What Can I Expect Term Life Insurance to Cost?

Your term life insurance costs are based upon several variables such as your age, your state of fitness and the amount of death benefit you apply for. As a fairly obvious rule of thumb, the lower your age and the better your health, the lower the cost.

To give an approximation, a fit woman of 45 years of age who purchases a 15 year term life plan with fixed premium can expect to pay $375 per annum for half a million dollars’ worth of cover. A healthy male who is ten years older can pay more than double that amount. A sixty year old man can pay up to $3,500 so it’s best to buy term life insurance when your are younger and healthier if you wish to keep costs low.

Should you consider buying a cash value policy, you can expect to pay much higher costs. Universal life policies can cost as much as ten times that of a term life plan; it is not unusual for cash value premiums to cost around the $4000 mark for 40 year old policyholders who have a good level of fitness. This is due to the fact that a large part of this premium contributes to the investment product that is a benefit of the universal life plan. As you can see, the difference in cost is palpable.

Term Life Insurance Costs at a Glance: