A 10-year $3 million life insurance policy costs an average of $199/month for men and $161/month for women. Lincoln Financial offers the cheapest rate at $119/month.
Find out if you're overpaying for life insurance below.
Updated: November 6, 2025
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The cost of $3 million life insurance varies by risk factors. Male smokers pay an average of $640 per month for a 10-year policy, while female smokers pay around $515. The average monthly cost for people with poor health is $241 (men) and $194 (women).
Lincoln Financial has the most affordable average rate at $119 per month. Protective Insurance follows with an average of $146 per month.
Traditional medical underwriting is standard for life insurance at this coverage level, but finding a $3 million no-medical-exam policy is possible. Pacific Life and Ethos are among the companies offering this.
Securing $3 million in coverage pushes you into a different underwriting category than most life insurance buyers face. At this level, insurers don't just evaluate your health. They also verify your financial need for coverage this large.
Life insurance premiums account for more than basic mortality risk. Your occupation matters more at $3 million than at $500,000. Your net worth comes under scrutiny. Even your existing coverage with other insurers influences what companies charge.
The average cost of a $3 million term life insurance policy with a 10-year term is $199 per month for a 40-year-old healthy man and $161 per month for a 40-year-old healthy woman. Longer terms cost more, with a 20-year term plan averaging $3,363 for men and $2,717 for women.
Average costs of term life insurance by term length:
| 10 years | $199 | $2,395 |
| 15 years | $238 | $2,862 |
| 20 years | $280 | $3,363 |
| 25 years | $470 | $5,642 |
| 30 years | $490 | $5,885 |
| 35 years | $891 | $10,691 |
| 40 years | $1,351 | $16,242 |
The rates above are based on average quotes for 40-year-old nonsmokers with average health.
Your age at the time of application determines your premiums. Getting a policy at a younger age results in lower rates. Older applicants pay more due to shorter remaining life expectancy.
Women maintain a pricing advantage throughout all age brackets due to actuarial life expectancy data (statistical calculations about how long people typically live). Some states prohibit insurers from charging different rates based on gender, so costs are identical for male and female buyers. Check your state's life insurance regulations or consult a licensed insurance professional for guidance.
Average monthly and annual costs by age and gender:
| 10 years | $98 | $1,193 |
| 15 years | $117 | $1,420 |
| 20 years | $137 | $1,662 |
| 25 years | $249 | $3,009 |
| 30 years | $239 | $2,896 |
| 35 years | $567 | $6,831 |
| 40 years | $1,006 | $12,072 |
The rates above are based on average quotes for nonsmokers with average health.
Tobacco use comes with various health risks, which is why insurers often charge more for life insurance for smokers. The average monthly cost of a 10-year term $3 million life insurance policy for 40-year-old nonsmokers is $199 for men and $161 for women. The same policy costs an average of $640 for male smokers and $515 for female smokers.
The table below highlights average life insurance rates for smokers of different ages.
| 10 years | $640 | $7,693 |
| 15 years | $768 | $9,219 |
| 20 years | $892 | $10,718 |
| 25 years | $1,573 | $18,890 |
| 30 years | $1,591 | $19,115 |
| 35 years | $3,104 | $37,250 |
| 40 years | $4,779 | $57,440 |
Many insurers let you reapply for non-tobacco rates after 12 to 24 months of verified cessation. If you quit smoking after securing coverage, contact your insurer about retesting. The premium savings at $3 million can make this worthwhile.
Your health affects the cost of your life insurance. Having health conditions that increase mortality risk leads to higher premiums. Your specific condition, how well you control it and your medication compliance also factor into underwriting decisions.
Average cost of $3 million term life insurance for people in poor health:
| 10 years | $241 | $2,892 |
| 15 years | $288 | $3,456 |
| 20 years | $338 | $4,060 |
| 25 years | $567 | $6,811 |
| 30 years | $591 | $7,105 |
| 35 years | $1,076 | $12,907 |
| 40 years | $1,631 | $19,609 |
Lincoln Financial offers the most affordable $3 million life insurance policy. A 10-year term policy costs an average of $119 per month. Protective Insurance also offers competitive rates, starting at $146 per month.
Compare $3 million life insurance rates by company and term length below.
| Lincoln Financial | $119 | $1,412 |
| Protective Insurance | $146 | $1,760 |
| North American | $148 | $1,784 |
| Midland National | $148 | $1,784 |
| Securian | $168 | $2,008 |
| Transamerica | $170 | $2,031 |
| Principal National | $170 | $2,042 |
| CoreBridge | $172 | $2,052 |
| Legal & General | $173 | $2,088 |
| Guardian Life | $179 | $2,143 |
| SBLI | $180 | $2,170 |
| Pacific Life | $180 | $2,173 |
| Foresters Financial | $183 | $2,180 |
| Cincinnati Life | $183 | $2,217 |
| Nationwide | $184 | $2,224 |
| Columbus Life | $190 | $2,268 |
| Equitable Life | $191 | $2,296 |
| Mutual of Omaha | $196 | $2,353 |
| Assurity | $202 | $2,441 |
| Life Insurance Co of The South West | $205 | $2,458 |
| National Life Group | $205 | $2,458 |
| Prudential | $213 | $2,564 |
| Ameritas | $215 | $2,577 |
| John Hancock | $231 | $2,788 |
| Ethos | $634 | $7,613 |
The rates above are based on average quotes for 40-year-old male nonsmokers with average health.
