Depending on whether you choose term or permanent life insurance, your rates can vary widely because of different policy features and coverage durations. The sections compare the average costs for different types of life insurance:
Life Insurance
Average Life Insurance Rates
Updated: September 11, 2025
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Key Takeaways
Average life insurance rates depend on policy type, with term policies being most affordable. For $500,000 coverage, average monthly rates are $53 for 20-year term, $69 for no-exam, $667 for whole life and $294 for universal life insurance.
Permanent life insurance costs more than term life insurance because permanent policies provide lifelong financial protection with guaranteed death benefits and cash value accumulation, while term policies offer temporary coverage. Costs increase based on your coverage level.
Lifestyle and health status significantly affect life insurance costs. Smokers and applicants with health conditions pay higher premiums than nonsmokers and those in good health.
How Much is Life Insurance?
Term | $53
| $606
|
No-exam
| $69
| $832
|
Whole
| $667
| $8,009
|
Universal
| $294
| $3,528
|
*The rates above are averages for our base profile: 40-year-old male nonsmoker with average weight and health level, and a $500,000 policy. For term life insurance, we used 20-year term length quotes. Actual life insurance prices vary depending on the applicant's profile and the insurance company.
Average Term Life Insurance Rates
Policy term length significantly affects life insurance rates. A 40-year-old man seeking a 10-year term life insurance policy with $500,000 coverage pays an average of $33 monthly. The same applicant choosing a 20-year term life insurance policy pays $53 monthly for identical coverage.
Compare term life insurance rates by term length using the chart:
| 10 years | $33 | $382 |
| 15 years | $43 | $494 |
| 20 years | $53 | $606 |
| 25 years | $70 | $840 |
| 30 years | $87 | $1,000 |
| 35 years | $101 | $1,216 |
| 40 years | $148 | $1,777 |
*The average life insurance rates above are averages for our base profile: a 40-year-old male nonsmoker with an average weight and health level and a $500,000 policy. Actual prices vary depending on the applicant's profile and the insurance company.
Term Life Insurance Rates by Coverage Amount
Higher coverage amounts increase life insurance prices. $250,000 life insurance coverage costs less than $500,000 life insurance coverage, which costs less than $1 million in life insurance coverage.
The chart compares average monthly life insurance costs for different coverage amounts by age:
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Term Length:20 years
| $100,000 | $18 | $206 |
| $150,000 | $24 | $294 |
| $200,000 | $30 | $347 |
| $250,000 | $30 | $362 |
| $300,000 | $35 | $406 |
| $350,000 | $35 | $416 |
| $400,000 | $45 | $516 |
| $450,000 | $43 | $519 |
| $500,000 | $53 | $606 |
| $550,000 | $48 | $580 |
| $600,000 | $61 | $696 |
| $650,000 | $56 | $677 |
| $700,000 | $65 | $479 |
| $750,000 | $73 | $882 |
| $800,000 | $79 | $906 |
| $850,000 | $72 | $871 |
| $900,000 | $88 | $1,008 |
| $950,000 | $80 | $967 |
| $1,000,000 | $94 | $1,086 |
| $1,250,000 | $96 | $1,157 |
| $1,500,000 | $138 | $1,590 |
| $2,000,000 | $182 | $2,096 |
| $2,500,000 | $245 | $1,441 |
| $3,000,000 | $271 | $3,112 |
*The term life insurance rates above are averages for our base profile: a 40-year-old male nonsmoker with an average weight and health level. Actual life insurance prices vary depending on the applicant's profile and the insurance company.
Term Life Insurance Costs by Gender
Insurance companies charge men more for life insurance because of statistical life expectancy differences. Men typically have shorter lifespans than women, which insurers consider a higher risk factor. The table shows the average monthly life insurance policy cost for female and male policyholders for different coverage amounts:
Some states restrict or prohibit the use of gender in life insurance pricing. Rates in your state may vary based on local regulations.
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Term Length:10 years
| Female | $28 | $336 |
| Male | $33 | $382 |
*The rates above are averages for 40-year-old nonsmokers with average weight and health ratings. Actual term life insurance rates vary depending on the applicant's profile and the insurance company.
