If you are shopping for life insurance coverage, then you may have decided that a $500,000 term life insurance policy is the most appropriate choice for your family’s needs. This is a large amount of life insurance that can make up for the loss of household income, debts that are left behind such as a mortgage or other loans, as well as future obligations such as a child’s college education costs. Term life insurance is a very popular type of policy because it allows families to purchase a lot of coverage for a very reasonable amount of money. Learn more about how much a $500,000 term life insurance policy will cost you, and compare rates for your particular situation from some of the top carriers.

What Factors Affect Your Rate?

1. Your Age. The older you are, the more a life insurance policy will cost. This is pretty standard across all different types of policies. This is because the cost of a life insurance policy is based on a person’s expected years of living. As you get older, it is expected that you have fewer years left to live, so your life insurance would cost more.
2. Your Health History. The healthier you are, the less your life insurance will cost. Most companies rate an applicant based on his or her health and there are varying levels of coverage. A person who is in perfect health may qualify for a super preferred rate, while someone with some health problems may qualify for a standard rate. If you have some more serious health issues then some companies offer guaranteed issue life insurance coverage, which has a waiting period of 2 years before the full benefit will be paid out.
3. Your Smoking Status. Smokers can pay 2 to 3 times more for the same policy as a non-smoker so it is definitely worth the savings to stop smoking. Most companies require you to be smoke-free for at least 6 months to consider you a non-smoker. If you have no plans to quit smoking, then be sure to compare rates because there are carriers that offer better rates to smokers than other companies.
4. The Term You Choose. When choosing a term life insurance policy, you have a few different options depending on your needs. If you have a very short-term need, then you can get a 1, 5, or 10 year term policy. If your needs are long-term, then a 20, 30, or even 40 year term policy may be more appropriate. The longer the term that you choose, the higher the cost.

Term Life Insurance Sample Rates

Here are some sample rates for a $500,000 term life insurance policy with a 20 year term. These example quotes are just an estimate to give you an idea of what you might pay. These rates are based on a healthy, non-smoking person (a preferred plus rate). Your rate may be higher or lower depending on other variables.

30 Year Old Male: $285 per year
30 Year Old Female: $215 per year

40 Year Old Male: $530 per year
40 Year Old Female: $380 per year

50 Year Old Male: $1315 per year
50 Year Old Female: $820 per year

60 Year Old Male: $3315 per year
60 Year Old Female: $2155 per year

Get Started and Compare Rates Today

The first step when shopping for any type of life insurance coverage is to compare rates. Since rates can vary by as much as 70% from one carrier to another, it is important to compare several rates from different companies. You can compare rates from several highly rated carriers in less than a minute.

If you are looking for an affordable and long-term way to protect your family with life insurance, then a 30 year term life insurance policy is an economical way to provide that peace of mind. A 30 year term life insurance policy will protect your loved ones with a premium that remains level for 30 years. At the end of the 30 year term, you can renew your policy at the current rate for your age, or you can opt for a permanent whole life insurance policy.

Why 30 Year Term Life Insurance?

The main reason why so many people choose a 30 year term policy is because it is a great way to get a lot of insurance coverage for a very affordable premium. Many of a family’s largest expenses are expensive, yet temporary. One common example is a home mortgage. Most people purchase their home using a 30 year mortgage and most households would not be able to keep up with the payments on that mortgage if one of the breadwinners were to pass away. A term life insurance policy can pay off the balance of the mortgage and protect your family’s lifestyle. The cost of raising children and sending them to college is another long-term expense that needs to be considered. It takes a child at least 22 to 26 years to finish school, get a job or start a business, and become self-sufficient.

The Application Process for 30 Year Term Life Insurance

Getting a term life insurance policy these days is very easy. The first step is to compare rates online and view the premiums from several carriers. Once you find out which company has the best rate for your particular age / health then you can apply right online. Some companies will require a life insurance physical so that they can evaluate your health. If you are in very good health and you don’t need more than $500,000 worth of term life insurance, then you may be able to qualify for a no exam term life insurance policy.

