How to Find the Best Term Life Insurance Rates in 
America is getting pounded by extreme inflation, and it won’t get any better soon. If you are interested in purchasing low-cost Term Life Insurance, now is the time. Of course, inflation will also affect the cost of life insurance, just like everything else, so apply and lock in your rates.
Term life insurance is a great product, but remember, it’s only temporary based on your chosen term. It is only human nature for most consumers shopping for a new product or service to become swept over by low-price tags. This tends to be their buying decision based on price alone.
Unfortunately, this happens to thousands of Americans daily, and sometimes no serious problems are created. However, making a poor buying decision now could create financial difficulties for your dependents later on.
Term life insurance is a temporary product that will protect you for a specific period. It can be here today and gone tomorrow. Make sure you choose your term period carefully!
Table of Contents
- What is Term Life Insurance?
- Is Term Insurance Going to Be Your Best Choice?
- Where Can I Find the Best Term Life Insurance Quotes?
- Mistakes People Make When Buying Term Life Insurance
- What is the Difference Between Term & Whole Life?
- Why Should You Consider Your Term Period Carefully?
- What Is No Medical Exam Term Life Insurance?
- What Are the Advantages of Purchasing Term Products?
- What Does 30-Year Term Life Insurance Cost?
- How Can Term Be Converted to Permanent Life Insurance?
- What Kind of Term Riders Can I Add to My Policy?
- How Do Insurance Companies Determine My Rates?
- How Can I Save Money Buying Term Life Insurance?
- Did You Know Life Insurance Rates Are Regulated by Law?
- How to Be Certain You Are Getting the Best Rates
- What Is the Best Way to Apply for Life Insurance?
- Can a Medical Pre-Screen Help Me Get Better Rates?
- Independent Agents vs. Captive Agents
- Term Life Insurance for Seniors
- In Conclusion
What is Term Life Insurance?
Term life insurance is affordable and covers you for a specified period as determined in the policy. Remember that a policy is also a contract where the insurance company agrees to insure your life as long as you pay your premium. But the critical part to remember is they will insure your life only for a specific period.
After the term period expires, the policy will be terminated. You can keep paying on the policy, but the premiums will be extreme after the original term. You can convert your term coverage into permanent coverage at a pre-determined time before the policy expires.
Is Term Insurance Going to be Your Best Choice?
Term insurance will be your most cost-effective policy design, especially with this severe inflation!
On average, most people will significantly benefit from purchasing low-cost term life insurance vs. other plans. Of course, a person’s specific needs for life insurance can vary, but term life insurance can usually do a great job of providing excellent financial protection.
Most people consider term products the best possible choice due to the low-cost factor and affordability. The most significant percentage of consumers decide to purchase their life insurance late in life.
This leads to high premium costs or even a decline if they have medical conditions. Term insurance, in many cases, is the only plan design they can afford.
Where Can I Find the Best Term Life Insurance Quotes?
The best term life insurance quotes are available on our website. If you want to instantly compare term life insurance quotes from over 40 top-rated companies, you can do so in less than a minute. Our quoting system will allow you to compare the lowest term rates, which are up to date, and the quotes are pulled right from the insurance company’s data servers.
We only work with the most trusted life insurance companies that maintain A+ rankings. If you have any severe medical concerns, you may want to call us before getting too involved with quoting systems to ensure your medical conditions are considered.
Common Mistakes When Buying Term Life Insurance
Many term insurance buyers do not understand what they are buying. Their biggest problem is failing to purchase a long enough term period. I see young people needing life insurance and purchasing ten and 15-year term policies for many years.
After the short-term period, they have no more insurance in force and then have to shop for more at a much higher premium because they are older. In addition, they may maintain many financial liabilities passed down to their spouse and children.
If they decide to purchase another policy, the cost will be much higher since they are 10 or 15 years older. If they have been diagnosed with severe medical conditions, it may be impossible to buy more coverage, and then they are out of luck.
What is the Difference Between Term & Whole Life Insurance?
Term life insurance is temporary coverage, and Whole Life is permanent life insurance based on a cash value system. Whole life insurance pays an interest rate to build up a cash value that grows with time. This sounds great, but Whole Life insurance is costly, and most people can no longer afford it.
With high face amounts, people purchase today. Unfortunately, Whole Life products cost themselves right out of business. Many life insurance companies do not even offer Whole Life insurance anymore.
Today, many people buy million-dollar life insurance policies, which are always very affordable term products. However, the whole life policy could easily be over ten times the cost of cheap term life insurance.
Why Should You Consider Your Term Period Carefully?
Everyone’s needs are different, so we have a considerable choice of options for life insurance. For example, some people will need coverage for the rest of their life.
Some will need it for 30 years and some for only ten years. Due to the fact we don’t all have a crystal ball, we don’t know what the future will have in store for us. Don’t sell yourself short with too short of a term period. You can always cancel your policy if you no longer need it.
