Here are the top insurance companies that provide term life coverage and why we like them:

 

 

Why Trust Us?Here’s a breakdown of how we reviewed and rated the best life insurance companies.
und" stroke-linejoin="round" stroke-width="3" stroke="currentColor">
34
Companies Reviewed
tion: normal; font-weight: 900; line-height: 1; text-rendering: auto;" tabindex="0">
100
Hours Researched
19
Rating Factors
ca-pub-9435254448722830" data-adsbygoogle-status="done" style="display: block; margin: auto; background-color: transparent; height: 300px;" data-ad-status="filled">
box; height: 30px; position: relative;">
Expert Approved

Ethos

OUR PICK FOR NO-EXAM COVERAGE
p_brandcta" rel="nofollow sponsored" style="box-sizing: border-box; text-decoration-line: none;" target="_blank">
4

Ethos Life is a tech-forward life insurance provider offering both term life and whole life coverage with an all-online application. The company was founded in 2016 with the mission of simplifying the process of obtaining life insurance by leveraging technology to make underwriting faster. Ethos term life coverage is competitively priced in some areas, but may not be the most affordable option in most states. Qualifying Ethos life policies also include free estate planning tools, offering a one-stop-shop for those looking for peace of mind as they age.

While Ethos offers guaranteed-issue whole life insurance without a medical exam, it enforces an age limit of 66 to 88 years old to qualify for coverage. The company’s maximum whole life death benefit of $30,000 is also lower than some competitors, but its streamlined process is quick and offers coverage in minutes.

Pros & Cons

Coverage & Add-Ons

Bestow Life Insurance

OUR PICK FOR ONLINE TERM POLICIES
3.5
  • Policies offered: 10 to 30 years
  • AM Best rating: A+

yle="align-items: center; border-bottom: 1px solid rgba(112, 112, 112, 0.25); box-sizing: border-box; color: #3ba14a; cursor: pointer; display: flex; font-family: Mulish, sans-serif; font-size: 16px; font-weight: 400; justify-content: space-between; line-height: 19px; margin: 0px; padding: 20px 0px;">Why We Picked Bestow

Pros & Cons

Coverage Options

Available Riders

Fidelity Life

OUR PICK FOR ACCIDENTAL DEATH COVERAGE
4.2
ttom: 0px; order: 5; width: 194px;">
  • Policies offered: Term, whole and guaranteed issue
  • AM Best rating*: A-

Fidelity Life could be a good fit if you are older, have serious health issues or have been denied coverage in the past. The company offers several options for permanent no-exam coverage, including whole life, final expense and accidental death benefit policies.

It holds an A- rating with AM Best, indicating excellent financial strength. But if you’re more concerned about customer service, Fidelity Life isn’t the strongest provider on this list. It receives a higher concentration of complaints from state insurance departments than other providers of its size.

*A.M. Best ratings accurate as of July 2023

Pros & Cons

Coverage & Riders

Nationwide

OUR PICK FOR BUNDLING INSURANCE
tive;">4.8
  • Policies offered: 10-year, 15-year, 20-year, 30-year terms
  • AM Best rating*: A+

Based in Columbus, Ohio, Nationwide has been in business for over 90 years. The company gets an A+ financial strength rating from AM Best, a credit reporting agency that measures an insurance company’s ability to pay out claims and meet debt obligations. When a company has a high rating, it shows they have the financial means to provide claims payouts.

Shopping for rates with Nationwide is easy. The website has a quote tool to check rates on term life insurance policies. Bundling life insurance with car and home insurance may even qualify you for a rate discount of up to 20%.

Pros & Cons

Coverage & Riders

Mutual of Omaha

OUR PICK FOR ACCELERATED DEATH BENEFITS
4.8
  • Policies offered: 10-year, 15-year, 20-year, 30-year terms

Mutual of Omaha’s mission is to help customers reach their goals and secure their future by providing an assortment of financial services and insurance products. The company boasts a top three ranking for customer satisfaction among individual life insurance providers in J.D. Power’s 2022 U.S. Individual Life Insurance StudySM.

Term life insurance policies at Mutual of Omaha have fixed premiums and can be converted into a permanent policy with cash value. We like that accelerated death benefits can be added to term policies, and in some policies, these riders are included at no extra charge.

Pros & Cons

Coverage & Riders

State Farm

OUR PICK FOR CUSTOMER SATISFACTION
4.6
  • Policies offered: 10-year, 20-year, 30-year terms
  • AM Best rating: A++

State Farm has been around for 100 years, and gets the highest customer satisfaction rating across individual life insurance providers on J.D. Power’s 2022 study. The company’s commitment to customer experience shows in how its website is thoughtfully designed.

The website presents a clear overview of life insurance options and the coverage available. You can start quotes online or contact a State Farm agent to discuss options. The company has over 19,000 agents across the country to help you.