Get started now by comparing rates. Remember that all insurance companies have different underwriting criteria and the premiums can vary by as much as 40 to 70%. It definitely pays to compare!

Most people don’t realize that life insurance can be an asset. In fact, it’s the best kind of asset or more importantly, a true asset as opposed to your primary residence (with a mortgage attached). As with all assets, there are some important things you can do with it both before and after the benefit is triggered. Let’s take a look at how life insurance should be viewed as an asset.

First, what is an asset? Some people have somewhat of a hazy view while others are just plain wrong. What about your primary house? Is that an asset? Well it depends. If you do not derive any income from your house and only pay out due to a liability (your mortgage debt), then it’s hard to call it an asset. Even when you have full paid off the mortgage, it’s still not ideally what you would want in an asset. An asset should pay income. Your primary home does not pay income. Yes, you’re building value over time but that doesn’t really help you make ends meet if a primary earner in the family passes away. In this regard, it’s more like a liability. It all comes down to cash flow and cash flow is what hits people so hard when the income suddenly vanishes due to the unexpected loss of a family member.

Life insurance on the other hand, can be the source of income if the insured passes away. It’s also the best kind of income because it is typically tax-free. Don’t underestimate the importance of this. If you you earn $50K annually through salary, it’s probably more like $35K after tax as you’re all too aware of. Average tax brackets tend to run from 20 to 30%. Life insurance benefits are generally not taxable. This means $500K is $500K. This becomes even more important since our tax system is “progressive”. This means that the more money “earned”, the higher your average tax rate will be. It can even approach 50% when adding federal, state, and so-called “windfall” tax rates. Congress has tried to go after this tax-free status of life insurance but the push-back has been too great. So we have a tax-free asset in term life insurance. Why, would this be an asset? It can create income. If you take your $500K (to continue our example) and invest it, at 5% you’re looking at $25K annually. That’s income derived from an asset and it’s a critical function of life insurance.

rYou can also just spend down this “asset” if you choose since it’s highly liquid. Selling a house can be a difficult proposition reliant on market conditions and other factors (not to mention the question of where are you going to live?). The life insurance benefit is cash. You do not get a more liquid asset than that. If you spend down the asset, you will not retain a residual asset which earns money but you will have more cash flow in the meantime. For example, if we spend $50K each year (to match our replaced income), we have 10 years at this level. At a minimum, that gives you a decade to get your financial house in order following the passing of a loved one and the lost income. Many people without life insurance find themselves having to make truly life-changing decisions in a very short span since they don’t have the immediately created asset that life protection offers. Again…most people will essentially be bankrupt in a matter of months if the family’s income disappears or is even cut in half. Term life provides the asset and more importantly, the income to avoid this situation at an affordable cost. Get a free quote for term life to compare multiple rates from the nation’s top carriers.

How do you choose among a number of different insurance policies? How would you know which one will benefit you in the best way possible? If you are considering any form of term life insurance, then this may be the best option for you. With a capacity to finance small-degree needs given a short period of time for attainment, the ten-year term life insurance coverage may be your best bet yet. This form of term life insurance can be renewed after the initial ten-year term but of course will entail a gradually increased premium amount for the same benefit payout.

The basics of ten year term life insurance

A ten-year term life insurance policy works this way: During the ten-year period of the term life insurance policy, if the plan holder dies, the full face value of the coverage will be paid to his beneficiary either through lump sum payments or monthly income. If the beneficiary chooses to avail of the monthly income payout, the person should consider several different options with regard to the ten year term life insurance policy. The first one involves an income agreement that applies to a specific period. This means that if the beneficiary may pass away while payments are still being made, the payments will cease to be paid even if  the full face value of the original policy has not yet been released in full. Nothing more will be gained from the initial ten year term life insurance policy.

