How to Buy a Million Dollar Life Insurance Policy in 2024

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Overview:

A million dollar life insurance policy is easily obtainable; the process is just as streamlined as for smaller policies, with the difference being the greater number of zeros.

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How Much Is a Million Dollar Life Insurance Policy? – This Is the Question, so let’s Find Out!

Are you looking for a simple and straightforward way to secure a multi-million dollar life insurance policy? We understand the importance of protecting your loved ones and ensuring their financial security.

That’s why we have partnered with over 40 of the most competitive life insurance companies in the market.

With our extensive network, we can offer you the lowest rates for million-dollar life insurance policies. Purchasing a million-dollar life insurance policy has never been easier.

Our streamlined process eliminates the hassle and confusion that often comes with insurance shopping. We have done all the hard work for you by hand choosing the top insurance providers and guaranteeing you the best options available. 

Take action and provide peace of mind for your family’s future. Contact us to secure your multi-million dollar life insurance policy at the lowest rates possible. Safeguard their financial well-being with a policy that truly reflects the value you place on their security.

 

How Complex Is the Process of Buying a Million Dollar Life Insurance Policy?

There is no complexity at all in applying for a million dollar life insurance policy. The application process is a snap!

It is not difficult to buy a $1,000,000 life insurance policy. All you need is the ability to pay the premium, and you are good to go. Life insurance carriers add a hefty discount when you purchase these higher face amounts so you will be surprised how reasonable they are as we get further into this article. 

The application process will work exactly the same as purchasing a lower face amount. With the high cost of living in the United States, purchasing a million dollar life insurance policy is a common practice for many people.

Everything you buy these days costs much more than in the past so people need a higher degree of life insurance protection for their families financial future if the unexpected happens.

 

What Is the Concept of Having an Insurable Interest?

When an individual applies for a multi-million dollar life insurance policy, there is usually a reason why they need such a high face amount. People with a high income normally also have a higher debt ratio such as a very large mortgage, in this case it will be a common practice to have a need for a multi-million dollar policy.

Who will encounter such a high financial loss if the insured dies and why? The carriers just want to ensure there is no criminal intent present at the time of the application. Let’s take a look at an excellent example we can use.

In this example, we will use Jeff, who is 40 years of age. Jeff makes $45,000 per year as a factory worker. Jeff has approximately $4,000 left on his mortgage with no other outstanding debts.

Jeff’s wife, Lisa, also works and makes $40,000 per year. They have two children who are no longer living at home that are out of college and married.

Lisa purchased a $3,000,000 life insurance policy for her husband, where she will be the owner and beneficiary. She will have to prove why she needs such a high death benefit when her husband’s loss of income is only $40,000 per year with no serious monthly expenses to cover.

Lisa basically wants to over insure her husband’s life with such a high face amount. If she has a valid reason for this face amount, no problem, the insurance carrier will approve the face amount request.

Can Medical Conditions Affect My Rates?

If you have any serious medical conditions, make sure to let your agent know so he can give you an accurate prediction of your rates before you apply.

When applying for a 1 million dollar life insurance policy or even higher, having medical conditions would work the same as the lower face amount policies.

Underwriters will consider the added risk your health issues will add to your overall risk factor.

If your medical needs are more severe, you could pay a higher premium for the additional risk the insurer is taking.

Using our quote engine is a great idea but your agent (hopefully us) will have to prepare a custom quote for you based on your health history if you have considerable health concerns.

If you fall into the high-risk life insurance category, a company that is liberal for health conditions is crucial. A simple medical assessment should be performed by your agent before you apply.

For example, applying for a 1, 2, 3, 4, or 5 million dollar policy would differ a bit from a $100,000 policy. The larger the face amount, the greater the potential risk for the insurance company.

 

Strategies for Minimizing Premiums Using Life Insurance Rate Bands

I have never met a consumer that knew what a rate band was. Most agents never take the time to mention them, less explain them in detail. However, using rate bands to your advantage can be the goose that laid the golden egg. 

Premiums for life insurance are categorized into a series of rate bands, which means volumes of life insurance coverage. The more you buy, the more discounts that will be applied because you are buying in bulk.

If you want to learn more about rate bands and how they work, we have written a life insurance rate band blog post to answer all your questions in detail.

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Our website quoting system will display million dollar life insurance quotes with a face amount of up to $10,000,000.

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Who Needs a Million Dollar Life Insurance Policy?

Many people today need million dollar life insurance policies due to high inflation and the cost of living. However, insurance rates have steadily decreased because people live longer than ever.

As a result, it is now cheaper than ever to buy a million dollar term life insurance policy with a very affordable premium. As a result of modern medicine and proper eating habits, the risk factor of people having fatal heart attacks and strokes has been greatly reduced.

People giving up smoking and eating fattening foods have a lot to do with this increase in lifespan. If the risk factor goes down, the life insurance premiums will also go down.

 

Commonly Asked Questions

Here is a sample life insurance quote for a 30-year-old male with a preferred non-tobacco rate classification.

Question- How much does a million dollar life insurance policy cost per month?

