Updated: August 15, 2025
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The average rate for $1,000,000 term life coverage varies by term, with a 20-year policy costing $94 per month and a 30-year plan costing $156 per month.
Age and gender impact life insurance costs, with 18-year-old women getting the cheapest average rate at $31 per month. Buyers in higher age groups pay higher-than-average premiums. A 50-year-old pays an average of $148 per month.
Smokers and those in poor health have higher average rates for $1,000,000 of coverage, but you can still find reasonable rates. A 40-year-old smoker pays $197 per month, while someone with poor health pays an average of $80 per month for 10-year policies.
Rates for $1 million life insurance policies vary between insurance companies. Protective offers the lowest rates for this coverage for all term lengths.
The $1 million payout can cover funeral expenses, pay off debts and help maintain your beneficiaries’ lifestyle. This lump sum is generally tax-free for beneficiaries, though certain situations may have tax implications.
A $1 million life insurance policy costs more than smaller policies because insurers take on greater financial risk if you die. The average cost of a million-dollar policy ranges from $62 to $271 per month, depending on term length.
Your rate depends on your age, health, lifestyle and other risk factors. Below are average costs for $1 million life insurance policies across different profiles and companies.
Term life insurance with $1 million in coverage costs an average of $62 per month. A $500,000 life insurance policy costs $33 per month. That's a $29 difference for double the coverage.
Average Monthly Cost
$33Average Monthly Cost
$62This is 88% more expensive.
*Cost Assumptions: The costs above are based on quotes for a 40-year-old male policyholder with a 10-year term policy in good health. See the average $1 million policy costs below for different buyer profiles.
Term length is how long your life insurance policy stays active, usually 10 to 30 years. Some companies also offer 40-year term policies.
Longer terms cost more because insurers face higher risk over time. A 10-year, $1 million term life insurance policy costs an average of $62 per month, while a 30-year term costs $156 per month.
The table below shows cost differences by term length for a $1 million policy.
| 10 years | $62 | $714 |
| 15 years | $75 | $869 |
| 20 years | $94 | $1,086 |
| 25 years | $129 | $1,548 |
| 30 years | $156 | $1,792 |
| 35 years | $188 | $2,257 |
| 40 years | $271 | $3,261 |
*Cost Assumptions: The costs above are based on quotes for a 40-year-old male policyholder who doesn't smoke and has an average health rating.
Many term policies have "auto-renewal" features when the term expires — you don't need to go through the underwriting process again, but the rate may change. — Mark Friedlander, Director, Corporate Communications, Insurance Information Institute.
Locking in a rate while younger saves money on $1 million term life policies. As you age, the cost of life insurance increases. A 10-year policy costs an average of $41 per month for a 30-year-old man but $148 for a 50-year-old man, more than 3.5 times the cost.
See how monthly premiums change across different ages from 18 to 70 years old in the table below.
| 18 | $39 | $474 |
| 19 | $39 | $474 |
| 20 | $39 | $468 |
| 21 | $39 | $469 |
| 22 | $39 | $470 |
| 23 | $39 | $470 |
| 24 | $39 | $471 |
| 25 | $39 | $472 |
| 26 | $40 | $475 |
| 27 | $40 | $478 |
| 28 | $40 | $481 |
| 29 | $40 | $484 |
| 30 | $41 | $487 |
| 31 | $41 | $497 |
| 32 | $42 | $507 |
| 33 | $43 | $517 |
| 34 | $44 | $527 |
| 35 | $45 | $537 |
| 36 | $48 | $573 |
| 37 | $52 | $608 |
| 38 | $55 | $643 |
| 39 | $59 | $679 |
| 40 | $62 | $714 |
| 41 | $69 | $802 |
| 42 | $76 | $889 |
| 43 | $82 | $976 |
| 44 | $89 | $1,064 |
| 45 | $96 | $1,151 |
| 46 | $106 | $1,276 |
| 47 | $117 | $1,400 |
| 48 | $127 | $1,525 |
| 49 | $138 | $1,650 |
| 50 | $148 | $1,774 |
| 51 | $165 | $1,984 |
| 52 | $183 | $2,194 |
| 53 | $200 | $2,404 |
| 54 | $218 | $2,614 |
| 55 | $235 | $2,824 |
| 56 | $271 | $3,249 |
| 57 | $307 | $3,680 |
| 58 | $343 | $4,110 |
| 59 | $378 | $4,540 |
| 60 | $414 | $4,970 |
| 61 | $489 | $5,873 |
| 62 | $555 | $6,660 |
| 63 | $621 | $7,447 |
| 64 | $686 | $8,234 |
| 65 | $752 | $9,021 |
| 66 | $829 | $9,953 |
| 67 | $920 | $11,037 |
| 68 | $1,010 | $12,122 |
| 69 | $1,100 | $13,206 |
| 70 | $1,191 | $14,290 |
Smoking increases the cost of $1 million life insurance because of the health risks. A 10-year term policy costs a 40-year-old smoker an average of $197 per month. That's $135 more than nonsmokers pay.
