The cost of life insurance can vary greatly, depending on your age and health, the death benefit, riders and many other factors. Term life insurance is a popular option because of its affordability: A healthy 40-year-old buying a 20-year, $500,000 term life policy will pay an average of $26 a month, according to life insurance brokerage firm Covr, or about $312 a year.
CNBC Select has named the best affordable term life insurance in a variety of categories, including coverage limits, convertibility, age restrictions and customer service. For more on how we made our list, check out our methodology.
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Best for no-medical-exam policies: Ladder
Who's this for: Ladder allows many applicants to skip the hassle of a medical exam. It issues term life policies online, with premiums starting at just $5 a month — a price that's lower than many competitors.
Standout benefits: You can adjust your death benefit, or the amount your family would receive if you passed away, as often as you need without a fee, something other insurers don't offer.
- No-exam term life with coverage up to $3 million
- Online application process
- Can adjust premiums and coverage for free as needs change
- No riders
- No permanent life insurance
- Enrollment age limit is 60 years old
Best for applying online: Amica
Who's this for: Amica streamlines the approval process by letting you get quotes and apply on its website. If you meet the health requirements, you can even skip the medical exam.
Standout benefits: Amica also offers whole life insurance policies, which build cash value you can tap while you're still alive.
- Can get term life quote and apply online
- 10% bundling discount with auto insurance
- Terminal illness rider included
- Not all policies and features available in all states
- No universal or variable life insurance
- Few riders available
Best for seniors: Corebridge Direct
Who's this for? Corebridge Direct allows seniors aged 80 and older to get covered with guaranteed issue whole life insurance, with fixed payments for life.
Standout benefits: Living benefits with Corebridge Direct's guaranteed-issue whole life insurance policies can help with unexpectedcare costs.
Corebridge Direct Life Insurance
Cost
The best way to estimate your costs is to request a quote
App available
No
Policy highlights
Corebridge Direct has been offering life insurance since 1995 and offers a variety of coverage types with flexible options. Customers can get quotes online or by phone for term life insurance policies.
Pros
- 18 different term options, including any term between 15 and 30 years
- Offers renewable and convertible term life insurance
Cons
- Ranked last for customer satisfaction by J.D. Power
- High volume of customer complaints to regulators
- Does not underwrite its policies
Best for living benefits: Symetra
Who's this for? Symetra's SwiftTerm policies automatically allow you access funds while you're still alive, something other insurers charge extra for.
Standout benefits: Available to applicants aged 20 to 60, policies can be underwritten in as little as 18 minutes. SwiftTerm term life policies have death benefits of up to $5 million — a higher limit than most insurers that offer for same-day approval.
Symetra Life Insurance
Cost
The best way to estimate your costs is to request a quote
App available
No
Policy highlights
Symetra offers term and permanent life insurance policies. Its term policies can be purchased simply online in as few as 18 minutes, and policies are available for up to $5 million. Customers between 20 and 60 years old can apply for term insurance, and those ages 20 to 85 can apply for permanent life insurance.
Pros
- SwiftTerm policy can be bought online quickly for qualified applicants
- SwiftTerm policies include accelerated death benefits that can be used if diagnosed with a terminal illness
- Several optional riders can be included in term life insurance policies
Cons
- Doesn't offer whole life insurance options
- Not rated by J.D. Power
Best for high coverage limits: Pacific Life
Who's this for? While many term life policies max out at $1 million, Pacific Life plans come with limits of $3 million or more. Its competitively priced policies are available in 10-, 20-, and 30-year terms.
Standout benefits: With Promise Term, policyholders can convert some or all of their benefits to a new universal life insurance policy without a medical exam before age 70.
Pacific Life Life Insurance
Cost
The best way to estimate your costs is to request a quote
Online quote for term policy
No
Policy highlights
Pacific Life offers term, permanent and no-exam life insurance, with an accelerated death benefit included at no charge.
Pros
- Most plans have age limit of 90 for enrollment
- Term policies can convert to permanent life without an exam
Cons
- No online quotes
- Must be purchased through an advisor
Best for converting to whole life: Guardian
Who's this for? If you think your income, goals or household spending will change, Guardian allows you to convert term insurance into a whole life policy in the first five years at no additional cost.
Standout benefits: Policies are available to applicants aged 18 to 75, one of the most generous ranges we've seen for term life insurance.