Average Term Life Insurance Rates by Age
Age significantly influences term life insurance costs. Older applicants represent higher risk to insurers, increasing coverage costs. Consider buying life insurance at a younger age when prices are more affordable and you can lock in lower rates.
The chart shows how life insurance rates differ by age:
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Age:40
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Gender:Male
| 10 years | $33 | $382 |
| 15 years | $43 | $494 |
| 20 years | $53 | $606 |
| 25 years | $70 | $840 |
| 30 years | $87 | $1,000 |
| 35 years | $101 | $1,216 |
| 40 years | $148 | $1,777 |
*The life insurance prices above are based on quotes for a $500,000 policy for nonsmokers with average weight and health ratings. Actual rates vary depending on the applicant's profile and the insurance company.
Term Life Insurance Average Rates for Smokers
Smoking impacts term life insurance rates due to health risks associated with tobacco use. Insurers classify smokers as higher-risk applicants because smoking increases the likelihood of developing heart disease, lung cancer and other serious illnesses. Use our table below to find average rates for smokers.
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Gender:Male
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Coverage Level:$500,000
| 10 years | $105 | $1,267 |
| 15 years | $130 | $1,567 |
| 20 years | $160 | $1,924 |
| 25 years | $237 | $2,849 |
| 30 years | $267 | $3,202 |
| 35 years | $333 | $3,992 |
| 40 years | $495 | $5,966 |
*The life insurance rates above are averages for 40-year-old smokers with average weight and health ratings. Actual costs vary depending on the applicant's profile and the insurance company.
Term Life Insurance Policy Rates for Poor Health
Your health rating provides a snapshot of your overall well-being and potential risk to the insurer. Excellent health often translates to lower risk and reduced life insurance premiums. Conversely, poor health indicates a higher risk, leading to increased rates. The table shows how health impacts life insurance costs:
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Gender:Male
Select
Coverage Level:$500,000
| 10 years | $43 | $493 |
| 15 years | $54 | $628 |
| 20 years | $67 | $775 |
| 25 years | $89 | $1,076 |
| 30 years | $111 | $1,282 |
| 35 years | $127 | $1,529 |
| 40 years | $201 | $2,423 |
*The term life insurance rates above are averages for 40-year-old nonsmokers with average weight and poor health. Actual life insurance prices vary depending on the applicant's profile and the insurance company.
Average Cost of Term Life Insurance for People Who Are Overweight
Insurers consider weight in life insurance pricing due to its connection with overall health and life expectancy. People who are overweight or obese are considered higher risk for conditions like heart disease, diabetes and high blood pressure. Overweight applicants face higher premiums due to these health risk factors.
The table shows average term life insurance rates for overweight applicants:
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Gender:Male
Select
Coverage Level:$500,000
| 10 years | $53 | $614 |
| 15 years | $69 | $794 |
| 20 years | $84 | $973 |
| 25 years | $112 | $1,348 |
| 30 years | $139 | $1,604 |
| 35 years | $163 | $1,951 |
| 40 years | $237 | $2,852 |
*The rates above are averages for 40-year-old nonsmokers with average health, but who are overweight. Actual term life insurance rates vary depending on the applicant's profile and the insurance company.
Term Life Insurance Rates by State
Life insurance rates depend mainly on personal factors like age and health, but location can also make a difference. Each state has its own insurance regulations, market conditions and level of competition among insurers, potentially cauing premiums to vary.