Smokers can still find affordable coverage rates for $1 million by buying at a younger age and staying healthy. The table below shows average monthly costs for smokers with $1 million term life insurance.
| 10 years | $125 | $1,507 |
| 15 years | $152 | $1,831 |
| 20 years | $190 | $2,298 |
| 25 years | $324 | $3,908 |
| 30 years | $318 | $3,837 |
| 35 years | $447 | $5,286 |
The cost of $1 million in term life insurance reflects the increased likelihood of health-related claims for those in poor health. Below are the average monthly costs for a $1 million life insurance policy for people with health concerns.
| 10 years | $52 | $621 |
| 15 years | $61 | $734 |
| 20 years | $77 | $932 |
| 25 years | $121 | $1,462 |
| 30 years | $129 | $1,551 |
| 35 years | $159 | $1,885 |
Some companies offer no-medical-exam life insurance policies with a coverage amount of $1 million. Rates also vary by age and term length. Filter the table below to see average costs based on your age, gender and preferred term length.
| 10 years | $42 | $506 |
| 15 years | $53 | $637 |
| 20 years | $64 | $773 |
| 25 years | $121 | $1,448 |
| 30 years | $107 | $1,292 |
Pros: Quick approval for $1 million coverage (often within hours or days), no medical exam required, easy online applications and coverage for most buyer needs.
Cons: Higher cost than traditional $1 million policies (typically 15% to 30% more expensive based on our research) and stricter age and health requirements for no-exam approval.
Permanent life insurance costs much more than term life insurance for the same $1 million coverage. Permanent policies like whole and universal life often cost up to 15 times more than term policies. The exact difference depends on your age, health and policy details.
Permanent life insurance costs more because it lasts your entire life and builds a cash value component you can borrow against. In contrast, term life insurance covers you for a specific period, like 10, 20 or 30 years. Because most people outlive their term, insurers face lower risk and charge less.
The right choice between term and permanent life insurance depends on your needs and financial goals. Term life insurance works well if you want affordable coverage for a specific period, like until you pay off your mortgage or your kids become financially independent. Permanent life insurance makes sense if you want lifelong coverage and the ability to build cash value.
Several factors affect policy premiums for $1 million life insurance policies. These include your term length, age and whether you have preexisting health conditions or smoke.
Age directly affects your $1 million term life insurance cost. Younger people pay lower premiums because they're typically healthier and have a longer life expectancy. Premiums increase each year because older applicants face higher health risks.
Your health condition determines a major part of your life insurance cost. Insurers require medical exams to check your weight, blood pressure and cholesterol levels. Poor health results in higher premiums because you represent a greater risk to the company. Life insurance companies rate health from "Super Preferred Plus" (best health and lowest rates) down to "Standard" (average health), then use table ratings of A through P for poor health that increase premiums by 25% to 400% above standard rates.
Smokers pay much more for life insurance because of tobacco-related health risks. The rate difference reflects the higher chance of early death and smoking-related illnesses. Expect to pay considerably more (our research indicates about double) than nonsmokers for the same $1 million coverage.
