Best Term Life Insurance Companies in 2022

For most shoppers, term life is the best life insurance policy option. MoneyGeek analyzed term policy details and real quotes from the largest life insurance providers to help you find the best term life insurance companies at a price that works for your budget.

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Last Updated: 5/30/2022
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Term life insurance is the most popular type of life insurance because of its affordability, and there’s no shortage of companies offering it. Finding the best term life insurance company and policy can be overwhelming, but MoneyGeek is here to make it easier. We compared dozens of companies to help you find the best online term life insurance, coverage for different age groups, coverage without a medical exam and more.

The best term life insurance companies have strong financial ratings and superior customer satisfaction scores. These companies offer the ability to customize your term life insurance policy to meet your needs so you can financially protect your loved ones after you’re gone.

Best Overall Term Life Insurance Company: Mutual of Omaha

Mutual of Omaha

pros

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Unique, free riders included with Term Life Express

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Competitive pricing

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Return of premium feature on select term policies

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Maximum $300k in coverage for Term Life Express

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Only term policies under $1 million can be quoted online

COMPANY HIGHLIGHTS

MoneyGeek Score: 90.8
J.D. Power (out of 1,000): 783.4
AM Best Rating: A+
NAIC Complaint Index: 1.20

MoneyGeek's Take: We chose Mutual of Omaha as the overall best term life insurance company because of its high satisfaction scores, wide range of coverage options, available riders and competitive pricing.

Mutual of Omaha offers two types of term life insurance: fully underwritten and simplified issue. This company’s Term Life Answers is a fully underwritten term life insurance policy with your choice of 10, 15, 20 or 30 years of coverage. Face amounts start at $100,000 and go up to $5 million or more, but you can only quote up to $999,999 online. Issue age starts at 18 and ends at 80 for a 10-year term policy. The maximum issue age for a 30-year term policy is 55. Policies can be renewed annually at your current age up to 95 years old.

Mutual of Omaha’s Term Life Express might be a better-priced option for healthy applicants. Term Life Express is term life insurance with no medical exam, though you have to fill out a questionnaire to be approved without an exam. This policy starts at $25,000 and only goes up to $300,000 in coverage, so it may not be the best choice for those needing higher coverage.

However, the policy comes with several free riders, including living benefits, residential damage waiver of premium, unemployment waiver of premium and common carrier death benefit. If getting your premiums returned at the end of the term is important, consider the 20- or 30-year Term Life Express with a return of premium option.

Policy Types Offered

  • Term Life Answers
  • Term Life Express

Best Online Term Life Company: Haven Life

Haven Life

pros

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Easy online quote and application process

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Many approved for term life insurance with no medical exam

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Credit cards accepted on Haven Simple

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Doesn't provide coverage in CA, DE, SD, ND or NY

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Coverage without a medical exam limited to $500,000

COMPANY HIGHLIGHTS

MoneyGeek Score: N/A
J.D. Power (out of 1,000): N/A
AM Best Rating: A++
NAIC Complaint Index: N/A

MoneyGeek's Take: We chose Haven Life as the best online term life insurance company because of its completely digital application process, competitive pricing and generous underwriting guidelines.

Haven Life only offers term life insurance, and it does so using a 100% digital quote and application process. The company’s Haven Term is medically underwritten and issued by MassMutual or C.M. Life. Haven Simple is a simplified issue term life policy with no medical exam issued by C.M. Life Insurance company, a MassMutual subsidiary.

Thanks to Haven Life's accelerated underwriting, many applicants qualify for no-medical term life insurance, which uses data to verify health and driving records. Most applicants will get an immediate response on their application using this method instead of having to wait weeks after completing a medical exam to know if they’re approved.

Haven Simple is available to applicants aged 20–55 in coverage amounts between $25,000 and $500,000. Term options are five, 10, 15 and 20- years. Though Haven Term may require a medical exam, it comes with more options. Applicants up to 64 years old can apply for up to $3 million in coverage. Term lengths vary between 10 and 30 years.