The table highlights the average monthly cost of term life insurance by state, showing how where you live may affect your rates:
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Age:40
Select
Coverage Amount:$500K
| Alabama | $ 25 | $ 34 |
| Alaska | $ 28 | $ 36 |
| Arizona | $ 43 | $ 62 |
| Arkansas | $ 35 | $ 48 |
| California | $ 30 | $ 39 |
| Colorado | $ 29 | $ 41 |
| Connecticut | $ 19 | $ 25 |
| Delaware | $ 26 | $ 38 |
| Florida | $ 25 | $ 34 |
| Georgia | $ 40 | $ 57 |
| Hawaii | $ 25 | $ 36 |
| Idaho | $ 36 | $ 52 |
| Illinois | $ 27 | $ 36 |
| Indiana | $ 39 | $ 53 |
| Iowa | $ 39 | $ 57 |
| Kansas | $ 41 | $ 59 |
| Kentucky | $ 22 | $ 30 |
| Louisiana | $ 40 | $ 55 |
| Maine | $ 23 | $ 32 |
| Maryland | $ 19 | $ 24 |
| Massachusetts | $ 24 | $ 36 |
| Michigan | $ 26 | $ 35 |
| Minnesota | $ 26 | $ 35 |
| Mississippi | $ 39 | $ 51 |
| Missouri | $ 24 | $ 33 |
| Montana | $ 24 | $ 32 |
| Nebraska | $ 25 | $ 36 |
| Nevada | $ 26 | $ 36 |
| New Hampshire | $ 16 | $ 21 |
| New Jersey | $ 19 | $ 25 |
| New Mexico | $ 34 | $ 45 |
| New York | $ 17 | $ 22 |
| North Carolina | $ 25 | $ 34 |
| North Dakota | $ 40 | $ 59 |
| Ohio | $ 25 | $ 35 |
| Oklahoma | $ 37 | $ 50 |
| Oregon | $ 16 | $ 22 |
| Pennsylvania | $ 26 | $ 35 |
| Rhode Island | $ 14 | $ 19 |
| South Carolina | $ 24 | $ 34 |
| South Dakota | $ 35 | $ 53 |
| Tennessee | $ 26 | $ 36 |
| Texas | $ 44 | $ 59 |
| Utah | $ 25 | $ 34 |
| Vermont | $ 24 | $ 33 |
| Virginia | $ 29 | $ 37 |
| Washington | $ 32 | $ 44 |
| West Virginia | $ 23 | $ 32 |
| Wisconsin | $ 26 | $ 38 |
| Wyoming | $ 27 | $ 34 |
*The term life insurance rates above are based on average quotes collected by MoneyGeek. Actual rates vary depending on the applicant's profile and the insurance company.
No-Exam Life Insurance Rates
You can purchase no-medical-exam life insurance based on your health profile and insurer requirements. No-exam policies allow applicants to bypass medical exams when securing coverage, benefiting people who want faster approval and those with health concerns.
No-exam policies cost more than standard policies. Compare average no-exam life insurance rates for different coverage levels in the table:
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Gender:Male
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Coverage Level:$500,000
| 10 years | $45 | $541 |
| 15 years | $55 | $664 |
| 20 years | $69 | $832 |
| 25 years | $103 | $1,236 |
| 30 years | $113 | $1,356 |
*The average no-exam term life insurance rates above are for 40-year-old nonsmokers. Actual life insurance prices vary depending on the applicant's profile and the insurance company.
Average Whole Life Insurance Rates
Whole life insurance provides lifetime coverage with a cash value component that grows over time, unlike term life which only covers a specific period with no investment element.
Whole life policies cost more than term life due to permanent coverage, cash value accumulation, guaranteed benefits with fixed premiums, and potential dividends, making them more expensive than temporary term protection.
| $50,000 | $67 | $801 |
| $100,000 | $133 | $1,602 |
| $150,000 | $200 | $2,403 |
| $200,000 | $267 | $3,203 |
| $250,000 | $334 | $4,004 |
| $300,000 | $400 | $4,805 |
| $350,000 | $467 | $5,606 |
| $400,000 | $534 | $6,407 |
| $450,000 | $601 | $7,208 |
| $500,000 | $667 | $8,009 |
| $550,000 | $734 | $8,809 |
| $600,000 | $801 | $9,610 |
| $650,000 | $868 | $10,411 |
| $700,000 | $934 | $11,212 |
| $750,000 | $1,001 | $12,013 |
| $800,000 | $1,068 | $12,814 |
| $850,000 | $1,135 | $13,615 |
| $900,000 | $1,201 | $14,415 |
| $950,000 | $1,268 | $15,216 |
| $1,000,000 | $1,335 | $16,017 |
| $1,500,000 | $2,002 | $24,026 |
| $2,500,000 | $3,337 | $40,043 |
*The rates above are averages for 40-year-old male nonsmokers with average weight and health levels. Actual life insurance prices vary depending on the applicant's profile and the insurance company.