Guardian Life Insurance
Policies
Term, whole and universal
Policy highlights
Term life can be converted into whole or universal life policies. While dividends are not guaranteed, Guardian has paid dividends to eligible policyholders annually since 1868.
Age limits
75 for 10-year term policies, 55 for 30-year term policies, no upper age limit for whole life
Coverage limits
$5 million for term life
Availability
Guardian Life is available in all 50 U.S. states and Washington, D.C.
Online quote for term policy
Yes
Read CNBC Select's review of Guardian life insurance
Pros
- Has paid dividends since 1868
- Whole life insurance policies up to age 90
- No-medical-exam policies up to $3 million
- Available in all 50 states
Cons
- Can't get rate quotes or apply online
- Customer service not available 24/7
- Doesn't offer auto or home insurance
Best for customer service: State Farm
Who's this for? State Farm came in second place in J.D. Power's 2025 individual life insurance satisfaction survey, with customers praising its pricing, availability and ability to resolve issues, among other features. The company also received a third as many complaints as similar insurers on the National Association of Insurance Commissioners' complaint index.
Standout benefits: You can earn a bundling discount with State Farm if you enroll in home or auto insurance along with life insurance.
- Reasonable rates
- Top-rated for customer service
- Return of premium benefit available
- Term policies can be converted to permanent
- Policies must be purchased through a State Farm agent
- Doesn't sell policies in Rhode Island or Massachusetts
- Fewer riders than the competition
- Accelerated death benefit costs extra
How much does life insurance cost?
In 2026, a 40-year-old buying a 20-year, $500,000 term life policy will pay an average of $26 a month, according to life insurance brokerage Covr.
Individual premiums vary greatly, however, based on your age, gender, medical history, smoking status and the type and amount of coverage you buy.
Offers in this section are from affiliate partners and selected based on a combination of engagement, product relevance, compensation, and consistent availability.
Amica offers a level term life insurance and whole life insurance policies payable for 20 years or until ages 65 or 100. Both include a terminal illness rider at no extra charge.
Terms Apply
Pacific Life offers term, permanent and no-exam life insurance, with an accelerated death benefit included at no charge.
Terms Apply
Types of life insurance
While all life insurance is designed to provide a financial cushion to your loved ones when you die, there are a variety of options available.
Term life: Only in force for a set period, typically 10 to 30 years. After that, the policy expires and there is typically no payout. Term life is usually the cheapest kind of life insurance available, making it a good fit for young families with a mortgage, tuition payments or other large financial obligations.
Whole life: Whole life insurance remains in force as long as premiums are paid. Policies come with a guaranteed fixed death benefit and have a cash value component, which you can use to make withdrawals, pay premiums or as collateral for a loan.
Universal life: Universal life insurance also builds cash value but it offers greater customization, including flexibility in payments and death benefits.
Variable life insurance: This form of permanent life insurance offers a cash-value component that is invested in the market. As a result, your policy can lose value if the market performs poorly.
Final expense insurance: Also known as burial insurance, this whole life policy is intended to pay for a funeral or cremation, medical and legal bills and other end-of-life expenses. As a result, final expense policies have a smaller payout, typically $30,000 or less.
| Type | Term length | Death benefit | Cash value | Medical exam | Death benefit | Best for |
|---|---|---|---|---|---|---|
| Term | 10-30 years | Fixed | No | Varies | $100,000+ | Young families and homeowners |
| Whole | Entire life | Fixed | Yes | Varies | $50,000+ | Retirement income |
| Universal | Entire life | Flexible | Yes | Yes | $50,000+ | flexibility in premiums and benefits |
| Variable | Entire life | Flexible | Yes | Yes | $50,000+ | High risk tolerance |
| Final expense | Entire life | Fixed | Yes | No | $2,500-$40,000 | Funeral costs |
How to apply for life insurance step-by-step
- Determine coverage amount: Decide how much life insurance you need by estimating income replacement needs, outstanding debts and any financial support you'll need to provide for your children or other dependents. A common rule of thumb is to purchase coverage equal to 10 times your annual salary.
- Get quotes: Check rates with at least three providers that offer online quotes, comparing price, coverage, riders and other features. Insurance marketplaces like Policygenius make it easy to compare offerings side by side.
- Choose your provider and apply: Select the provider, policy and term you want and complete the application, which will require details about your health, lifestyle, occupation, and financial history. If you need approval quickly or have preexisting health conditions, consider a no-medical-exam policy from insurers like Mutual of Omaha and Amica.