Then there is the option of availing a ten to twenty-year payout arrangement for a term life insurance policy where you are assured that the full face value will be paid in during the span of that ten to twenty year period. With this option, beneficiaries can be provided with the interest payout option where they receive only an interest payout during the given period of time and after the ten or twenty years, the full principal amount of the term life insurance policy will be released.

Conversion privilege is an option with a ten year term life insurance policy

The conversion privilege for a term life insurance policy usually extends to a maximum of only eight years for it to be converted into a more permanent life plan arrangement butt there are insurance companies which give the plan holder an opportunity to use the entire ten year period and still grant a conversion contract. There are also a number of rider options you can add to your initial coverage to increase the benefits from your term life insurance plan. These are the accidental death rider where the beneficiary payout is doubled if the plan holder dies in an accident and the disability rider wherein your premiums will be paid for you by the insurance company if you ever get into a situation that disables you as a result. The responsibility will be taken upon by the company after the sixth month that you are disabled.

A term life insurance policy may also entail certain minimum and maximum amounts which the company will issue depending on the plan holder’s age and medical condition at the time of application. Get a free quote today to compare rates for a ten year term life insurance policy.

Term life insurance is a temporary life insurance covering specific period of time. In this type of policy the insured or the owner pays a premium for a period. The insurance company provides monetary benefit to the beneficiary in case of death of the insured during that period. It is the cheapest type of life insurance available to the general public. Usually the benefit received on death of the insured is income tax free.

There are four parties in term life insurance.

1. The owner is the one who pays the premium.
2. The Insured is the one on whose death will create a death benefit (face value) that will go to the beneficiary.
3. The beneficiary is one who will receive the proceeds of insurance on death of the insured.
4. The insurer is the company providing the insurance.

For instance, Jane pays $50 per month to ABC Company for insuring the life of John (her husband) for a period of 10 years. If John dies during the 10 years, ABC company will pay $50,000 to Jack (the son of John and Jane). Here the insured is John, the owner of the policy is Jane, the beneficiary is Jack, and the insurer is ABC Company. The premium is $50 and the face value of the insurance is $50,000. If John outlives the 10 year term policy, then ABC Company will not be liable to pay any money to any of the parties involved. Often the owner and the insured are the same- a person buys a policy to cover his or her own death and chooses a beneficiary, which is often a spouse or a child.

Term life insurance is a legal contract with terms and conditions and assumed risks. Sometimes there are special provisions like suicide terms wherein on suicide of the insured there is no benefit accrued to the beneficiary. Term life insurance is based on two concepts, theory of diminishing responsibility and Buy Term and Invest the Difference (BTID). In Term life insurance the responsibility or liability of the insuring company reduces as the policy reaches its maturity. Term life insurance is the cheapest type of insurance policy available because there is no cash value at the end of the period. Studies have shown that the mortality rate in term life insurance policies is as low as 1%. Hence the concept of BTID. Rather than going for permanent life insurance (where on the expiry of period the owner will accrue some cash benefit and there is a savings component in it) it is considered cheaper to buy term life insurance and take care of the savings components by investing in other areas. With the present market giving good returns on investment, buying a term life insurance is a more attractive option than permanent life insurance. Term life insurance is available for a period of 5, 10, 20 years etc. As the age of the insured increases the premium increases. The premium is calculated based on mortality rate which is usually dependent on age, sex and whether the person uses tobacco. Most companies provide annual renewable term where in the term can renewed annually however the premium increases annually.

Get a free quote for term life insurance today to compare rates from the nation’s top carriers. Remember that all companies have their own underwriting requirements so it definitely pays to compare.

One should understand all the procedures of acquiring the life insurance policy before you apply for the term life insurance policy. Research is the first thing that should be done to get all the information regarding the policy. The more you read the better it is for you. The best way to get the cheap term life insurance rates is a proper research. Once you have all the necessary information regarding the policy then even you will feel confident to take the decision.