Both policies include level premiums for the life of the policy and an accelerated death benefit rider at no extra cost. The rider allows you to access up to 75% of the death benefit while you’re still alive if you are diagnosed with a terminal illness. This rider reduces the death benefit but gives you tax-free money to use as you wish. Applicants under 50 can purchase the "waiver of premium for disability" rider in select states.

Policy Types Offered:

  • Haven Simple
  • Haven Term

Best for Product Diversity at Competitive Rates: Nationwide

Nationwide

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Online quotes available

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Several term lengths and riders to choose from

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Choose your payment frequency

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Most require medical exams

COMPANY HIGHLIGHTS

MoneyGeek Score: 88.6
J.D. Power (out of 1,000): 785.5
AM Best Rating: A+
NAIC Complaint Index: 0.10

MoneyGeek’s Take: Nationwide is one of the best term life insurance companies offering rider availability and term flexibility with competitive rates in various health classes.

Nationwide Guaranteed Level Term life insurance offers competitive rates with lots of flexibility, so you can customize the policy to meet your unique needs. Nationwide’s term life insurance policy is available in 10-, 15-, 20- or 30-year terms. Each policy can be annually renewed until age 95 and converted to a permanent policy up until the end of the term.

Coverage starts at $100,000 and is not capped as long as you can prove your financial needs for coverage. The minimum age for term coverage is 18, with a maximum age of 50 for 30-year policies, 65 for 20-year policies and 70 for 10-year policies. Nationwide allows you to choose your payment frequency, which can be monthly, quarterly, semi-annual or annual.

At Nationwide, you can tailor your term life insurance with riders. Consider a living benefit rider if you want access to the death benefit if you are diagnosed with a serious illness. Chronic, critical and terminal illness riders are available through Nationwide. The children’s term insurance rider provides coverage to each of your children, adopted children or stepchildren between the ages of 15 days and 22 years old, or until they are married. Nationwide also offers the premium waiver rider, which waives your premiums if you become disabled, though you must wait six months before the benefit kicks in.

Policy Types Offered:

  • 10-year term
  • 15-year term
  • 20-year term
  • 30-year term

Best Term Life Policy Customer Service: State Farm

State Farm

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#1 in customer service according to J.D. Power

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In-person, over the phone and online service

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Wide range of term policies available

cons

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Not all customer service options are available 24/7

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Customer service varies for other insurance products

COMPANY HIGHLIGHTS

MoneyGeek Score: 97.4
J.D. Power (out of 1,000): 820.5
AM Best Rating: A++
NAIC Complaint Index: 0.19

MoneyGeek's Take: State Farm ranks #1 in the 2020 J.D. Power Life Insurance Study for customer service, making it our top choice for this category.

State Farm's customer service is unmatched, according to customer rankings with J.D. Power. The insurer outranked 22 other life insurers to amass 838 points out of a possible 1,000 in its Life Insurance Study. Insureds and prospective applicants can contact State Farm in person, online or over the phone to ask questions, apply for insurance and file claims. The carrier also comes in above average in J.D. Power’s most recent auto and home studies, making it one of the best term life insurance choices for those wanting to bundle policies.

State Farm has multiple options for term life insurance, including Instant Answer Term — life insurance with no medical exam — and return-of-premium term (which we discuss more in detail in a later section). Insureds can choose between 10, 20 and 30 years in coverage length, with death benefit amounts starting at $100,000. Current auto insurance customers can get a discount on their policy if they also buy a State Farm Select Term life insurance policy. Eligible riders for term life insurance include a select term rider for you or your spouse, a children’s term rider and a waiver of premium for disability.