Rates for Whole Life Insurance by Gender
Life expectancy differences between men and women affect whole life insurance pricing. Women often get lower premiums because they're viewed as low-risk applicants. The table outlines the average whole life insurance rates for men and women:
| Female | $605 | $7,257 |
| Male | $667 | $8,009 |
*These average life insurance rates are for a $500,000 policy for 40-year-old nonsmokers with average weight and health levels. Actual rates vary depending on the applicant's profile and the insurance company.
Whole Life Insurance Rates by Age
Whole life insurance premiums remain level for life, making age one of the strongest drivers of policy pricing. Younger applicants can secure lower long-term costs than those who buy later in life. The whole life insurance rates by age chart highlights how premiums rise with age:
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Age:40
| Female | $605 | $7,257 |
| Male | $667 | $8,009 |
*These average life insurance rates are based on quotes for a $500,000 policy for nonsmokers with average weight and health ratings. Actual rates vary depending on the applicant's profile and the insurance company.
Average Cost of Whole Life Insurance for Smokers
The long-term health risks that smoking presents cause higher whole life insurance premiums. The table shows the average rates for smokers across coverage levels:
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Gender:Male
| $50,000 | $122 | $1,459 |
| $100,000 | $243 | $2,919 |
| $150,000 | $365 | $4,379 |
| $200,000 | $486 | $5,838 |
| $250,000 | $608 | $7,297 |
| $300,000 | $730 | $8,757 |
| $350,000 | $851 | $10,216 |
| $400,000 | $973 | $11,676 |
| $450,000 | $1,095 | $13,136 |
| $500,000 | $1,216 | $14,595 |
| $550,000 | $1,338 | $16,054 |
| $600,000 | $1,459 | $17,514 |
| $650,000 | $1,581 | $18,974 |
| $700,000 | $1,703 | $20,433 |
| $750,000 | $1,824 | $21,893 |
| $800,000 | $1,946 | $23,352 |
| $850,000 | $2,068 | $24,811 |
| $900,000 | $2,189 | $26,271 |
| $950,000 | $2,311 | $27,731 |
| $1,000,000 | $2,432 | $29,190 |
| $1,500,000 | $3,649 | $43,785 |
| $2,500,000 | $6,081 | $72,975 |
*The average life insurance rates above are for 40-year-old smokers with average weight and health ratings. Actual rates vary depending on the applicant's profile and the insurance company.
Average Whole Life Insurance Cost for Poor Health
Life insurance for applicants with pre-existing conditions or who have below-average health conditions costs more. Whole life policies become more costly as health declines, regardless of age, because insurers classify applicants based on risk. The table shows average costs for applicants in poor health.
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Gender:Male
| $50,000 | $77 | $923 |
| $100,000 | $154 | $1,847 |
| $150,000 | $231 | $2,770 |
| $200,000 | $308 | $3,694 |
| $250,000 | $385 | $4,617 |
| $300,000 | $462 | $5,540 |
| $350,000 | $539 | $6,464 |
| $400,000 | $616 | $7,387 |
| $450,000 | $693 | $8,310 |
| $500,000 | $769 | $9,234 |
| $550,000 | $846 | $10,157 |
| $600,000 | $923 | $11,081 |
| $650,000 | $1,000 | $12,004 |
| $700,000 | $1,077 | $12,927 |
| $750,000 | $1,154 | $13,851 |
| $800,000 | $1,231 | $14,774 |
| $850,000 | $1,308 | $15,697 |
| $900,000 | $1,385 | $16,621 |
| $950,000 | $1,462 | $17,544 |
| $1,000,000 | $1,539 | $18,468 |
| $1,500,000 | $2,308 | $27,701 |
| $2,500,000 | $3,847 | $46,169 |
*The average life insurance rates above are for 40-year-old nonsmokers with average weight and poor health. Actual rates vary depending on the applicant's profile and the insurance company.