This is smarter than trying to replace coverage when your policy suddenly ends. You will then receive that dreaded letter from your life insurance company informing you that your coverage has been completed.
What Is No-Medical-Exam Life Insurance?
This is very simple: NoMedical Exam Term Life Insurance refers to the application process required to purchase these products. In essence, these plan designs are term products with a much shorter application process in which no physical exam must be approved.
These plan designs usually have a brief turnaround period where an applicant can be approved within several days instead of weeks. The most significant point to remember is that No Exam Life Insurance will stop being no exam if you have serious health concerns.
Instead, insurance companies will slam on the brakes and request a physical before moving further. These plans also cost more because the carriers don’t get a chance to review your mental and physical health in more detail.
You must meet the No Medical Exam Policies requirements to proceed with the underwriting process. For example, if you have a severe medical condition such as heart disease, you will not qualify for a Non-Med application.
What Are the Advantages of Purchasing Term Products?
- They offer a large selection of Riders available to customize the policy design.
- You can convert the term policy to a permanent Universal Life policy.
- You can designate a time if you only need life insurance for a specific time.
- Your death benefit is level and never changes with time.
- Your premiums will always be the same from year to year.
- The cost of the policy will always be the most cost-effective compared to other plan designs.
How Much Does a 30-Year Term Life Insurance Policy Cost?
The famous question of What Does 30-Year Term Life Insurance Costs is virtually impossible to answer because it depends on several specific information elements to determine the actual premium.
Here is a breakdown of some information required to determine your exact life insurance rates.
- Your age
- Your Overall Health History
- Your Driving Record
- Do You Have a Dangerous Hobby or Sport?
- Do You Have a Hazardous Occupation?
- Do You Use Prescription Medication?
- Medical Information Bureau Report
- Your Credit Rating
If you are interested in how much 30-year term life insurance costs, call us, and we can ask you a few questions and give you some advice over the telephone.
Can Term Insurance be Converted to Permanent Coverage?
Suppose you have wondered how a term policy can still be an excellent long-term choice even though it is a temporary plan design. You can convert your term policy into a universal life policy. The term typically has a 10 – 30 year term before it terminates. As I mentioned, you can convert it into a permanent universal life insurance policy.
You can do this at a specific time designated in your policy. You can also combine a separate universal life policy to have the best of both worlds. Having a term and a universal life policy can be beneficial and cost-effective. You can buy term insurance with a higher face amount for a time when you will have the highest financial liability.
Then, you can purchase an additional universal life insurance policy with a lower face amount to cover the rest of your life. The universal life policy will still give you financial protection long after the term has expired. This method works out great for people and creates a perfect life insurance portfolio.
What Kind of Term Riders Can I Add to My Policy?
Here are just some of the riders available to add to the Term policy:
- Guaranteed Insurability Rider
- Return of Premium Rider
- Child Term Rider
- Accidental Death Rider
- Long-Term Care Rider
- Accelerated Death Benefit Rider
- Family Income Death Benefit Rider
- Waiver of Premium Rider
How Do Insurance Companies Determine My Rates?
The cost of term insurance will depend on several main factors, such as:
- Your Current Age
- Your Gender
- Driving Record
- Credit History
- Health History
- Height & Weight
- Dangerous Sports Involvement
- Hazardous Occupation
- Parent Health History
Why Are Some Applicants Classified as a Higher Risk Than Others?
Usually, the main factors that will impact your rates will be medical conditions. Also, your occupation and the sports you are involved in. Suppose you have any severe medical conditions. Your rates can increase based on the severity of these health issues.
For example, cancer, heart disease, and any life-threatening condition can drastically increase your rates and even decline your application.
If you have a dangerous occupation, the insurers will also consider this. For example, fields such as pilots, commercial divers, storm-related electrical workers, etc., can increase job-related deaths due to their hazards.
Dangerous sports can also come under the microscope, such as rock climbing, drag racing, skydiving, and scuba diving, among many others. Any sport that has a history of fatalities will be taken into consideration.
Should I Buy Group Term Insurance From My Employer?
There is nothing wrong with having term life insurance through your employer. The only problem is you can’t count on it being there for the long haul. If your employer decides to cut expenses, your life insurance could be the first expense to go.
You may be terminated and lose your group life insurance coverage no matter how secure your job is. Since you cannot depend on having life insurance with your employer, your family’s financial future depends on having you continuously have life insurance. Purchasing a personal policy will be the only way to play it safe.
However, you can consider life insurance through your employer for supplemental coverage.
How Does Height and Weight Affect My Application?
If there ever was an essential ingredient in a life insurance application, it is your height and weight. Applicants who are overweight or obese can look at increased rates or even a decline. Therefore, being overweight is a concern life insurance companies take seriously.
An overweight person can develop serious medical problems such as diabetes, heart disease, or stroke. Therefore, being overweight or obese can play a significant part when calculating your health classification.
How Can I Save Money Buying Term Life Insurance?
Rate bands – Purchasing a face amount that will allow you to take advantage of life insurance rate bands will help you save money. Rounding off a number like $200,000 to $250,000 can work wonders.