Pros & Cons

Coverage & Riders

ius: 20px; border: 1px solid rgb(204, 204, 204); box-sizing: border-box; color: black; font-family: inherit; padding-bottom: 20px;">

Transamerica

OUR PICK FOR FAST CLAIMS
4.4
  • Policies offered: 10-year, 15-year, 20-year, 25-year and 30-year
  • AM Best rating: A

Transamerica is a major provider of annuities, insurance and retirement solutions with 11.8 million customers and 12.9 million policies in force. Term life insurance policies offer flexible term lengths and riders to customize your policy. High coverage limits also make it an appealing option if you need a high amount of coverage. With their Trendsetter LB life insurance plan, you can also get expedited claims for up to $25,000.

Customer feedback about the company, however, is less-than-perfect. The company gets a below-average ranking in customer satisfaction based on J.D. Power’s 2022 annual study. The study compiled feedback from 3,000 customers on their experience with an insurance provider in areas like communication, interaction and price.

Pros & Cons

Coverage & Riders

Haven Life

OUR PICK FOR DIGITAL FEATURES
4.2
  • Policies offered: 5-year, 10-year, 15-year, 20-year, 25-year, 30-year
  • AM Best rating: NR

Haven Life is an insurance agency, tech company hybrid that’s owned by MassMutual and offers term life insurance issued by MassMutual and C.M. Life, a MassMutual subsidiary. MassMutual gets an A++ AM Best rating, which is the highest possible score and only awarded to insurance companies with very strong financials.

The Haven Life company is a digitally focused company that aims to provide simple life insurance policies that are less cumbersome to apply for. Medical exams aren’t always required to obtain insurance with Haven Life, and the Haven Life Plus policy comes with extra features like access to online services to create a free will.

Pros & Cons

Coverage & Riders

Pacific Life

OUR PICK FOR UNIVERSAL LIFE COVERAGE
4.3
  • Policies offered: 10-year, 15-year, 20-year, 25-year, 30-year
  • AM Best rating: A+

Pacific Life has been in operation since 1868 and has $1.2 trillion in life insurance policies in force. If you’re thinking about starting with a term life insurance policy and moving to universal life coverage later on, Pacific Life is one of the top insurance providers to consider.

Pacific life has three universal life products — universal, variable universal and index universal. Universal life pays interest on your cash value at a guaranteed minimum rate, while indexed universal life provides interest based on a market index. Variable life gives you the opportunity to invest your cash value. And you may have the option to upgrade your term policy to a universal policy until the age of 70 without going through underwriting again.

Pros & Cons

Coverage & Riders

Northwestern Mutual

OUR PICK FOR A PERSONALIZED EXPERIENCE
4.3
  • Policies offered: 10 to 20 years
  • AM Best rating: A++

Founded over 100 years ago, Northwestern Mutual gets an A++ from AM Best. The company specializes in offering tailored financial planning services through advisors, which provides a personal touch if you want one-on-one support. On its website, you can complete a questionnaire about your goals to get matched up with an advisor to discuss policy options. The downside is you can’t get quotes online to compare prices from the comfort of your home, but there is an insurance calculator tool you can use to estimate how much a policy might cost.

Pros & Cons
4px; min-width: 23px; width: 23px;">

Coverage & Riders

New York Life

OUR PICK FOR PERMANENT LIFE COVERAGE
4.1
8/10
    start: 20px;">
  • Policies offered: 10 to 20 years

New York Life gets a superior A++ rating from AM Best and offers term life policies with customizable add-ons. One unique add-on is the spouse’s paid-up insurance purchase waiver, which lets your spouse use your plan to obtain their own policy without a medical exam if you die.

Besides term life insurance, New York Life offers several permanent life policies you could convert to later down the road, depending on your goals. New York Life’s whole life policies offer cash value and may pay out an annual dividend. Universal life insurance offers premiums and death benefits that you can adjust, and variable universal life policies let you invest the cash value in the market.

Pros & Cons

Coverage & Riders

Life Insurance Coverage Calculator

*This life insurance cost calculator estimates the coverage needed based on seven inputs: age, gender, smoker status, annual income, years of income replacement desired, number of children and amount of money in savings. The calculations are based on reasonable assumptions and formulas.

Please note that the calculations provided in this example are for demonstration purposes only and may not accurately reflect actual insurance coverage calculations. Consult with an insurance professional to properly calculate your life insurance needs.

 
 
0px; opacity: 0; padding: 0px; visibility: hidden; width: 0px;">

Types of Life Insurance

Life insurance policies are designed to pay out a lump sum to beneficiaries when you die, but features can vary from one policy to the next. Below is a breakdown of the two types of policies — term life insurance and permanent life insurance.

Term Life Insurance

Term life insurance policies cover you for a preset term, such as 10, 20 or 30 years. Since there’s a time limit on coverage, these policies tend to be cheaper than life insurance policies that accrue cash value and cover you for your entire life.

