make more sense if you want permanent coverage, have maxed out other investment accounts, or need life insurance for estate planning purposes.
How Much Does Term Life Insurance Cost?
Explore these tables to quickly estimate your term life insurance cost. These rate estimates are based on average height, average weight, non-smokers with $500,000 coverage. Your actual rates may vary based on health, lifestyle, and other factors. Rates are also subject to underwriting approval.
Average Term Life Insurance Rates for Females
| 10 years | $18 | $20 | $31 | $65 | $174 | $479 |
| 15 years | $22 | $24 | $38 | $80 | $204 | $442 |
| 20 years | $27 | $29 | $46 | $95 | $250 | No Data |
| 25 years | $43 | $44 | $69 | $156 | No Data | No Data |
| 30 years | $46 | $50 | $79 | $165 | No Data | No Data |
| 35 years | $74 | $76 | $121 | No Data | No Data | No Data |
| 40 years | $110 | $115 | $183 | No Data | No Data | No Data |
Average Term Life Insurance Rates for Males
| 10 years | $23 | $24 | $37 | $87 | $247 | $667 |
| 15 years | $28 | $30 | $46 | $107 | $290 | $633 |
| 20 years | $34 | $36 | $55 | $128 | $354 | No Data |
| 25 years | $55 | $55 | $85 | $212 | No Data | No Data |
| 30 years | $58 | $61 | $94 | $221 | No Data | No Data |
| 35 years | $94 | $97 | $154 | No Data | No Data | No Data |
| 40 years | $141 | $147 | $233 | No Data | No Data | No Data |
Term Life Insurance Cost Factors
Term life insurance plans can have widely ranging costs based on a number of factors, including:
- Age: Your premium increases with each year older you age when applying. A 25-year-old might pay $30 monthly while a 45-year-old could pay $60 for the same coverage amount.
- Health Status: Medical conditions, prescription medications, and overall health directly impact your rates. Insurers require medical exams or health questionnaires to assess your risk level.
- Coverage Amount: Higher death benefits mean higher premiums, but the cost doesn't increase proportionally. Doubling your coverage typically costs less than double the premium.
- Term Length: Longer terms cost more upfront but lock in your rate for the entire period. A 30-year term costs more than a 20-year term but protects against future rate increases.
- Smoking Status: Smokers pay more, often double or triple the rates of non-smokers. Most insurers require you to be tobacco-free for 12 months to qualify for non-smoker rates.
- Gender: Women generally pay lower premiums than men due to longer life expectancy. Some states prohibit gender-based pricing, making rates identical for men and women.
- Lifestyle and Hobbies: Risky activities like skydiving, rock climbing, or motorcycle racing can increase your premiums. Some insurers exclude coverage for deaths related to these activities.
- Credit Score: Most states allow insurers to use credit scores as a rating factor, with better credit leading to lower premiums. A few states like California and Massachusetts prohibit this practice.
How to Choose the Best Term Life Insurance Policy
Here’s what matters most when selecting the best term life insurance policy for your needs:
Coverage Amount
It’s important to first determine how much life insurance coverage you need. Calculate how much your family would need to cover immediate expenses and long-term financial obligations if you died tomorrow. A common rule of thumb is 10-12 times your annual income, but consider your mortgage balance, children's education costs, and your spouse's earning potential.
If you earn $75,000 annually with a $300,000 mortgage and two young children, for example, you might need $750,000 to $1 million in coverage. Don't forget to subtract existing savings and your spouse's income when determining the gap you need to fill.
Term Length
Choose a term that covers your highest-risk financial period, which is usually until your mortgage is paid off and children are financially independent. If you have 20 years left on your mortgage and a 5-year-old child, a 30-year term would ensure coverage through your child's college years.
Longer terms cost more upfront but protect you from health changes that could make you uninsurable later. Consider your timeline: 10-year terms work for short-term debts, while 20-30 year terms suit families with mortgages and young children.
Rates
Compare quotes from at least three insurers, because rates can vary dramatically between companies for the same coverage.
Your health profile might make you a better fit for certain insurers as well. For instance, some providers specialize in people with diabetes, while others offer better rates for athletes or non-smokers.
Don't just focus on the lowest premium. Consider the insurer's rate increase history and whether they offer level premiums that won't change during your term. Remember that the cheapest policy isn't always the best value if the company has poor financial stability or customer service.
Riders and Other Benefits
Focus on riders that address specific concerns rather than adding every option available. Here are some common riders and benefits:
- Accelerated death benefit riders let you access part of your death benefit if diagnosed with a terminal illness.
- Waiver of premium riders continue your coverage if you become disabled and can't work.
- Child term riders provide coverage for your children.
- Conversion options let you switch to permanent coverage later without a medical exam.
Avoid riders you don't need, as they will likely increase your premium and complicate your policy unnecessarily.
Provider Financial Strength
Check the insurer's financial ratings from A.M. Best, which measures their ability to pay claims over time. Look for companies with A+ or A++ ratings, indicating superior financial strength. You should also review customer satisfaction scores from J.D. Power and complaint ratios from state insurance departments to gauge how well they treat policyholders.
A financially strong company with good customer service can help ensure your beneficiaries will receive their payout when needed. A weak insurer, however, might struggle to pay claims during economic downturns.