As another example, if you are interested in a $450,000 face amount, rounding it off to $500,000 would reflect another decrease in the cost of coverage. Most people have never heard of rate bands, but working with them can help to reduce your premiums. Click the link above to learn how they can save you money.
Laddering policies – Laddering policies are where you use two or more policies with different term periods to create a life insurance portfolio. Here is an excellent example of how laddering policies can reduce your life insurance expenses. Suppose an individual needs $1,000,000 in life insurance coverage.
You don’t have to buy one policy with a face amount of $1,000,000. Instead, it would help if you had life insurance for 30 years with a total death benefit of $1,000,000. In this scenario, we will pretend that you need the most coverage for the first twenty years to cover a mortgage and college tuition.
You can purchase a 20-year term policy for $750,000 and then buy another policy for $250,000 for 30 years. After twenty years, the 20-year Term policy drops off, and you are now left with another ten years for $250,000. This will be less expensive than purchasing a policy for 30 years with a $1,000,000 face amount.
Here Are a Few More Ways to Save Money:
Paying annually if possible – Your mode of payment can also help save you money. You can save as much as 10% by paying annually vs. monthly or quarterly. Many people choose a billing mode depending on their budget.
If you can comfortably pay your premium annually, do it and save some money. This will help you save money for years when you look at how many years you will be paying premiums.
Underwriting reconsideration – If your agent receives the final rates and believes he can improve the health class, he can ask for a reconsideration. If this does not work, your agent can use your application to re-apply with other companies.
Face amounts – A face amount is also known as a death benefit. Make sure you spend enough time carefully planning out the best face amount needed to provide just the right amount. If you buy too much, you will be over-insured and have higher premiums.
If you don’t purchase enough, your dependents face a financial dilemma. Look closely at what your dependents would need to live on if your income suddenly stopped.
Did You Know the Law Regulates All Life Insurance Rates?
Many consumers believe that insurance prices can vary from agent to agent. Nothing could be farther from the truth. This means you can’t find a better price for the same insurer’s product. There are no “sales prices” or special discounts or rebates. The cost of all forms of insurance is etched in stone with no variation from where you buy it.
Each state has an insurance department that regulates all insurance prices. Therefore, if the insurance product is the same, the premium will also be the same. Please read our blog post; rates are regulated by state law for more information.
How Can I be Certain to Receive the Best Term Life Insurance Quotes
Getting the best rates will depend on how hard your agent shops the market for you. We work with over 40 of the most competitive companies. But we also shop the market to the extremes to get our clients the lowest rates.
But remember, getting the lowest premium will depend extensively on your health history and lifestyle. We are always bound and determined to secure the best rates because our reputation depends on them. In addition, we can always guarantee you the best rates because we use all competitive life insurance companies.
What Is the Best Way to Apply for Life Insurance?
The best way to apply for life insurance is over the telephone. You no longer have to complete an old-fashioned 20-page paper application or a confusing online application. Instead, all you have to do is sit back, and a friendly gal in the telephone application department will ask and answer your questions.
There is no better way to apply for term life insurance than over the phone. The telephone application will only take about 15-20 minutes to complete.
Can a Medical Pre-Screen Help Me Get Better Rates?
A medical pre-screen (if needed) can make a difference when planning on getting the best term life insurance rates. This holds if you have any medical conditions, a hazardous occupation, or a dangerous sport.
Even if you smoke, use marijuana, or are overweight, among other areas of information. A pre-screen can be completed in about 5 minutes by completing a short questionnaire or answering a few questions on the telephone.
Independent Agents vs. Captive Agents
Independent agents are also known as brokers. The brokers represent all the best-rated life insurance companies in the nation. They also DO NOT work for life insurance companies; they work for their clients and have their best interests.
Captive agents ONLY represent one insurance company. They work specifically for that only company and have their company’s interests in mind. Therefore, there is a considerable difference between independent and captive agents.
Independent agents like ourselves are the ones to connect with if you are looking for the best term life insurance rates.
Term Life Insurance for Seniors
There are many good choices for term life insurance for seniors. Sometimes, seniors with serious medical problems can apply for guaranteed issue life insurance, also known as Final Expense Life Insurance.
They can also apply for conventional term products from many reputable companies. Seniors have the same advantage of using high-quality, competitively priced life insurance as younger people.
If you are considering purchasing term life insurance and want to ensure you get the lowest premiums, give us a call, and we will be happy to assist you. The good part is there is no cost or obligation for our help!
If shopping for the best rates is not your cup of tea, let experienced independent agents like us do all the work for you. These poor economic times with growing inflation will eventually drive up new business rates. So apply as soon as possible so you can lock in your rates.
All the best,
If you have any questions about Term Life Insurance or any other questions, contact us today and let us help you with no cost or obligation. We are brokers that work for their clients, not insurance companies. We will help you get approved for the best policy with the lowest rates. You can also set up a time to get all your questions answered.