As you choose the best life insurance to protect your loved ones, it’s important to understand the different types of coverage available. The best policy for you might not be the best choice for your neighbor. Similarly, your parents (or children) may benefit from a different type of policy.
Life insurance rates have come down in recent years and coverage is probably more affordable than you think. Getting life insurance quotes is easier than ever. To help you get started, consider our top picks for life insurance.
Best Life Insurance:
- Best for Term Life Insurance: Fabric
- Best for No Medical Exam: Bestow
- Best for Whole Life Insurance: State Farm
- Best for Healthy Lifestyles: Sproutt
- Best for Families: Haven
- Best for Instant Coverage: Ladder
- Best for Seniors: Transamerica
Best Life Insurance
Choices abound in the life insurance market and a number of new companies put a high-tech spin on this time-tested insurance type. Term life insurance remains the most popular but it’s hard to beat the reliability of whole life insurance. You can also find specialized policies like life insurance for seniors.
1. Best for Term Life Insurance: Fabric
When you’ve got kids, time is often a luxury. That’s why Fabric makes life insurance easy. Busy parents can get a quote for term life insurance in about 10 minutes. You can be done before the little ones wake up from naptime.
Term lengths of up to 20 years and coverage amounts ranging from $100,000 up into the millions make it easy to customize your policy. Your coverage is rock solid, too. Policies are issued by a subsidiary of Penn Mutual, one of the nation’s oldest life insurance companies.
You can apply online or through a mobile app with Fabric. You’ll find a team of experienced agents ready to help if you have questions.
2. Best for No Medical Exam: Bestow
Life insurance exams are no fun — and they’re probably a big reason why many put off buying life insurance. Bestow doesn’t claim to make life insurance fun but does offer a no-hassle way to get coverage — without doctors or needles.
Bestow makes coverage simple by catering to a select age group and limiting term options. If you’re between the ages of 21-55, you can apply for 10-year or 20-year terms.
Because Bestow uses a simplified coverage model, underwriting can be streamlined as well. The company uses lifestyle and medical data to understand risk and offer coverage with no medical exam.
3. Best for Whole Life Insurance: State Farm
If you’re considering whole life insurance, the largest insurer in the U.S. deserves a closer look. State Farm doesn’t offer a wide array of life insurance policies. Instead, the company focuses on a few well-structured policy types that meet the needs of most households.
Level premiums help insure that your State Farm whole life policy stays affordable and policy dividends can build cash value over time. You’ll even have the freedom to choose how you pay. For example, you can choose a policy that’s paid off in 10, 15 or 20 years, leaving you with one less thing to worry about later in life.
You can also expect a multi-line discount on some other policy types if you insure with State Farm. Whether you’re high-tech shopper or old-school, State farm has you covered. You can get a fast quote online or work directly with local agents throughout the U.S.
4. Best for Healthy Lifestyles: Sproutt
With AI at the heart of its coverage-matching system, Sproutt uses what it calls a QL index to find the best coverage. Sproutt’s Quality of Life Index considers sleep, nutrition, activity and emotional health to find coverage matched to your lifestyle.
For consumers, this tech-based approach translates to customized coverage that rewards healthy and active lifestyle choices with lower rates. Sproutt takes its commitment to objectivity even further by ensuring that its advisors don’t favor 1 company over another based on commission.
Automated coverage recommendations focus on term life options. You can customize to your needs, though, ranging from 5 to 30 years (depending on your age). Coverage amounts start at $50,000 and go up to several million.
5. Best for Families: Haven
While a newer name in the life insurance market, Haven Life is backed by MassMutual, a respected life insurance provider founded in 1851. You won’t have to worry about whether your insurer will still be in business decades from now.
Haven focuses on easy-to-understand term life, which makes the agency a solid choice for busy families.
You can purchase coverage through Haven online, which isn’t unique these days. What is different, however, is that Haven life policies are fully medically underwritten. This means that your premiums are carefully matched to your health and other rating factors. Haven also offers instant coverage, although coverage amounts may be limited.
Coverage is available for most U.S. residents between 18 and 64.
6. Best for Instant Coverage: Ladder
You may have to wait for a coverage decision with many life insurance companies. In some cases, rates can even change after you get a quote. Ladder helps you climb over these obstacles by offering instant coverage if you qualify. Expect to spend about 5 minutes applying and getting a coverage decision.