Policy Types Offered:

  • 10-year term
  • 20-year term
  • 30-year term
  • Return of Premium Term Life 20
  • Return of Premium Term Life 30
  • Instant Answer Term

Best Term Life Company for Seniors: Transamerica

Transamerica

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Generous underwriting guidelines provide competitive rates for seniors

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Many seniors can qualify for small amounts of coverage with no medical exam

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Coverage offered up to age 80, with some over 80 still qualifying

cons

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Not available in New York

COMPANY HIGHLIGHTS

MoneyGeek Score: 80
J.D. Power (out of 1,000): 736.4
AM Best Rating: A
NAIC Complaint Index: 1.30

MoneyGeek's Take: Transamerica is MoneyGeek's choice for the best term life insurance for seniors because it allows coverage up to age 80, and some may qualify with no medical exam.

Seniors can have difficulty getting term life insurance beyond 10 years in coverage, but not with Transamerica. The two Transamerica term life insurance policies — Trendsetter LB and Trendsetter Super Series — offer coverage up to age 80. Term lengths are in five-year increments from 10–30 years, with seniors able to get a 30-year term policy up to age 58. Some seniors over 80 can still get term life insurance with Transamerica depending on their health and coverage needs.

For a senior with a pre-existing condition that might disqualify them for medically underwritten term life insurance, Transamerica offers some coverage under both term policies with no medical exam. Seniors between 56 and 60 can get up to $249,999 with Trendsetter LB, and ages 61–70 can get up to $50,000 in senior term life insurance with no medical exam on the Trendsetter Super Series policy. With Transamerica’s generous senior underwriting guidelines, many seniors can get competitive rates for term life insurance, which is rare for this age group wanting temporary life insurance coverage.

Policy Types Offered:

  • Trendsetter LB
  • Trendsetter Super Series

Best Term Life Company for Young Adults: MassMutual

MassMutual

pros

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Some frontline healthcare workers eligible for free three-year term coverage

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Telehealth interview speeds up the underwriting process

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Many qualify for term life insurance with no medical exam

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Best term life insurance rates for young adults

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Limited riders

COMPANY HIGHLIGHTS

MoneyGeek Score: 84.5
J.D. Power (out of 1,000): 758.1
AM Best Rating: A++
NAIC Complaint Index: 0.07

MoneyGeek's Take: When comparing rates, we found MassMutual to have the best term life insurance rates for young adults, many of whom qualify with no medical exam.

MassMutual makes it easy for young adults to get coverage at some of the lowest rates available. Applicants can choose MassMutual’s Direct Term policy, which offers term life insurance with no medical exam. The entire process is done online and takes about 20 minutes to get a decision after answering some questions about your health and lifestyle.

MassMutual Direct Term coverage is for healthy applicants between 18 and 64 needing coverage from $100,000 to $3 million. Eligible healthcare workers up to age 50 can secure a free $25,000 three-year term life insurance policy with no medical exam from MassMutual through its HealthBridge program.

MassMutual also offers a medically underwritten term life insurance policy called Vantage Term. Applicants can choose between 10 and 30 years in coverage in five-year increments. For this policy, a telehealth interview is required over the phone after submitting the application, which takes about 20 minutes. You will then have to complete a medical exam, which can be done at a lab or your home. MassMutual's telehealth interview process speeds up the exam and allows the company to make a decision faster than other companies using the traditional underwriting process.

Policy Types Offered:

  • Vantage Term - Annually Renewable Term
  • Vantage Term - 10
  • Vantage Term - 20
  • Vantage Term - 30
  • Vantage Direct Term

Best for Return of Premium Term Life Insurance: State Farm

State Farm

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20- or 30-year term options

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Riders for disability and children’s term offered

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Builds cash value

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Not available in Massachusetts

COMPANY HIGHLIGHTS

MoneyGeek Score: 97.4
J.D. Power (out of 1,000): 820.5
AM Best Rating: A++
NAIC Complaint Index: 0.19

MoneyGeek's Take: State Farm offers one of the best customizable return of premium life insurance policies in the industry. If you outlive your term life insurance, you’ll receive 100% of the premiums back, no questions asked.