Shorter terms, like a 10-year policy, cost less monthly for $1 million life insurance. Insurers face lower risk because fewer people die during shorter coverage periods.
A 20-year term life insurance policy costs more because the insurer commits to longer coverage and faces higher chances of paying a claim.
Women typically pay less for life insurance than men because they have a longer average life expectancy. Insurers use mortality data showing men face higher death rates at younger ages, which increases premiums for male applicants (MoneyGeek research shows about a 10% to 20% increase).
Dangerous jobs increase your life insurance cost. People in high-risk professions like construction, mining or commercial fishing pay higher premiums because of increased injury and death risk. Office workers typically get standard rates.
High-risk hobbies like skydiving, rock climbing or motorcycle racing increase your premiums. Insurers also consider habits like excessive drinking or drug use when setting rates. Healthy lifestyle choices can sometimes qualify you for discounts.
Your family's health history affects your rates even if you're currently healthy. Hereditary conditions like heart disease, cancer or diabetes in close relatives can increase your premiums. Insurers use this information to predict your future health risks.
Understanding these factors can help you anticipate the cost of a $1 million life insurance policy and adjust some variables to your advantage.
$1 million life insurance costs depend on multiple factors that each company weighs differently. Compare quotes from several insurers to find your actual rate. Use our life insurance rate calculator below to see what you'll pay.
We’ll give you a suggested amount of cover to buy in just 3 easy steps. — it's free, no personal information required, no spam.
Rates updated:
Aug 29, 2025
A strategic approach can help you get the best deal and ensure your coverage meets your needs. Here are the steps to get a million-dollar life insurance policy:
Calculate your debts, future obligations and income replacement to ensure $1 million is the right coverage amount.
Get quotes for a million-dollar life policy from some of the best life insurance providers to gauge market rates. Online comparison tools can make this process easier.
Look up the financial stability ratings of potential insurers through agencies like A.M. Best or Moody's to ensure the insurer can fulfill its obligations when you or your beneficiaries file a claim.
Examine the policy's terms, including premium payment schedules and available riders, to tailor coverage to your situation.
Familiarize yourself with scenarios where the policy won't pay out to avoid surprises later.
Consulting a financial advisor can provide tailored recommendations based on your financial outlook.
Prepare adequately and find the right coverage for your family's needs to secure the best million-dollar life insurance policy.
You can buy $1 million life insurance from traditional companies and online brokers. Multiple platforms let you compare rates and terms to find the right policy for your budget.
Protective offers the cheapest 10-year $1 million term policy at $41 per month. It also has the lowest average cost for all term lengths. The table below compares the average monthly premiums for $1 million term policies from different companies.
| Protective Insurance | $41 | $491 |
| Lincoln Financial | $46 | $548 |
| AAA | $50 | $601 |
| North American | $52 | $624 |
| Midland National | $52 | $624 |
| Gerber Life (Fabric) | $52 | $626 |
| TransAmerica | $57 | $687 |
| Principal National | $59 | $712 |
| CoreBridge | $60 | $714 |
| Guardian Life | $60 | $714 |
| Securian | $60 | $715 |
| SBLI | $62 | $752 |
| Legal&General | $62 | $753 |
| Pacific Life | $62 | $753 |
| Foresters Financial | $63 | $753 |
| Cincinnati Life | $63 | $766 |
| Nationwide | $64 | $771 |
| Columbus Life | $65 | $778 |
| Mutual of Omaha | $67 | $807 |
| Equitable Life | $68 | $814 |
| Assurity | $70 | $843 |
| John Hancock | $71 | $857 |
| Life Insurance Co of The South West | $71 | $858 |
| National Life Group | $71 | $858 |
| Prudential | $74 | $896 |
| Fidelity Life | $78 | $932 |
*Cost Assumptions: The costs above are based on quotes for a 40-year-old male policyholder who doesn't smoke and has an average health rating.