Ladder’s focus is on fast coverage and low rates. Moving the process online helps Ladder keep rates affordable. Automating underwriting tasks helps the company stay lean — but not mean. Instead, you’ll find a vast help center and helpful online chat powered by licensed insurance pros to answer any questions you have.
Choose from 5 term lengths up to 30 years. Term length eligibility varies by age.
7. Best for Seniors: Transamerica
Depending on your age, you may be able to get a term life policy, even as a senior. However, a final expense policy is worth a closer look because premiums are usually fixed and your coverage is permanent. Look to Transamerica as one of the most complete solutions for this basic policy type.
Final expense insurance is designed to be easy and to cover funeral and medical expenses that could create a hardship for those left behind. You can purchase coverage up to age 85 in most cases through Transamerica. Coverage amounts range from $25,000 up to $50,000.
Transamerica offers no-exam life insurance for seniors and same-day approval may be possible.
Term Life Insurance
It’s best to think of your policy as temporary coverage when you have term life insurance. You’ll have guaranteed premiums for the term or the policy. Term policies can sometimes be renewed after the term expires but the renewal cost is often prohibitive. Instead, term life provides a good solution if you need coverage for a fixed amount of time. For example, many people buy a term policy when buying a home or starting a family. The financial commitment doesn’t last a lifetime, so term coverage can be a good fit.
You’ll pay a fixed premium and term lengths can range from 5 years to 30 years with a basic term policy. However, as you get older, longer terms may not be available or may be more expensive. Term life is often referred to as “pure life insurance” because the policy doesn’t use cash value or investments to provide coverage. Premiums are risk-based, which is why term life coverage is so affordable when you’re young and risk is lower.
For many families, term life is the best life insurance type because its lower premiums help keep the policy affordable even if your income changes. However, cheap life insurance isn’t always the best coverage solution. Be sure to consider other types of life insurance as well.
Whole Life Insurance
Term life is temporary coverage and whole life insurance belongs to a group of policy types that offer permanent life insurance coverage. Your policy protects your family or beneficiaries throughout your entire lifetime and doesn’t expire.
You’ll also have fixed premiums with a whole life policy. However, premiums are usually higher than term coverage for the same amount of insurance. Again, this is because your coverage won’t disappear with a whole life policy — as long as your premiums are up to date. You also won’t see premiums increase as might happen at the end of a term policy.
Whole life insurance also builds cash value. Part of your payment goes to a type of savings account within the policy that grows over time. You’ll have the option of borrowing against this cash value later or even using part of the cash value to pay premiums.
What You Can Expect to Pay
Health, age, gender and coverage amounts all play a role in your life insurance premium. Coverage length also drives rates, with longer coverage terms leading to higher premiums. Smoking has a big effect as well. In many cases, rates for smokers triple compared to non-smokers.
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*quotes as of 3/16/20. Click here to get the most updated quote.
How Life Insurance Works
Life insurance offers an affordable way to provide for others or pay for final expenses. If you die while your policy is in force, your policy pays a death benefit to your chosen beneficiary. In most cases, life insurance payouts are tax-free to beneficiaries, which helps your coverage go further.
Your life insurance policy often provides more than just death benefits, though. For example, you’ll also find options for living benefits that can help pay expenses due to chronic illness. Some policies even offer a rider that pays your premiums if you become disabled.
Today’s life insurance choices range from short-term policies that provide coverage for 5 years or less to lifelong coverage that never expires. Some policies also offer an investment component that can help the policy grow in value. There’s a life policy available for nearly every situation.
Many people have life insurance coverage through an employer but these types of policies tend to have low coverage amounts. There’s also a risk that your coverage goes away if you change employers or lose your job. Purchasing your own coverage helps ensure that you get the coverage amount your family needs and that your coverage is in place for as long as you need it.
Choose the Best Life Insurance
Today’s life insurance market offers more choices than ever, but competition is good for rates. In fact, you might be surprised to learn how affordable life insurance can be. Life insurance becomes more costly to purchase as you get older. Get a few free quotes now. This gives you the chance to compare policies, premiums and features.
Ask questions before you choose and don’t decide based on premiums alone. Life insurance protects the people you care about most, so consider the important details when choosing coverage.
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Finding the right company for your situation means considering all of your options and getting the right advice. Policygenius makes it easy to get personalized quotes from top insurers and apply for your best policy all in one place. Their combination of online tools and support from unbiased, licensed experts makes Policygenius the best site to help you get insurance right.