Updated: May 22, 2024
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If you have a life insurance policy, your family won’t have to face financial hurdles after your death. There are many insurers offering life insurance quotes in New Jersey. If you want the most affordable policy, shopping around and comparing rates is advisable.
MoneyGeek researched the insurance companies offering the best life insurance based on your age, gender, lifestyle choices and other important factors. Our guide can help you decide which one is the ideal option for you.
BestLife InsuranceNewark, NJBest Life Insurance Companies in Newark, NJ, for 2023
Your gender and policy amount have significant effects on your insurance rates. In Newark, Transamerica’s policies are the cheapest option for men looking for $250K worth of coverage, costing an average of $7 per month. MassMutual provides the most affordable $250K coverage policy for women, charging an average of $6 per month.
Although a $250K coverage policy will cost you less, it may not provide enough coverage. MoneyGeek recommends buying a policy with at least $965K worth of coverage in Newark. We determined this amount based on the analysis of the cost of living, average income, average personal debt, average age and other state-specific factors.
Based on our analysis, Nationwide offers the most affordable $965K coverage policy for both men and women, charging an average of $18 and $12 per month, respectively.
Cheapest For | $250K Coverage | $965K Coverage (Recommended) |
|---|---|---|
Male | Transamerica | Nationwide |
Female | MassMutual | Nationwide |
The gender of the policyholder significantly impacts the insurance policy cost. MoneyGeek’s data shows that men in Newark pay about 25% less than the average cost of a policy in New Jersey, while women pay 34% less.
On average, men in the city pay $13 per month for a $250K coverage policy. Meanwhile, women pay roughly $11 per month for a policy with the same coverage.
This cost will change if you choose a policy with the state’s recommended coverage amount. In New Jersey, MoneyGeek recommends buying a policy with $965K worth of coverage. We determined this amount after analyzing several factors, such as per capita income from the U.S. Bureau of Economic Analysis, average mortgage debt, average personal debt and average age.
Our research shows that men in Newark pay an average of $35 per month for this coverage amount, while women pay an average of $29 per month.
On the other hand, the average cost of a 10-year term policy for men is $20 per month. For women, a 10-year term policy costs an average of $17 per month.
| Nationwide | Rates for $250K Coverage$9 | Rates for $926K Coverage (Recommended) $18 |
| MassMutual | Rates for $250K Coverage$8 | Rates for $926K Coverage (Recommended) $18 |
| Transamerica | Rates for $250K Coverage$7 | Rates for $926K Coverage (Recommended) $18 |
| Mutual of Omaha | Rates for $250K Coverage$9 | Rates for $926K Coverage (Recommended) $20 |
| AAA | Rates for $250K Coverage$10 | Rates for $926K Coverage (Recommended) $23 |
| Nationwide | Rates for $250K Coverage$7 | Rates for $926K Coverage (Recommended) $12 |
| MassMutual | Rates for $250K Coverage$6 | Rates for $926K Coverage (Recommended) $12 |
| Mutual of Omaha | Rates for $250K Coverage$7 | Rates for $926K Coverage (Recommended) $13 |
| Transamerica | Rates for $250K Coverage$8 | Rates for $926K Coverage (Recommended) $21 |
| State Farm | Rates for $250K Coverage$13 | Rates for $926K Coverage (Recommended) $30 |
Life insurance policy costs were determined by gathering 10-year term quotes from major life insurance companies in Newark using average buyer profile statistics, including the average age of 32, the average weight of 181 pounds for males and 144 pounds for females, and an average coverage need of $965,000.
Since women tend to outlive men, insurers usually charge them lower rates for life insurance. Some factors contributing to the shorter lifespan of men are risky behaviors, dangerous jobs and a higher risk of developing heart disease.
However, some studies show that men buy more life insurance policies than women. A life insurance policy is also an excellent option for women. It can save their family from financial suffering after death, settle their debts and help them leave behind a legacy.