One disadvantage to term life insurance is the sunk cost if you outlive the policy. State Farm makes up for it by offering return of premium term life insurance. If you outlive your return of premium term life insurance, you get all the premiums back as long as they were paid and the death benefit was not issued when the policy ends. Coverage begins at $100,000, and you have the option to renew the policy annually past the term, up to age 95. If you want to convert some or all of the death benefit to a permanent life insurance policy, you can do so up to age 75.

If you are between 18–45, you can purchase up to 30 years of term coverage. Applicants up to age 60 can apply for a 20-year term life policy. What makes State Farm’s return of premium the best term life insurance policy is the cash value it accrues, which usually isn’t an option with term life insurance.

The policy offers a children’s term rider and waiver of premium for disability, which is available up to age 59 (or age 45 on a 30-year term). You can borrow against or withdraw the cash value, but it reduces your death benefit and return of premium amount if not paid back before the policy ends or a claim is filed. Returned premiums are tax-free, but rider premiums could be taxable.

Policy Types Offered:

  • Return of Premium Term Life 20
  • Return of Premium Term Life 30

Best Term Life with No Medical Exam: Globe Life

Globe Life

pros

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$1 first month coverage

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Term coverage up to age 90

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Online process with instant decision

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Rate schedule based on current age

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Limited coverage

COMPANY HIGHLIGHTS

MoneyGeek Score: 95
J.D. Power (out of 1,000): 810.4
AM Best Rating: A
NAIC Complaint Index: 1.30

MoneyGeek's Take: We recommend Globe Life as the best term life insurance with no medical exam because it’s easy to get covered, and it only costs $1 for the first month.

Globe Life's term life insurance offering differs from other carriers. With Globe Life, you can choose from term life coverage of $5,000, $10,000, $20,000, $30,000, $50,000 or $100,000. All term policies are renewable in five-year brackets. For example, if you buy a policy at 36, your premiums stay the same until you turn 40 and renew again at 45. The policy is renewable to age 90, and rates are guaranteed for as long as you keep the policy in force. Globe Life offers term life with no medical exam, and all policies cost just $1 for the first month of coverage.

At Globe Life, you get a simple, no-frills term life insurance policy. There are no riders or other ways to customize your policy, though you could be eligible to increase your coverage if you haven’t already maxed out your death benefit amount. The application takes a few minutes to complete, and a decision is made within minutes. There is no waiting period for coverage if you are approved, with full access to the death benefit from day one.

Policy Types Offered:

  • Five-year renewable term

Best Term Life Company Comparison Summary

Compare the features of the best term life insurance companies in the table below.

  • Companies
    AM Best Rating
    J.D. Power Score (out of 1,000)
    Coverage Levels
    Term Lengths
    Ages
  • Mutual of Omaha
    Best Overall

    A+

    783.4

    Term Life Answers: $100,000 to $5 million+

    Term Life Express: $25,000–$300,000

    • 10 years
    • 15 years
    • 20 years
    • 30 years

    18–80

  • Haven Life
    Best Online Term
    Life Company

    A++

    N/A

    Haven Simple: $25,000–$500,000

    Haven Term: up to $3 million

    • Five years
    • 10 years
    • 15 years
    • 20 years
    • 25 years
    • 30 years