There are many factors that may influence your buying decision, like the need of the life insurance and the cost of the life insurance policies. Review your financial situation before you decide upon the life insurance policy. Once you get a life insurance policy just make sure that you pay the premiums on time. The premiums will vary depending upon the coverage amount stated in the policy, make sure that you make the right calculations so that you get the right figure.

{You need to ask few questions either to yourself or to the life insurance agent. When you ask questions, you can expect that answers and you will then feel more confident about the buying decision. Some of the questions that you need to ask are as follows:
o    What is the definition of good term life insurance rates for me?
o    What is the life insurance coverage amount that I will need to secure my family?
o    What kind of life insurance policy will be the best for me?/ There are few questions that need to get answered and either you can answer hem or your life insurance agent. The objective of these questions is to make you feel more confident before you decide the policy. Listed below are few such questions:
o    What is the definition of good term life insurance rates for me?
o    What is the life insurance coverage amount that I will need to secure my family?
o    What kind of life insurance policy will be the best for me?/ Either you or your life insurance agent is entitled to certain questions whose answers are important. These questions are meant just to boost up your confidence before you take the final decision related to the policy. Few such questions are:
o    What is the definition of good term life insurance rates for me?
o    What is the life insurance coverage amount that I will need to secure my family?
o    What kind of life insurance policy will be the best for me?}

Internet is one way to get the answers of the questions related to the life insurance policy. You can also consult a professional life insurance consultant to get the answers if your questions are too personal. Usually these agents are in the position to answer your queries. It is good if you arrange for a meeting with the professional life insurance consultant and get all the information that you would want to related to the life insurance policy.

If you have any queries related to the term life insurance rates or the term life insurance quotes, you can ask him or her. Such meetings with the professional life insurance consultants need to be elaborate and descriptive. Before you plan for the meeting with the professional life insurance consultants, you will have to keep all the facts and figures ready with you. If you have any financial documents that need to be discussed with the professional life insurance consultant, make sure to carry it along when you are meeting up with him or her.

Usually the initially questions that you ask the professional life insurance consultant are related to the type of life insurances. Initially he/she will explain you all the basics of the term life insurance. The term life insurance quotes will not be shown to you in the very initial stage by the professional life insurance consultant. They believe in analyzing your needs of the life insurance and so they will get all the financial data out from. In case you need a temporary life insurance then the term life insurance policies will be advised to you by the consultants.

How you get all the information out from the professional life insurance consultant is left to you. If you are not clear about any concepts or rates, you will have to talk to the professional life insurance consultant immediately and let him or her know that you have not understood the facts and figures. All good professional life insurance consultants will show you the best term life insurance quotes. You are the final authority when you are deciding on the life insurance policy. Check out the best term life insurance quotes and then take the final call.

The answer to that question depends on YOU. Are you 22 or 62? Are you perfectly healthy or do you have some health issues? Do you smoke? Are you male or female? Do you skydive or are you a pilot? All of the answers to those questions (and more) can be taken into account to determine what rate you’ll pay for your life insurance.

One Million Term Life Insurance Sample Premiums

Since there are so many variables that go into the cost of life insurance, it makes it impossible to say how much a certain amount of insurance costs without that other information. To show you how much it varies, here are some example premiums for a $1,000,000 20 year level term policy:

25 year old, healthy, non-smoking male: $300.00 per year

25 year old, smoking male:  $1120.00 per year (Smokers pay about 50% to 200% more)

55 year old non-smoking female with some minor health issues: $3825.00 per year

60 year old male in perfect health: $4755.00 per year

One Million Term Life Insurance – Compare Your Rates

It gets even more complicated because every company has their own underwriting requirements and their own rates. So the same healthy 25 year old might pay $300.00  per year with Company A, and $480.00 per year with Company B for the same million dollar term policy. That’s why it’s important to work with an experienced agent who can give you quotes from multiple companies. They can give you guidance about which company has the best rates for your particular situation. Do some comparison shopping for $1,000,000 of term life insurance before you commit, especially if you are a smoker or if you have health issues.