In New Jersey, the three most popular life insurance companies are Prudential Financial Inc. (10%), MassMutual (8%) and Northwestern Mutual (8%), considering their market share. MoneyGeek's data shows that the seven most popular companies in the state make up around 49% of the insurance market.
See the table below, which lists the state's seven most popular insurance companies.
| Prudential | Market Share10% |
| MassMutual | Market Share8% |
| Northwestern Mutual | Market Share8% |
| Guardian | Market Share8% |
| Lincoln Financial | Market Share6% |
A company’s market share shows the percentage of its sales relative to other companies in the industry. If an insurer has the highest market share, it has sold the most policies and is highly popular among customers.
The market share data included in MoneyGeek’s analysis is based on total premiums written in the state and derived from 2020 S&P Global data reports.
Insurers generally charge between an average of $13 per month and $21 to insure young people in Newark. MoneyGeek’s research shows the following companies offer the cheapest policies for young people in the city:
In the table below, we have listed other insurers offering cheap policies for young people.
| Transamerica | Monthly Cost$13 |
| MassMutual | Monthly Cost$15 |
| Mutual of Omaha | Monthly Cost$15 |
| AAA | Monthly Cost$17 |
| State Farm | Monthly Cost$18 |
Rates were determined by analyzing quotes for a 25-year-old male non-smoker in Newark who is 5 feet 10 inches and 154 pounds that purchases a 20-year term contract at the average coverage need of $380,000. We chose a 20-year term to provide a longer coverage period for a younger buyer.
Insurance companies generally charge lower rates to young people (25 years or younger). However, as you get older, your premiums increase. That’s why buying life insurance at a young age is one of the best ways to save money on insurance premiums.
In Newark, the cost of a life insurance policy for seniors can range from an average of $30 to $65 per month. MoneyGeek found that the following insurers offer the most affordable policies for seniors in the city:
In the table below, we listed the best life insurance companies for seniors in Newark.
| Transamerica | Monthly Cost$30 |
| MassMutual | Monthly Cost$32 |
| Nationwide | Monthly Cost$33 |
| AAA | Monthly Cost$34 |
| State Farm | Monthly Cost$35 |
Rates were determined by analyzing quotes for a 60-year-old male non-smoker in Newark who is 5 feet 10 inches and 181 pounds that purchases a 10-year term contract at the average coverage need of $113,000.
Insurers consider it risky to insure seniors as their life insurance policy is expected to outlive them. However, even a policy with less coverage is usually sufficient for seniors as their family typically isn’t financially dependent on them. Most of their insurance covers their medical bills and funeral and burial costs. That’s why MoneyGeek’s sample policy coverage for seniors is lower than for other groups.
If you’re a smoker, expect to pay between an average of $107 and $196 per month for a life insurance policy in Newark. MoneyGeek’s research shows the following insurers offer the most affordable policies for smokers in the city:
In the table below, we have listed other insurers offering the best life insurance for smokers.
| Transamerica | Monthly Cost$107 |
| State Farm | Monthly Cost$126 |
| MassMutual | Monthly Cost$127 |
| Nationwide | Monthly Cost$133 |
| Mutual of Omaha | Monthly Cost$134 |
Rates were determined by analyzing quotes for a 32-year-old male smoker in Newark who is 5 feet 10 inches and 181 pounds that purchases a 20-year term contract at the average coverage need of $965,000. If you are a smoker, we suggest buying a longer-term (20-year) policy to provide longer coverage as rates for smokers increase dramatically as you age.
Since smokers are more likely to develop lung disease, insurers consider them risker to cover. However, it’s still possible to find cheap life insurance policies for smokers by shopping around. If you’re a smoker, MoneyGeek recommends buying a longer 20-year term policy for extended coverage as your rates will increase significantly later in life.
Ensure you are getting the best rate for your insurance. Compare quotes from the top insurance companies.
MoneyGeek determined the recommended life insurance coverage by factoring in per capita income from the U.S. Bureau of Economic Analysis, average mortgage debt, average personal debt and average age. Keep in mind that each buyer is unique and may need more or less coverage depending on their specific circumstances.