Lincoln Financial, Gerber, Pacific Life, Assurity and Nationwide offer $1 million no-exam life insurance coverage. Compare average costs for different term lengths below.
| Lincoln Financial | $46 | $548 |
| Gerber Life (Fabric) | $52 | $626 |
| Pacific Life | $62 | $753 |
| Nationwide | $64 | $771 |
| Assurity | $70 | $843 |
*Cost Assumptions: The costs above are based on quotes for a 40-year-old male policyholder who doesn't smoke and has an average health rating.
If your financial obligations and income replacement needs add up to $1 million, you may need life insurance. Consider your mortgage, debts and how much income your family would need without you, then subtract your current savings and existing coverage.
For example, you might have a $300,000 mortgage, expect $200,000 in education costs and want $500,000 for income replacement. That totals $1 million, making a million-dollar policy the right fit.
Calculate how much life insurance you need by adding up your debts and future expenses. Include your mortgage, car loans, children's education costs and other major expenses like weddings. Add the income your family needs to maintain their lifestyle without you. Subtract your savings, investments and any existing life insurance. The difference shows how much coverage to buy.
Use our life insurance coverage needs calculator below to get an estimate.
Income Multiplier Method: The simplest approach multiplies your annual income by 10 to 12. If you earn $100,000 annually, you'd need $1 million to $1.2 million in coverage. This method works well for straightforward financial situations.
DIME Formula: DIME stands for Debt, Income, Mortgage and Education expenses. Add your credit card debt and loans ($50,000), income replacement needs for five to 10 years ($500,000), outstanding mortgage balance ($300,000) and future education costs ($150,000). This example totals $1 million in coverage needed.
Human Life Value Method: Calculate your economic value by estimating future earnings minus personal expenses. A 35-year-old earning $80,000 with 30 working years remaining generates $2.4 million in lifetime income. After subtracting personal living expenses (about 30%), your economic value to dependents equals roughly $1.7 million.
The highest life insurance policy depends on the insurer, your income and your health. High-net-worth people can get coverage worth tens or hundreds of millions of dollars. Insurers look at your financial need, health and income to set maximum coverage limits. Policies worth hundreds of millions are rare.
For most people, $1 million represents substantial coverage that can secure your family's financial future. Getting $1 million in coverage requires financial documentation and usually a medical exam.
While $1 million provides substantial financial protection for most families, some situations require higher coverage. Here's how costs compare across different coverage levels, and when you may need a two-million-dollar life insurance policy or even a three-million-dollar life insurance policy.
Our analysis of major insurers shows how premiums scale with coverage amounts:
| $1,000,000 | $62 | $714 |
| $1,250,000 | $64 | $771 |
| $1,500,000 | $92 | $1,051 |
| $2,000,000 | $121 | $1,383 |
| $3,000,000 | $180 | $2,060 |
*Cost Assumptions: The costs above are based on quotes for a 40-year-old male policyholder who doesn't smoke and has an average health rating.
If your annual income exceeds $150,000, consider the 10 to 12 times income replacement rule. A $200,000 salary suggests a $2 million life insurance policy to maintain your family's lifestyle.
Homeowners with mortgages above $750,000, plus other debts, often need 1.5 million life insurance to cover obligations and provide income replacement.
Entrepreneurs with key person insurance needs or business debt guarantees frequently require 2 million dollar life insurance policy coverage or 3 million life insurance policies to protect both personal and business interests.
Higher coverage amounts cost more, but scale efficiently. Moving from $1 million to $2 million life insurance policy coverage doubles your premium and your family's financial protection.
Life insurance serves as more than income replacement for high-net-worth families. A million-dollar estate protection policy provides immediate liquidity to cover federal estate taxes for large estates. Irrevocable Life Insurance Trusts (ILITs) remove policy proceeds from your taxable estate while providing tax-free death benefits to beneficiaries.
High-net-worth families also use million-dollar policies for business succession planning and generation-skipping wealth transfers. Consult with estate planning attorneys to structure estate planning life insurance strategies that minimize tax exposure and align with your wealth transfer goals.