Answer – The cost of a 1 million dollar life insurance policy will depend on many variables. Some of these variables will include what type of life insurance you are applying for, your age, your health status, how long you will need the life insurance, and many others.

How about $299.82 per year for a 30-year-old male with Lincoln Financial for ten years and a preferred non-tobacco rate class? Does that sound reasonable to you? That is because it is, and it could be even lower with a preferred best-rate class if the applicant is in excellent health.

Question – What are the best quotes for 2 million to 3 million dollars of coverage?

Answer – To instantly find the lowest rates for 2 million and 3 million dollar life insurance quotes, activate our website’s instant quoting system and compare the best life insurance rates for 2 and 3 million dollar life insurance policies in less than a minute. You can quickly change from two to three million dollars with a flick of the drop-down menu.

Question – How much does a two million dollar life insurance policy cost?

Answer: The question of how much a two-million-dollar life insurance policy is a widespread question people ask. Many people with America’s extremely high inflation and cost of living have found that a $1,000,000 policy is not enough anymore. I suppose you support a spouse and multiple children with a large mortgage.

A $1,000,000 life insurance policy can disappear like a puff of smoke in a tornado. However, the $2,000,000 policies are becoming a face amount many people need. The Lincoln Financial Life Elements plan design costs $509.64 for two million dollars in coverage.

Question – What are the best quotes for 4 to 5 million dollar life insurance policies?

Answer – To give you an idea of the cost, a $5,000,000 10-year term policy with Lincoln Financial for a 30-year-old male with a preferred non-tobacco rate classification would only be $1,139.10. That’s less than $100.00 per month for $5,000,000 in coverage.

Why so cheap, you’re thinking? Life insurance companies set their rate by statistics, showing that a 30-year-old male will statistically outlive the policy.

Question – How much does a 10 million dollar policy cost?

Answer- $10,000,000 policy can also be very affordable if you need this face amount to be adequately covered. A $10,000,000 life insurance policy would cover our 30-year-old example for only $2188.20 per year. So, again, the statistics prove you should buy your life insurance when you are as young as possible. 

The biggest mistake you can make is procrastinating when you are planning to apply for life insurance. You will always pay more as new business quoting rates go up hand in hand with your age.

Question – What are the best million dollar life insurance quotes?

Here are the top 5 best $1,000,000 life insurance quotes:

1. Lincoln Financial “TermAccel” – $299.82
2. American General “Select-A-Term” – $299.90
3. Transamerica “Trendsetter Super” – $300.00
4. Protective Life “Classic Choice” – $331.20
5. SBLI “Premium Term” – $341.00

Question – Do I need a one million dollar life insurance policy?

Answer – I often hear people ask, “do I need a $1,000,000 life insurance policy and do I need a multi–million dollar policy? The answer to these questions is strictly up to the individual. They are the only ones who can sit down and carefully examine their monthly expenses, income, and budget.

The most important part of your life insurance buying endeavor is how much you will need for a face amount. Take your time and think about it carefully. We want to ensure your life insurance portfolio is not over- or under-insured. The next step is ensuring your budget will comfortably afford it when you devise a logical face amount.

Question – How much does a 30 year term, 1 million dollar life insurance policy cost?

Answer – If we go back to our 30-year-old example, we find that Banner Life is coming in at $769.93 for a 30-year “OPTerm 30” term policy with a $ 1 000,000 face amount. You should better understand how affordable these higher face amount policies can be.

 

Examples of Life Insurance Premiums Ranging from 1 – 20 Million Dollars

For example, we will be using a 30-year-old male with a preferred non-tobacco rate class for 20 years. We are using Banner Life for the illustration.

These premiums are per year:

$1,000,000 – $489.99
$2,000,000 – $919.98
$3,000,000 – $1349.97
$4,000,000 – $1,779.96
$5,000,000 – $2,209.95
$10,000,000 – $4,359.90
$15,000,000 – $6,509.85
$20,000,000 – $8,659.80

 

How do Health Classifications Influence the Calculation of Life Insurance Rates?

Health classifications will have a direct impact on your premiums. Here are examples of  $1,000,000 life insurance policies displayed with varied health classifications.

Preferred Plus Non-Tobacco – $401.44
Preferred Non-Tobacco – $489.99
Standard Plus Non-Tobacco – $653.89
Standard Non-Tobacco – $743.83
Preferred Smoker – $1,509.89
Standard Smoker – $2039.88

*The Standard Smoker class costs over 400% more than the Preferred Plus Non-Tobacco class. The bottom line is don’t smoke!

 

Can I Lower My Premiums by Implementing a Laddering Strategy for My Policies?

Laddering policies are an intelligent way to reduce your premiums.

Laddering your life insurance policies could save you thousands of dollars in the long run. Check out this simple example which may look confusing but I assure you it is not.

Let’s just say for example you want to apply for term life insurance that will protect your family for 20 years. The first 10 years will be the period with the most financial liabilities and then after that you will have far less financial burdens to deal with.

You have two simple options to consider:

#1. You can just opt for a two million dollar 20-year term life insurance policy and you will be all set.