    Haven Simple: 20–55

    Haven Term: up to 64

  • Nationwide
    Best for Product Diversity
    at Competitive Rates

    A+

    785.5

    $100,000 and up

    • 10 years
    • 15 years
    • 20 years
    • 30 years

    18–70

  • State Farm
    Best Term Life
    Policy Customer Service

    A++

    820.5

    $100,000 and up

    • 10 years
    • 20 years
    • 30 years

    18–60

  • Transamerica
    Best Term Life
    Company for Seniors

    A

    736.4

    $25,000 to $10 million

    • 10 years
    • 15 years
    • 20 years
    • 25 years
    • 30 years

    Up to 80

  • Mass Mutual
    Best Term Life Company
    for Young Adults

    A++

    758.1

    $100,000 to $3 million

    • 10 years
    • 15 years
    • 20 years
    • 25 years
    • 30 years

    18–79

  • State Farm

    Best for Return
    of Premium

    A++

    820.5

    $100,000 and up

    • 20 years
    • 30 years

    18–60

  • Globe Life
    Best Term Life
    with No Medical Exam

    A

    810.4

    • $5,000
    • $10,000
    • $20,000
    • $30,000
    • $50,0000
    • $100,000
    • Five-year renewable term

    18–90

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Term Life Quotes from the Top Companies

When buying term life insurance, it helps to see what others are paying before you dive into getting quotes yourself. Below are several quote tables to show you pricing from the top companies offering term life insurance.

The first table shows what the average person will pay for a 10-year term policy, broken up by age and coverage amount. You can use the second table to compare the same age and coverage amount with 20 years of coverage. In the last two tables, you can see actual rates we received from various companies for 10 and 20 years of coverage.

The rates below are averages for healthy, 40-year-old nonsmoking men and women.

Average Term Life Cost by Age and Coverage Amount: 10-Year

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  • Policyholder Age
    $250k/10-Year
    $500k/10-Year
    $1M/10-Year
  • 30
    $14.75
    $18.44
    $32.05
  • 40
    $18.72
    $24.80
    $45.21
  • 50
    $36.67
    $55.28
    $99.51
  • 60
    $81.52
    $137.14
    $258.18
Average Term Life Cost by Age and Coverage Amount: 20-Year

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  • Policyholder Age
    $250k/20-Year
    $500k/20-Year
    $1M/20-Year
  • 30
    $18.09
    $24.82
    $46.65
  • 40
    $25.50
    $36.91
    $72.67
  • 50
    $57.31
    $92.27
    $175.62
  • 60
    $145.89
    $250.93
    $486.80
Term Life Cost by Company for a 10-Year Policy

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  • Term Life Cost by Company
    $250k
    $500k
    $1M
  • 1.
    AAA
    $16.06
    $23.98
    $40.48
  • 2.
    Mass Mutual
    $14.04
    $21.11
    $33.07
  • 3.
    Mutual of Omaha
    $15.92
    $23.66
    $41.89
  • 4.
    Nationwide
    $16.08
    $20.57
    $31.50
  • 5.
    Progressive
    $19.69
    $30.46
    $84.40
  • 6.
    Prudential
    $35.45
    $32.32
    $63.14
  • 7.
    State Farm
    $21.11
    $29.79
    $44.84
  • 8.
    Transamerica
    $11.40
    $16.56
    $22.36
Term Life Cost by Company for a 20-Year Policy

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  • Term Life Cost by Company
    $250k
    $500k
    $1M
  • 1.
    AAA
    $23.43
    $37.18
    $65.56
  • 2.
    Mass Mutual
    $20.67
    $33.94
    $60.91
  • 3.
    Mutual of Omaha
    $21.29
    $34.41
    $63.37
  • 4.
    Nationwide
    $22.10
    $32.82
    $57.75
  • 5.
    Progressive
    $28.50
    $47.42
    $136.16
  • 6.
    Prudential
    $47.94
    $45.65
    $89.80
  • 7.
    State Farm
    $23.49
    $36.77
    $61.34
  • 8.
    Transamerica
    $16.56
    $27.09
    $46.44

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How Does Term Life Work and Why Is It Best for Most Shoppers?

Term life is the simplest and most affordable form of life insurance. It provides a guaranteed death benefit for a specified number of years with a level premium for the life of the policy. When the policy expires, you can let it end, renew the policy or convert part or all of the death benefit to a permanent life insurance policy.