Under the term life insurance umbrella, here are the different types of policies you can obtain, according to the National Association of Insurance Commissioners (NAIC):

  • Level term: A term policy where premiums and coverage stay the same for the entire term.
  • Decreasing term: A term policy where the death benefit decreases throughout your term. This type of policy can make sense if you purchase insurance to cover a specific expense that decreases, like college costs that get lower the closer your child gets to graduation.
  • Renewable term: A policy that allows you to renew at the end of the term without additional underwriting or another medical exam.
  • Convertible term: A policy that can be converted to a permanent policy that builds cash value.
  • >Return of premium     term: A policy where you get a return of your premium payments at the end of the term if you outlive the policy term.

Permanent Life Insurance

Permanent life insurance policies cover you for your entire life as long as you keep up with premium payments. Aside from providing a death benefit, permanent life policies accumulate cash value as you pay premiums. This cash value grows tax-deferred and is money you can draw from during your lifetime. Below are different types of permanent life insurance:

  • Whole life: A permanent life insurance policy where coverage and premiums are fixed, and the policy builds a guaranteed amount of cash value.
  • Universal life: A permanent life policy where premiums may be adjusted, and you get a cash value account that earns interest.
  • Index universal life: A permanent life insurance policy where you can adjust your premiums and cash value earns a return according to a market index, like the S&P 500.
  • Variable universal life: A permanent life policy where premiums can adjust, and cash value built up can be invested to grow your assets. Money may be invested in stocks, bonds, mutual funds and more.

Factors That Affect the Cost of Life Insurance

ht: 29px; margin: 15px 0px;">During underwriting, life insurance companies review your information and family history to decide the risk of insuring you. Below are factors that may affect your insurance premiums.

  • Age: Generally the older you are, the more you’ll pay in life insurance premiums because you’re a higher risk for insurance companies to cover.
  • Health: Insurance companies may require that you go through a health exam as part of the application process, and having health conditions could make you more expensive to insure. Family medical history can also affect your rates. If you’re worried about your health affecting your ability to get insurance, there are some companies that offer no-exam life insurance.
  • Tobacco use: Use of tobacco can lead to a higher risk of illness and can increase your life insurance rates.
  • Occupation: Working in a dangerous job could increase your insurance costs. For example, a life insurance company could consider you a high-risk applicant if you work in construction or mining.
  • Hobbies: If you engage in hobbies that are higher risk, like flying an airplane, rock climbing or skydiving, your insurance rates could be higher.

 

 

Is Life Insurance Worth It?

Whether or not it makes sense to purchase life insurance comes down to who relies on you. The goal is to avoid leaving behind a financial burden. If you’re single or retired without dependents and a paid-off mortgage, life insurance probably isn’t necessary.

However, if you have financial obligations, like a mortgage, and your family would struggle financially after losing your income, buying life insurance could be a good move. A life insurance payout can help loved ones pay for your funeral costs and other living expenses. Plus, cash left over could be inherited by children, giving them a financial head start in adulthood.

Term life insurance is the simplest and lowest-cost type of life insurance coverage. If your main goal is to cover a certain expense after death, like funeral costs or college tuition, this is the type of policy to go for. Meanwhile, a permanent life policy can be worth considering if you can afford higher premiums and you want to build assets while living. Whole life, universal life or variable universal life policies offer cash value accrual that you could eventually borrow or withdraw from.

 

 

OUR PICK FOR NO-EXAM POLICIES
Term life policiesIdeal for 60 and underBest no-exam coverage options
GET A QUOTE
OUR PICK FOR ONLINE TERM POLICIES
Term policies onlyOffers no-exam coverageGet your quote in under 5 minutes
GET A QUOTE
OUR PICK FOR ACCIDENTAL DEATH COVERAGE
Offers no-exam coverage
isplay: block; font-size: 14px; line-height: 16px; margin-bottom: 15px; padding: 0px 0px 0px 30px; position: relative; text-align: left;">Get your quote in under 5 minutesProvides a standalone accidental death benefit
GET A QUOTE
RUNNER UP
Custom quotes from top life insurance providersOur most trusted brandsFind a variety of premium types
GET A QUOTE

Our Conclusion About Term Life Insurance

Life insurance is a financial tool that can help family members make ends meet after losing your source of income. Affordable life insurance can come in small amounts of $25,000 to $50,000, which could be just enough to handle your final affairs. You can also purchase higher amounts of insurance to handle bigger financial obligations, but this will increase your life insurance cost.

If you’re interested in purchasing life insurance, you don’t necessarily need to set up a meeting to talk about your options in person with an insurance agent. Today, many companies provide coverage details on the website for you to compare options, and there are online forms where you can get life insurance quotes. When shopping around for life insurance, review terms, coverage limits and rider options across multiple policies to find the right one for your family. We recommend that you compare quotes from at least three different providers.

Frequently Asked Questions About Term Life Insurance

height: 1.9rem; margin: 0px !important; padding: 0px !important;">

 


v>