Finding no-exam life insurance policies with a $3 million coverage amount can be challenging, as most insurers cap accelerated underwriting limits at $500,000 or $1 million. Qualification requirements are also often strict, with companies offering high coverage amounts only to people of certain ages and with specific health ratings.
Pacific Life and Ethos are among the major insurers offering $3 million no-exam policies. Their average rates by term length are:
| Pacific Life | $180 | $2,173 |
| Ethos | $634 | $7,613 |
The rates above are based on average quotes for 40-year-old male nonsmokers.
Financial underwriting can still apply even without medical exams. Insurers verify your income, review tax returns, and may request documentation of assets and liabilities to justify $3 million in coverage.
Determining whether you need $3 million means evaluating whether your financial obligations genuinely exceed what a lower coverage amount would cover. This coverage level addresses substantial wealth, complex family structures or overlapping major financial commitments.
A common approach to determine how much life insurance you need is multiplying your annual income by 10 to 12 times. If you earn a high income, carry substantial debt or support multiple dependents, you may need up to 15 to 20 times your income to truly replace your economic value.
A $3 million life insurance policy is typically right for:
People earning $250,000 or more annually need larger coverage to replace several years of income and maintain their family's standard of living. Your coverage should account for lost benefits like stock options, bonuses and employer-provided health insurance that stop when you die. Consider how much your family needs to cover ongoing expenses, pay off debts and fund retirement without your income.
Entrepreneurs may need $3 million or more to fund buy-sell agreements and protect business continuity. Your death could impact the company's valuation, trigger debt acceleration, or leave partners scrambling for buyout funds. This coverage level can repay business debts, compensate key employees during transition and provide your family with living expenses while the business transfers ownership or sells.
Parents with multiple dependents may choose $3 million coverage to pay off a mortgage, fund education costs and maintain household income until children reach financial independence. Calculate the total cost of school tuition, college expenses, childcare and everyday living costs your family needs if you're not there to provide.
Wealthy policyholders may use large life insurance policies to offset estate taxes and preserve family assets. If your estate exceeds federal exemption limits, your heirs face substantial tax bills due within nine months. Life insurance provides immediate liquidity, allowing heirs to receive inheritances without having to sell property or investments at unfavorable times.
Couples who share large mortgages, auto loans and business obligations may require higher coverage to help the surviving spouse manage debt. Losing one income makes carrying multiple debt payments difficult, even when the remaining spouse works full-time. This coverage level provides funds to pay off debts or maintain payments until your spouse adjusts financially.
Those providing for elderly parents, adult dependents or relatives abroad may use a $3 million policy to continue multigenerational financial support. Your death eliminates not just your immediate family's income but also the financial support that extended family members rely on for healthcare, housing or daily expenses.
Those planning charitable contributions or endowments often use high-value life insurance to leave a lasting impact. A $3 million policy lets you make significant charitable gifts through your estate without reducing what heirs inherit. You can designate charities as beneficiaries for a portion of your death benefit while protecting your family's inheritance.
Comparing average costs across coverage levels can help you understand how premiums vary with coverage and determine the right amount for your needs. We also analyzed rates for the following:
If you want to estimate the coverage amount suitable for your needs, use our life insurance calculator.
A $3 million life insurance policy delivers robust financial protection for families facing complex economic situations. Healthy 40-year-old nonsmokers pay approximately $199 per month for men and $161 per month for women for 10-year term coverage.
Your actual premium reflects different variables beyond age and gender. Underwriting class, health status, tobacco use, occupation and family history all influence what insurers charge. Small improvements in health metrics before applying can shift you into better rating classes, potentially saving thousands over your policy term.
Compare quotes from multiple insurers before committing to ensure you're getting the best policy and rate.
We answer frequently asked questions about $3 million life insurance policy and costs.
Employer group coverage rarely exceeds one to two times your salary and disappears when you leave your job. Consider using group life insurance as supplemental financial protection, not your primary coverage.
Insurers verify your financial need for $3 million through documentation requirements not applied to smaller policies. Expect to provide recent tax returns, financial statements showing assets and liabilities, and sometimes, business valuations if you're self-employed. Insurers ensure that your life insurance coverage request aligns with your actual financial exposure, rather than speculation.
Most term policies don't allow death benefit reductions. You can't just lower from $3 million mid-term. Instead, you'd have to cancel the $3 million policy and apply for new coverage at your current age.
Consider laddering multiple policies initially, rather than one large policy, if you anticipate needing less coverage over time.
Finding the right $3 million life insurance policy requires understanding what you'll actually pay across different insurers. We analyzed 248,399 life insurance quotes across different ages, health profiles and smoking status.
Most rate studies focus on policies under $1 million. But insurers price $3 million policies differently. Some add steep premiums once coverage exceeds $1 million, while others specialize in high-limit policies with competitive rates. We gathered quotes to reveal average rates and determine which companies consistently offer better pricing at this coverage level.
Our baseline applicant:
We examined $3 million death benefit policies across multiple term lengths, as term length affects pricing. Some insurers charge proportionally more for longer guarantees, while others offer better value as terms increase.
We also tracked how age, smoking status and health rating change the competitive landscape.
We use 2025 market rates to reflect current pricing.
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!
He writes about economics and insurance, breaking down complex topics so people know what they're buying.