The most expensive life insurance policies offer the highest coverage amounts, often in the multi-million-dollar range. These policies carry high premiums because they provide extensive financial protection.
People with large assets or major financial responsibilities buy the costliest policies. Premiums depend on your age, health and policy term. A 30-year term policy with $1 million coverage costs more than shorter terms.
A $1 million life insurance policy provides financial security for your loved ones, covering funeral costs, mortgage payments, education expenses and daily living costs. It helps them maintain their lifestyle and reach financial goals without you.
The average monthly cost for $1 million term life insurance is $62, but rates start as low as $41.
These costs are based on quotes for a 40-year-old nonsmoking male with good health. Compare quotes from multiple providers to find your actual rate.
A $1 million life insurance policy is both attainable and sensible for many people. Here are answers to common questions about this coverage amount.
The average monthly premium for a $1 million term life insurance policy with a 10-year term is $62. Your actual cost depends on your age, health and policy type.
A $1 million life insurance policy pays your beneficiaries $1 million when you die. This money can cover mortgage payments, education expenses and debts while replacing lost income for your family.
One way to determine whether you need $1 million in coverage is to multiply your annual income by 10 to 12.
Consider your debts like mortgages, student loans or business loans. A $1 million policy can also fund future expenses like college tuition or care for a child with special needs.
Yes, some companies offer instant life insurance policies where you won't have to complete a medical exam. If you qualify, insurers can approve your application in minutes. Lincoln Financial, Gerber Life, Pacific Life, Assurity and Nationwide offer these policies.
A 50-year-old man pays an average of $148 per month for a million-dollar 10-year term policy. A 20-year term costs $222 per month.
A 50-year-old woman pays around $110 per month for a million-dollar 10-year term policy. A 20-year term averages $165 per month.
Costs vary by gender for 60-year-olds. Men pay $414 per month for a 10-year term and $615 for a 20-year term. Women pay $292 and $434 per month for 10-year and 20-year terms, respectively.
A 70-year-old man pays about $1,191 per month for a million-dollar 10-year term policy, while a 70-year-old woman pays an average of $855. A 15-year term averages $1,169 per month for a 70-year-old man and $819 for a 70-year-old woman.
To get a million-dollar life insurance policy, compare quotes from reputable insurers for both term and permanent options. Evaluate your financial needs, review policy features and consult a financial advisor for personalized advice.
You can get a $1 million life insurance policy from most major insurers. Companies offer both term and whole life options depending on your financial goals and health.
The highest life insurance policy can reach hundreds of millions of dollars for wealthy people who need extensive financial protection for estate or business planning. These policies often require multiple insurers.
Cash value only applies to permanent life insurance like whole life and universal life policies. Part of your premiums accumulates as cash value that grows tax-deferred over time. You can borrow against or withdraw this money for expenses or investments.
Shopping for $1 million in life insurance can feel overwhelming when you balance coverage needs with monthly budget constraints. We designed our research to answer the most pressing question: What will this actually cost someone like you?
We analyzed 1,488 life insurance quotes to determine realistic costs across different situations. Rather than providing generic industry averages, we focused on how your specific characteristics affect pricing for substantial coverage amounts.
Our Standard Profile
Coverage Analysis
All premiums reflect this standard profile unless we specifically note changes. We modified age, gender, height, weight, tobacco use, health rating and geographic location to show how costs shift based on your actual situation.
Our research included term life insurance with varying term lengths and coverage amounts to help you understand the full pricing spectrum. We identified trends in our dataset and used those patterns to calculate projections beyond our initial collection.
Why Trust Our Numbers?
Coverage costs and company information were updated in 2025, ensuring you see current market rates rather than outdated estimates. This matters because life insurance pricing changes frequently based on company performance, mortality tables and market conditions.
Real-World Application
This methodology gives you the foundation to estimate your actual premiums. While your final rate depends on your unique health profile and chosen insurer, our analysis provides realistic budgeting and comparison shopping expectations.
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.