Whole Life Insurance Policy Rates for People Who Are Overweight
People with higher BMI ratings face higher premiums compared with those with average weight. The table shows average whole life insurance rates for people who are overweight across coverage levels:
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Gender:Male
| $50,000 | $72 | $863 |
| $100,000 | $144 | $1,727 |
| $150,000 | $216 | $2,590 |
| $200,000 | $288 | $3,454 |
| $250,000 | $360 | $4,317 |
| $300,000 | $432 | $5,180 |
| $350,000 | $504 | $6,044 |
| $400,000 | $576 | $6,907 |
| $450,000 | $648 | $7,771 |
| $500,000 | $719 | $8,634 |
| $550,000 | $791 | $9,497 |
| $600,000 | $863 | $10,361 |
| $650,000 | $935 | $11,224 |
| $700,000 | $1,007 | $12,088 |
| $750,000 | $1,079 | $12,951 |
| $800,000 | $1,151 | $13,814 |
| $850,000 | $1,223 | $14,678 |
| $900,000 | $1,295 | $15,541 |
| $950,000 | $1,367 | $16,405 |
| $1,000,000 | $1,439 | $17,268 |
| $1,500,000 | $2,158 | $25,902 |
| $2,500,000 | $3,597 | $43,170 |
*The average life insurance rates above are for 40-year-old nonsmokers with average health, but who are overweight. Actual rates vary depending on the applicant's profile and the insurance company.
Average Universal Life Insurance Rates
Universal life insurance offers flexible premiums and an adjustable death benefit, making it more adaptable than traditional whole life. It also includes a cash value component that grows tax-deferred. The table below displays average universal life insurance rates by coverage amount.
| $50,000 | $29 | $353 |
| $100,000 | $59 | $706 |
| $150,000 | $88 | $1,058 |
| $200,000 | $118 | $1,411 |
| $250,000 | $147 | $1,764 |
| $300,000 | $176 | $2,117 |
| $350,000 | $206 | $2,470 |
| $400,000 | $235 | $2,822 |
| $450,000 | $265 | $3,175 |
| $500,000 | $294 | $3,528 |
| $550,000 | $323 | $3,881 |
| $600,000 | $353 | $4,234 |
| $650,000 | $382 | $4,586 |
| $700,000 | $412 | $4,939 |
| $750,000 | $441 | $5,292 |
| $800,000 | $470 | $5,645 |
| $850,000 | $500 | $5,998 |
| $900,000 | $529 | $6,350 |
| $950,000 | $559 | $6,703 |
| $1,000,000 | $588 | $7,056 |
| $1,500,000 | $882 | $10,584 |
| $2,500,000 | $1,470 | $17,640 |
*The average life insurance rates above are for 40-year-old nonsmokers with average weight and health levels. Actual rates vary depending on the applicant's profile and the insurance company.
Cost of Universal Life Insurance by Gender
Insurers price universal life policies differently for men and women, with the latter paying less due to longer life expectancies. The table compares average universal life insurance rates by gender:
| Female | $254 | $3,049 |
| Male | $294 | $3,528 |
*The average life insurance rates above are for a $500,000 policy for 40-year-old nonsmokers with average weight and health levels. Actual rates vary depending on the applicant's profile and the insurance company.
Universal Life Insurance Rates by Age
Universal life costs also increase with age. Purchasing coverage earlier can help secure more affordable premiums. Check the average universal life insurance rates at different ages:
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Age:40
| Female | $254 | $3,049 |
| Male | $294 | $3,528 |
*The rates above are based on quotes for a $500,000 universal life insurance policy for nonsmokers with average weight and health ratings. Actual rates vary depending on the applicant's profile and the insurance company.
Cost of Universal Life Insurance Policy for Smokers
Universal life insurance costs more for smokers due to the higher likelihood of developing chronic health conditions. Check average rates for smokers across coverage levels:
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Gender:Male
| $50,000 | $54 | $643 |
| $100,000 | $107 | $1,286 |
| $150,000 | $161 | $1,929 |
| $200,000 | $214 | $2,572 |
| $250,000 | $268 | $3,215 |
| $300,000 | $321 | $3,858 |
| $350,000 | $375 | $4,501 |
| $400,000 | $429 | $5,144 |
| $450,000 | $482 | $5,787 |
| $500,000 | $536 | $6,430 |
| $550,000 | $589 | $7,072 |
| $600,000 | $643 | $7,715 |
| $650,000 | $697 | $8,358 |
| $700,000 | $750 | $9,001 |
| $750,000 | $804 | $9,644 |
| $800,000 | $857 | $10,287 |
| $850,000 | $911 | $10,930 |
| $900,000 | $964 | $11,573 |
| $950,000 | $1,018 | $12,216 |
| $1,000,000 | $1,072 | $12,859 |
| $1,500,000 | $1,607 | $19,289 |
| $2,500,000 | $2,679 | $32,148 |
*The rates above are averages for 40-year-old smokers with average weight and health ratings. Actual rates vary depending on the applicant's profile and the insurance company.