Term life is the best for most shoppers because it’s inexpensive and serves a temporary purpose. Most people have more temporary than permanent life insurance needs, so it makes sense to cover a temporary need with temporary life insurance. For example, if you want to cover your 30-year mortgage, you could buy a 30-year term life insurance policy. There is no limit to how many life insurance policies you can have, so you can choose one policy to cover all of your needs or several policies to cover individual temporary needs.

See also: How does life insurance work?

What’s the Difference Between Term and Whole Life?

The most significant differences between term and whole life are the costs of their premiums and length of time the policy stays in force. Whole life insurance is almost always more expensive than term life because it offers level premiums for the rest of your life. Whole life insurance doesn’t expire like term does unless you stop making payments and let the policy lapse. Unless you buy return of premium life insurance from a company like State Farm, you also won’t get cash value savings in a term policy like you can with whole life insurance.

How to Choose the Best Term Life Policy for You

Choosing the best term life insurance policy can be difficult. Follow the steps below to ensure you purchase the coverage you need at a price point you can afford.

1

Determine which features are most important to you.

These will be different for everyone — it’s crucial that you take time to consider the coverage needs that are best for you and your family before purchasing a policy.

2

Assess how much coverage you need.

Be sure to purchase enough coverage to cover the cost of current and future liabilities, like future childcare, college funds and salary replacement.

3

Get quotes from several companies.

Be sure to [compare life insurance quotes]https://www.moneygeek.com/insurance/life/compare-life-insurance/) for the same coverage limits and terms.

4

Consider customer service scores and financial rankings.

The better a company’s customer service scores through third parties like J.D. Power, the better your experience with them will likely be. A company’s financial score will show how easily it can pay out life insurance claims, which are higher per claim than auto and home insurance. Consider companies with an excellent or better financial score to ensure they can meet their financial obligations and pay your benefit if you die during your term coverage.

How Much Term Life Insurance Do You Need?

Once you know how much term life insurance you need, you can choose the best term life insurance policy to fit those needs.

You can use an online calculator to estimate how much coverage you need.

Alternatively, you can write down all your assets and liabilities, including future childcare, college funds and salary replacement. Then, subtract your assets from your liabilities. This number is how much life insurance you'll need to cover your current and future liabilities.

What Happens if You Live Beyond Your Term Period?

If you live beyond your term period, the policy expires, and you no longer have coverage. Some companies offer the option to renew your term life insurance each year, but this is usually expensive as renewal rates are based on your current age and not the age you took out the policy.

If you need life insurance beyond the term period, you may want to consider purchasing permanent life insurance for that amount of coverage. Converting some of your term life insurance death benefit to a whole life insurance policy before the term expires is also a good option.

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FAQs About the Best Term Life Insurance Companies

There can be some confusion about term life insurance, especially regarding its costs and how this type of policy works. Understanding the answers to some common questions regarding term life insurance can help you find the best insurer and policy for your needs.

Methodology

We go the extra distance so that you can feel confident about the life insurance content you read on MoneyGeek. Our ranking for the best term life insurance companies incorporates third-party analysis from AM Best and J.D. Power and Associates, real policy quotes from our proprietary research and analysis of each company’s policy offerings and application process. To learn more, visit our complete methodology page.

About the Author


expert-profile

Mandy Sleight is a professional freelance writer and licensed insurance agent. She has her property, casualty, life, and health licenses and has been working in the industry since 2005. Mandy has worked for well-known insurance companies like State Farm and Nationwide Insurance, and most recently as the Operations Coordinator for a start-up employee benefits company.

Mandy earned her Bachelor of Science degree in Business Administration and Management from the University of Baltimore and her Master in Business Administration from Southern New Hampshire University. She uses her vast knowledge of the insurance industry and personal finance combined with her writing background to create easy-to-understand and engaging content to help readers make smarter choices with their budget and finances.


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