- Approval and payment: Once you are approved, you'll need to provide bank or credit card details and make your first payment to activate the policy.
How to save on life insurance
There are a few ways to keep your premiums low.
1. Buy term life
While term life is only active for a set period and doesn't build cash value, whole life insurance is, on average, five to 15 times more expensive, according to Experian. Make sure you pick a term length that protects your family when you need coverage the most — when your children are still at home or you're still paying off your mortgage, for example.
2. Buy a policy when you're young
The cost of life insurance increases as you get older. Locking in a level-term policy will keep your premiums the same for the length of your plan. And the sooner you get it, the lower they'll be.
3. Maintain a healthy lifestyle
We can't control every aspect of our health, but a good diet, regular exercise, limited alcohol use and good sleep habits can mean you'll pay less for coverage.
4. Don't smoke
If you smoke, your life expectancy is about 10 years shorter than that of a non-smoker, according to the CDC, and you could be charged up to twice as much for life insurance. Depending on the provider, you can be designated a smoker if you use cigarettes, vapes, chew, nicotine gum or marijuana, even occasionally.
If you take a medical exam before enrollment, you may be given a test to verify your tobacco usage.
5. Don't skip the medical exam
If you're young and relatively healthy, a policy requiring a medical exam will have lower premiums and higher coverage amounts than a no-exam policy. It's paid for by the insurer and can take as little as 30 minutes.
6. Comparison shop
Not every insurance company considers your medical history and risk factors the same. Get quotes from several providers and be sure to ask about discounts.
Life insurance FAQs
How much life insurance do I need?
A general rule of thumb is to get enough life insurance to cover at least 10 times your annual income. There are other ways of calculating how much life insurance you need, however, including the DIME method, which adds up all your debts, the income your family will need after your death, your mortgage balance and the cost of all your kids' education.
What is the cheapest kind of life insurance?
Term life is usually the cheapest form because it's only in force for a limited number of years and it doesn't generate cash value. If your needs or financial situation change, there are term life policies that can be converted into permanent life insurance later.
How much does term life insurance cost?
A healthy 30-year-old buying a 20-year, $500,000 term life policy can expect to pay an average of $26 a month. Rates increase as you get older or if you add riders to your policy.
Is life insurance through work enough?
Group life insurance offered by an employer is a good starting point, but it's often insufficient for many families. While experts suggest having 10 times your annual income in coverage, employer-sponsored life insurance usually pays out only 1 or 2 times. Buying supplemental insurance will also allow you to continue coverage if you change jobs.
Is life insurance worth it?
If your family counts on your income to make ends meet, provide mortgage payments or pay for higher education, life insurance is usually a smart move. Even if you don't, a permanent life insurance policy can build cash value you can tap while you're alive.
How fast can I be approved for life insurance?
Many digital-first companies provide same-day approval by using your application information, prescription history and other data, rather than a full medical exam. With accelerated underwriting, some applicants can be approved in as little as 10 minutes.
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Why trust CNBC Select?
At CNBC Select, our mission is to provide our readers with high-quality service journalism and comprehensive consumer advice to help them make informed financial decisions. Every life insurance review is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of life insurance products. To research the best life insurance companies, we compiled dozens of data points on more than a dozen life insurance companies. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content without input from our commercial team or any outside third parties, and we pride ourselves on our journalistic standards and ethics.
Our methodology
To determine the best cheap life insurance companies, we focused on sample premiums for term life insurance with a $300,000 death benefit. We looked at rates for six people, ages 25 to 45, buying a 30-year term policy, and six people, ages 55 to 75, buying a 10-year policy.
In addition to price, each provider was assessed based on policy options, terms and coverage limits, age restrictions, endorsements and customer service. We incorporated customer satisfaction scores from J.D. Power, the National Association of Insurance Commissioners and the Better Business Bureau, as well as financial strength ratings from A.M. Best.
We also considered CNBC Select audience data when available, such as general demographics and engagement with our content and tools.
Based on this criteria, our picks for the best cheap life insurance are:
- For no-medical-exam policies: Ladder
- For applying online: Amica
- For seniors: Corebridge Direct
- For living benefits: Symetra
- For high coverage limits: Pacific Life
- For converting into whole life: Guardian
- For customer satisfaction: State Farm
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