Average Universal Life Insurance Cost for Poor Health
Having a lower health rating leads to higher universal life insurance premiums. Insurers account for the increased risk of claims when pricing these policies. The chart outlines average universal life insurance rates for people in poor health:
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Gender:Male
| $50,000 | $34 | $407 |
| $100,000 | $68 | $814 |
| $150,000 | $102 | $1,220 |
| $200,000 | $136 | $1,627 |
| $250,000 | $169 | $2,034 |
| $300,000 | $203 | $2,441 |
| $350,000 | $237 | $2,847 |
| $400,000 | $271 | $3,254 |
| $450,000 | $305 | $3,661 |
| $500,000 | $339 | $4,068 |
| $550,000 | $373 | $4,475 |
| $600,000 | $407 | $4,881 |
| $650,000 | $441 | $5,288 |
| $700,000 | $475 | $5,695 |
| $750,000 | $508 | $6,102 |
| $800,000 | $542 | $6,508 |
| $850,000 | $576 | $6,915 |
| $900,000 | $610 | $7,322 |
| $950,000 | $644 | $7,729 |
| $1,000,000 | $678 | $8,136 |
| $1,500,000 | $1,017 | $12,203 |
| $2,500,000 | $1,695 | $20,339 |
*The rates above are averages for 40-year-old nonsmokers with average weight and poor health. Actual rates vary depending on the applicant's profile and the insurance company.
Universal Life Insurance Rates for People Who Are Overweight
People who are overweight will likely get higher premiums because of associated health risks. The table highlights how weight impacts universal life insurance costs:
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Gender:Male
| $50,000 | $32 | $380 |
| $100,000 | $63 | $761 |
| $150,000 | $95 | $1,141 |
| $200,000 | $127 | $1,521 |
| $250,000 | $158 | $1,902 |
| $300,000 | $190 | $2,282 |
| $350,000 | $222 | $2,662 |
| $400,000 | $254 | $3,043 |
| $450,000 | $285 | $3,423 |
| $500,000 | $317 | $3,804 |
| $550,000 | $349 | $4,184 |
| $600,000 | $380 | $4,564 |
| $650,000 | $412 | $4,945 |
| $700,000 | $444 | $5,325 |
| $750,000 | $475 | $5,705 |
| $800,000 | $507 | $6,086 |
| $850,000 | $539 | $6,466 |
| $900,000 | $571 | $6,846 |
| $950,000 | $602 | $7,227 |
| $1,000,000 | $634 | $7,607 |
| $1,500,000 | $951 | $11,411 |
| $2,500,000 | $1,585 | $19,018 |
*The rates above are averages for 40-year-old nonsmokers with average health, but who are overweight. Actual rates vary depending on the applicant's profile and the insurance company.
What Factors Affect the Cost of Life Insurance?
Insurance providers evaluate a range of factors to determine premiums on life insurance. Common factors they consider include:
Age
Younger applicants typically receive lower rates due to a lower risk profile.
Health
Those with good health records will have lower life insurance costs. Factors like BMI, blood pressure, and history of disease will impact your cost.
Lifestyle
Choices such as smoking or engaging in high-risk hobbies can lead to increased life insurance rates.
Coverage Amount
Higher life insurance policy amounts tend to come with higher premiums.
Term Length
Longer terms can increase costs by extending the period during which the insurer is at risk.
Type of Policy
Whether term or permanent, the type of life insurance policy significantly influences the pricing.
Given each person's situation, reviewing personal needs and comparing multiple life insurance quotes is important to secure the best possible rates.
HEALTH CLASSIFICATIONS AND YOUR LIFE INSURANCE RATES
Life insurance companies group applicants into health categories that determine premium costs. Preferred Plus (or Super Preferred) offers the lowest rates to the healthiest applicants. Preferred classification applies to those with good health, while Standard covers average health profiles at base pricing. When health conditions increase risk beyond these categories, insurers assign table ratings that add 25% per table to standard rates.
Each insurer uses different underwriting criteria and weighs health factors differently. One company classifies you as Preferred while another assigns Standard rating for identical health profiles. This variation makes comparing quotes from multiple insurers essential, as your health classification directly determines your actual premium costs.
What Doesn’t Affect Life Insurance Rates?
While many personal characteristics influence the cost of life insurance, several factors typically don’t impact premiums. Among these non-influential factors are:
Marital Status
Whether you’re single, married, divorced or widowed usually has no bearing on the cost of your life insurance policy.
Income Level
Your earnings or income bracket don't affect the premiums, as life insurance is more concerned with covering financial obligations rather than replacing income.
Children
Insurers usually don't consider the number of children you have when determining your life insurance premiums.
Education Level
Your educational background or degrees are not factors that insurers consider when calculating rates for life insurance.
Race or Ethnicity
Insurers in the United States are prohibited from using race or ethnicity to determine life insurance policy prices.
Location Within a State
While state regulations can affect premiums for life insurance, your specific location within a state, such as your city or neighborhood, typically doesn't impact the cost.
Number of Life Insurance Policies You Have
Having multiple life insurance policies doesn’t affect the rates of each policy.
Number of Beneficiaries You Name
The number of life insurance beneficiaries listed on your policy doesn’t influence the rate you pay.
Understanding what doesn’t affect life insurance premiums can allow you to focus on the factors that matter, such as age, health, lifestyle, coverage amount and policy type.
Get Life Insurance Quotes
Using online tools, such as life insurance calculators, can help you understand your monthly life insurance costs based on your profile. MoneyGeek’s free life insurance calculator offers an estimated cost, helping you plan and compare options before committing to a policy.
Life Insurance Calculator
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Rates updated:
Sep 15, 2025
How to Lower Life Insurance Costs
Life insurance premiums reflect controllable and uncontrollable factors. You can lower your life insurance costs by following these strategies before applying for coverage:
- 1
Evaluate Policy Types
Term policies are the lowest-cost and most flexible option. Whole life is an investment account with death benefits, but it's much more expensive.
- 2
Buy early
Get a policy when you're younger to lock in lower rates before health conditions develop or age increases premiums by 8-10% annually.
- 3
Right-size your coverage
Calculate only what you need based on income replacement, debts and future expenses to avoid paying for unnecessary protection.
- 4
Improve health metrics
To qualify for better rate classifications, quit smoking, maintain a healthy weight and lower cholesterol/blood pressure.
- 5
Compare multiple quotes
Get quotes from at least 3-5 insurance companies using independent agents or online comparison tools to find the best rates.
How Much Life Insurance Coverage Do You Need?
Determining the right amount of life insurance coverage depends on your financial factors and family obligations. Calculate your coverage needs using these considerations:
- Debt: Add outstanding debts like mortgages, car loans and credit card balances. Life insurance coverage ensures family members won't inherit these financial obligations.
- Income Replacement: Financial advisors recommend coverage equal to 10 to 12 times your annual income to replace lost earnings for your dependents.
- Education Costs: Include future education expenses like college tuition to secure your children's educational goals.
Average Life Insurance Cost: Bottom Line
Life insurance costs an average of $53 monthly for a $500,000 policy lasting 20 years, varying significantly based on age, health, smoking status and policy type. Term life offers affordable temporary protection, while permanent policies cost more but provide lifelong coverage with cash value. Whole life insurance costs an average of $667 per month, while universal policies average $294 monthly for the same coverage amount. Compare quotes from multiple insurers to secure the best rates for your needs.
Life Insurance Rates: FAQ
MoneyGeek's experts answered common questions about average life insurance costs:
How much is life insurance per month?
The average cost of term life insurance is $53 monthly for 20-year, $500,000 policies for healthy 40-year-old nonsmoking men. Costs vary based on coverage amount, policy type, health condition, lifestyle choices like smoking, occupation, gender and insurer underwriting guidelines.
How much is life insurance per year?
Annual life insurance costs vary by policy type and applicant profile. A 20-year term policy with $500,000 coverage costs an average of $606 annually for healthy 40-year-old nonsmokers. Whole life insurance policies for identical profiles cost around $8,009 annually.