Or:

#2. You can purchase a one million dollar life insurance policy with a term period of ten years to cover the most crucial financial period of the first ten years along with another 1 million dollar life insurance policy for twenty years. 

By laddering your policies you will be buying two separate policies at the same time. By purchasing two policies at a time you will have the combined protection you will need for the first ten years of $2,000,000 and then after the first ten is is over, one policy terminates.

For the next ten years you the other policy which will give you the last ten years you want to have protecting your family. This will be much more cost effective than having one policy for two million dollars for the full twenty year period of time. 

 

Can I Expect to Pay Higher Premiums if I Smoke Cigarettes?

Cigarette smoking can sometimes triple your rates because statistics prove it will reduce your life expectancy.

If there ever was a surefire way of increasing life insurance rates, it was smoking cigarettes with no close second. If you are looking for the best life insurance rates, whatever you do, don’t smoke!

Using tobacco products of any kind is very costly when buying life insurance.

Smoking cigarettes will destroy your health and inflate your premiums to the point where most people are not even able to afford it.

It is common to see smoker rates increase premiums by 250% or more depending on the carrier.

Some companies are more liberal with smoking, but your rates will still be higher. Check out our smoking-related blog post if you smoke for more details concerning smokers’ life insurance rates.

What Type of Life Insurance Policy Should I Consider?

You have a choice of three major types of life insurance to consider:

Term Life Insurance:

Term life insurance is America’s most popular and cost-effective life insurance product. Term insurance is temporary life insurance with is available with term periods from ten to forty years.

It can also be converted to permanent insurance at a specific point during the policy period. Virtually all million-dollar life insurance policies sold today are term policies designed to reduce costs.

Permanent Life Insurance:

Permanent life insurance products stay in force for the rest of your life as long as you maintain the premiums. The most affordable and cost-effective product is known as universal life insurance.

Unfortunately, whole life is not cost-effective in today’s market, and many companies have dropped it from their product lines.

Non-Med Life Insurance:

These products are also referred to as no medical exam life insurance, which means no medical exam is required if you are reasonably healthy. Non-Med policies cost more because companies do not collect all the information they would typically review if you had taken a medical exam. 

Which Insurance Carriers Provide the Most Affordable Life Insurance Rates?

In reality, no one life insurance company has the best rates for everyone. Rates will depend on many variables, such as your age and health, among others.

In addition, all insurance companies underwrite applications differently than others. Therefore, choosing the most applicable company is extremely important.

What company might be the best for one person or may not be the best company for another person? Selecting the correct carrier is especially true if you have medical conditions, hazardous sports, or a high-risk occupation.

We use over 40 of the most competitive life insurance companies to shop the market for the lowest rates and cover all our bases. You can use our website’s quote engine to see which companies will offer the lowest rates for you. 

 

Evaluating Million-Dollar Life Insurance Rates

The most common question we are asked is, how much is a million dollar life insurance policy a month. Comparing million dollar life insurance quotes is simple with our instant rate comparison tool built into our website.

You can run quotes from $1,000,000 up to $10,000,000. You will quickly find out which company has the lowest rates specifically for you.

Contact us to determine which company will be your best choice so you receive the lowest rates. 

 

Comparison of Independent Insurance Agents (Brokers) and Captive Agents

You can choose two different types of agents to help you buy life insurance. They are independent agents such as myself, otherwise known as brokers along with captive agents who represent only one company, such as State Farm. Independent agents (such as ourselves) do not work for insurance companies.

An independent agent’s primary concern is helping their client. The captive agent’s primary concern is the life insurance companies interest that they work for and sign their paychecks.

As independent agents, we have access to over 40 top-rated life insurance companies where as captive agents only have one. Needless to say that an independent agent has a huge advantage in finding the lowest rates for their clients.

 

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How Do I Go About Applying for a Million Dollar Life Insurance Policy?

Simply apply over the phone using our SnapApp telephone application system.

Applying for a million dollar life insurance policy would not be any easier. We always recommend using the telephone to save a lot of time.

You can still apply online or with a 20 page paper application, but the telephone application process is the only way to go.

All you have to do is listen to the gal asking the questions and then answer them.

You can easily explain all your answers in detail, so there is no room for a communication breakdown.

It is also impossible to miss completing a question on the application like it was on the paper applications from years ago.

 

Our Final Thoughts

If you have any questions concerning the million dollar life insurance policies, don’t hesitate to contact us. There is never any cost or obligation for our help, and you are welcome to contact us seven days a week.

We can show you how to identify the best rates and have total confidence when you decide to apply.

Purchasing a million dollar life insurance policy should always be a simple process, especially when you have an experienced independent insurance agent specializing in life insurance helping you every step of the way.

All the best,
Jack Venturi

*For any questions you might have, our live chat system is at your disposal or call us at 815-390- 7545 and we will provide a quick answer.

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If you have any questions about million dollar life insurance policies and their cost, contact us today and let us help with no cost or obligation. You can also set up a specific time to answer all your questions. 

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