How Much Term Life Insurance Coverage Do You Need?
Figuring out how much life insurance you actually need can feel overwhelming with so many rules and calculators out there. A commonly used rule of thumb to determine your coverage level when purchasing term life insurance is to multiply your annual income by 10. This number may not be sufficient for families with children, though, because college expenses can add up quickly. Adding $100,000 per child to your coverage is recommended to account for education expenses.
Here are some examples of how much coverage the following profiles may need:
- College student: At 19 with $20,000 in private student loans, a small term policy ($10,000 to $25,000) can cover final expenses and debt that may not be forgiven.
- Single adult: At 35 with $25,000 in debt and no dependents, consider a 15-year term policy around $25,000. Reassess if your life circumstances change.
- Married without children: If both spouses are 35 with no major debts, a policy worth 10 to 12 times the higher earner's income can protect the surviving spouse. Review as life changes.
- Single parent: At 40 with two kids and debt, a term policy of $600,000 to $720,000 (10 to 12 times income) helps cover living costs, education and the mortgage if you pass.
- Married with children: With two kids and a mortgage, a 20-year joint term policy of $1.2 million to $1.44 million ensures your family can manage expenses and maintain its lifestyle.
- Senior: A healthy senior with no dependents can benefit from a $10,000 to $25,000 policy to cover funeral costs and final expenses.
LIVING BEYOND YOUR TERM
If you outlive your term policy, coverage ends unless you renew at higher rates based on your current age. If you need coverage beyond the term, consider permanent life insurance or convert part of your term policy to whole life before expiration. Top term life insurers offer flexible conversion options and competitive rates for transitioning to long-term coverage.
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Best Term Life Insurance Companies: Bottom Line
Term life insurance can affordably protect your loved ones during financially vulnerable years. Whether raising a family, paying off debt or planning for children's education, the right term policy can provide peace of mind.
Legal & General leads MoneyGeek's rankings for the best overall term life insurance, while Lincoln Financial offers the most affordable rates and Pacific Life is the best for young adults. Compare term lengths, coverage amounts and premiums to find coverage that fits your needs and budget.
Term Life Insurance Companies: FAQ
MoneyGeek's experts answered common questions about term life insurance companies and policies.
How does term life insurance work?
Term life insurance provides specific coverage amounts for set periods, from one to 30 years. Your premiums remain fixed throughout the term, and coverage expires when the term ends.
How much does term life insurance cost?
Term life insurance costs vary by age, health, lifestyle, occupation, term length and coverage amount. Younger, healthier applicants pay the lowest premiums.
Which term life insurance is best?
The best term life insurance depends on your coverage amount needs, preferred term length and budget. Compare quotes from top-rated companies to find competitive rates matching your age, health and lifestyle factors.
Can term life insurance be cashed out?
No, term life insurance policies have no cash value and cannot be cashed out. Term policies provide death benefit protection during the coverage period but don't accumulate cash value like permanent life insurance policies.
Can term life insurance be converted to whole life?
Most term life insurance policies include conversion options to whole life insurance without medical exams. Conversion deadlines and coverage limits vary by insurer, so review your policy details and contact your insurance company about specific conversion requirements.
Are term life insurance proceeds taxable?
Term life insurance death benefits are not taxable income for beneficiaries. Exceptions include policies transferred for valuable consideration or proceeds paid to estates subject to estate taxes. Consult a tax professional for guidance on your specific tax situation.
Can you renew a term life insurance policy when the term expires?
Most term life insurance companies offer guaranteed renewability. This means that you can continue coverage when the term expires without a medical exam, but premiums will likely increase based on your current age. For example, a $100 monthly premium might jump to $400 when you renew at age 60. Many insurers limit renewability to age 70-75, and conversion to whole life insurance might be a better option if you still need long-term coverage.
Finding the Best Term Life Insurance Companies: Expert Advice
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Our Review Methodology
Why Trust MoneyGeek?
We analyzed 1,488 life insurance quotes alongside customer satisfaction, financial stability reports, product offerings and more to determine the best term life insurance companies.
MoneyGeek created a scoring system to compare term life insurance companies across three 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
Companies can earn up to five points in each category in our unique scoring system. We then use these category scores to calculate an overall MoneyGeek score out of 100. We applied the following weightings to score insurers:
- Affordability (50%): How competitive and reasonable the provider's premium rates are compared to other insurers in the market.
- Customer Experience (30%): The quality of customer service, claims processing efficiency, and overall satisfaction based on customer feedback and industry ratings.
- Coverage Options (20%): The variety and flexibility of life insurance products offered, including different policy types, riders, and customization features available to meet diverse customer needs.
Each company’s score incorporates:
- Cost data obtained through online quotes
- Financial strength ratings from AM Best and the number of years in business
- Customer satisfaction data from the National Association of Insurance Commissioners (NAIC) customer complaint index
- Availability of tools to aid in the buying process, such as online product materials and multiple payment options
- Diversity of life insurance products offered
Sample Customer Profile
MoneyGeek used a standard profile to get life insurance quotes:
- 40-year-old male
- Nonsmoker
- 5 feet, 9 inches tall, 160 pounds
- Average health rating
Premiums are based on the standard profile unless otherwise noted. In some cases, 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 data set and used those patterns to calculate projections and extend the data beyond what was originally collected.
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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.