How much should life insurance cost?
Life insurance costs vary widely based on policy type and personal profile, with no set pricing rules. Compare average life insurance costs across different policy types and insurers to understand pricing expectations and find policies within your budget.
How much should I pay for life insurance?
Your life insurance budget should reflect your financial capacity and coverage needs. Balance affordable premiums with coverage amounts that support your financial goals. While term policies have lower monthly costs than whole life insurance, compare rates based on what you can afford and the financial protection level you need. Use MoneyGeek's life insurance calculator for cost estimates.
Why would term life insurance costs be different for two people who are the same age?
Term insurance rates differ between same-age applicants due to health status, lifestyle choices and coverage amounts. Health conditions or smoking status raise premiums for one applicant compared to another of identical age.
Do term life insurance premiums increase with age?
Initial term life insurance rates reflect your age at purchase, with older applicants facing higher starting premiums due to increased risk. Premiums remain fixed throughout the policy term.
Term insurance costs are not fixed for life, unlike whole life insurance. Renewing or purchasing new term policies later results in higher premiums reflecting your current age. Securing term coverage while younger avoids future cost increases.
How much is whole life insurance?
Whole life insurance costs start higher than term policies due to lifetime coverage and cash value accumulation. For $500,000 coverage, 40-year-old nonsmoking men pay an average of $667 monthly or $8,009 annually.
Does whole life insurance premium increase with age?
Initial whole life insurance premiums vary by age, with older applicants facing higher starting rates due to increased risk. Once you purchase whole life insurance, premiums stay fixed and don't increase as you age. This consistency offers predictable costs throughout the policy duration, unlike term life insurance which has higher premiums upon renewal.
Do health conditions always mean higher premiums?
Health conditions lead to higher life insurance premiums in most cases. Minor conditions have minimal impact, and insurers evaluate each applicant's health profile individually. Average life insurance rates vary based on condition severity and longevity impact.
Where can I find the best life insurance rates?
Find the best life insurance rates by comparing quotes from multiple providers, considering both cost and coverage options. MoneyGeek's tools help you compare life insurance rates based on your needs and budget.
Can my life insurance rate change after I’m approved?
Life insurance rates remain fixed once approved, particularly for term policies. Rates change based on specific conditions for some flexible or universal life insurance policies. Review your policy details to understand factors that could impact premiums over time.
Is life insurance worth it?
Life insurance value depends on your financial situation, but coverage protects loved ones from financial hardship by covering debt and income replacement expenses. For most people, typical life insurance costs provide worthwhile security when aligned with personal financial obligations and long-term goals.
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Average Cost of Life Insurance: Our Methodology
Your age, health, lifestyle, gender and coverage needs all influence your premium, so we collected quotes across multiple demographic profiles to show you realistic pricing for different situations.
Our Research Approach
We gathered thousands of quotes across multiple demographics to calculate average life insurance rates. We collected quotes from major insurers to show what you'd pay based on your profile and coverage needs.
Sample Customer Profile
MoneyGeek used a standard profile to obtain life insurance quotes:
- 40-year-old man
- Nonsmoker
- 5 feet 9 inches tall and 160 pounds
- Average health rating
For quotes for women, we used a 5'4" and 120-pound profile to reflect realistic demographic differences in pricing.
Coverage Types and Terms
We collected quotes for the most popular life insurance options:
- Term life insurance with varying term lengths and coverage amounts
- Whole life insurance quotes for different coverage levels
- Universal life insurance across multiple policy amounts
This approach shows you the real cost differences between temporary coverage (term) and permanent policies that build cash value.
Data Analysis
Beyond collecting individual quotes, we identified pricing trends across our dataset. These patterns allowed us to calculate projections and extend our analysis beyond the original quotes, giving you a fuller picture of how rates change across different demographics and coverage amounts.
Why This Methodology Works for You
Life insurance pricing depends heavily on personal factors, so generic industry averages don't help when budgeting for coverage. Our multi-demographic approach shows you realistic rate expectations.
Data Recency
All pricing and company data were last updated in 2025, ensuring current market rates inform our recommendations and comparisons.
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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.