49431 Life Insurance Ranked Table – V4

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Maximum Coverage Amount:

$2 Million

Monthly Premium:

Starts at $4/month

• Flexible term life policies that adapt to your family’s changing needs
• Take a 3-minute assessment for custom coverage recommendation
• Policyholders choose their payment date
• Select term life policies are convertible to whole life
• Ages 18 to 75 are eligible
• 10 to 40-year terms available
• Up to $35k in whole life insurance coverage for ages 50 to 85

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MORE ABOUT THE TOP TERM LIFE INSURANCE PROVIDERS

Ethos Life – Coverage Up To $2 Million Starting At $8/Month

Medical Exam: Not required

Ethos Life offers same-day coverage term life insurance policies without the need for a medical exam (just answer a few health questions). Applications can be completed online in just 10 minutes with a high approval rate of 95%. Policies are underwritten by well-known insurance companies such as Legal & General America, Ameritas Life Insurance Corp., and TruStage®. However, Ethos Life is currently not available for residents of New York.

Additionally, eligible policies (LGA users) come with an additional rider – an accelerated death benefit at no additional cost. And as an added bonus, free will and estate planning services are bundled in, which would otherwise be priced at $149 and $449, respectively.

PROS

• No medical exams or blood tests required (just answer a few health questions)
• Apply online in 10 minutes
• Offers same-day coverage with approval
• Policies are renewable up to age 94

CONS

• Not available in New York

Get Started: Ethos Life

Fabric by Gerber Life – Coverage Up To $5 Million Starting At $7.86/Month

Medical Exam: May not be required

Fabric by Gerber Life is an agency of Gerber Life, a well-known and reputable life insurance company that has been around since 1967. The agency simplifies life Insurance for new families by making it possible to get $1 million in coverage for less than $1 a day. Its online application can be completed in about 10 minutes, with instant decisions available. Policies are issued by Western-Southern Life Assurance Company, Rated A+ by A.M. Best.

Fabric offers a free online will-writing service, as well as instructions on how to make it legally binding. Answer a brief questionnaire and you can have a valid and shareable will in minutes. It also offers a 529 database, making it easy to find a plan for your state so you can prioritize saving for college for your kids.

At the moment, Fabric is available in 48 states, excluding California and New York.

PROS

• Its online application takes about 10 minutes to complete
• Provides free access to online will writing

CONS

• Not available in every state

Get Started: Fabric by Gerber Life

Ladder – Coverage Up To $8 Million Starting At $5/Month

Medical Exam: May be required

Ladder is a great option if you’re looking for flexible coverage. You can decrease or apply to increase coverage as your needs change. For example, as you pay down your mortgage or your kids become independent adults, you may not need as much coverage. However, they do have a stipulation that says you can’t get a policy that exceeds 70 years of age. For example, if you’re 60, the maximum policy term you will qualify for is 10 years. 

Ladder’s age range is narrower than other providers, but their coverage amounts are significantly higher. If you opt into a medical exam, you could be eligible for coverage up to $8 million.  

As for the monthly premium range, it varies a lot based on your specific circumstances. On average, a 20-year, $250,000 policy for a man in his 30s would be about $15.84 per month.

PROS

• Higher coverage amounts than most insurers offer
• Decrease coverage and apply to increase coverage as needed
• Renew your policy after its term expiration on an annual basis for up to 5 years

CONS

• Maximum term length is dependent on age at the time of application

Get Started: Ladder

Everyday Life – Coverage Up To $2 Million Starting At $4/Month

Medical Exam: Not required for 90% of cases

Everyday Life uses its Predictive Protection technology to do a thorough financial analysis to determine the right coverage plan for you based on your unique needs. It’s worth noting that Everday Life says 80% of the time you are likely to be approved at your quoted price. 

In full, its application takes about 20 minutes, and the approval process takes up to 24 to 48 hours. In most cases (90% of the time), people can apply for coverage and get approved without having to complete a medical exam. Whether or not a medical exam is required will depend on your age and health.

PROS

• You get to choose your payment date
• Policies automatically adjust and decrease over time as your life circumstances change

CONS

• Automatic scaling means your monthly premium may increase
• They use predictive analytics to calculate your coverage, so the assessment might not be completely accurate

Get Started: Everyday Life

TERM VS. WHOLE VS. UNIVERSAL LIFE INSURANCE

The choice between these types of life insurance often depends on individual financial goals, budget, and the duration of coverage needed. Term policies are low-cost and often more straightforward and suited for individuals seeking coverage for a specific time frame. In contrast, whole and universal life policies aim to provide lifelong protection with additional financial features.

Which policy is right for you?

Whole Life

• Coverage lasts your entire lifetime
• Guaranteed to build cash value, which you can borrow from
• Guaranteed death benefit that will never decrease
• Premiums don’t increase with age

Term Life

• Temporary coverage for a fixed period (typically 10-30 years)
• Policy does not build cash value over time
• Guaranteed death benefit for duration of policy term
• Premiums remain the same throughout policy term

Universal Life

• Coverage lasts until you turn a specific age (typically 85-121)
• Can build cash value, but it is not guaranteed and may fluctuate
• Increase or decrease death benefits within certain limits
• Flexible premiums and payment schedule

BOTTOM LINE

Term life insurance offers crucial financial protection for a set period, providing peace of mind for your loved ones in case of your untimely passing. Its affordability and straightforward structure make it an ideal choice for young families, individuals with specific financial obligations (like mortgages, raising children,  or educational expenses), and those seeking coverage during their most economically active years. Term life insurance ensures that your family is safeguarded during significant life stages, offering a safety net without burdening you with long-term commitments. It’s an excellent option for those seeking cost-effective and reliable coverage, especially when responsibilities are at their peak.

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Ethos Life: Same-Day No-Exam Term Life Coverage In 5 Minutes

• Coverage Amount: Up to $2 million
• Monthly Premium: Starts at $8.00/month
• Eligible Ages: 25 – 65
• Term Length: 10 – 30 years
• Medical Exam: Not required

FREQUENTLY ASKED QUESTIONS

The most common types of life insurance are term life insurance, whole life insurance, and universal life insurance.  

Term Life Insurance – As we’ve already mentioned, term life insurance provides coverage for a fixed amount of time. Terms usually range between 10 and 40 years. If you were to pass during your policy’s term, your beneficiaries will receive a cash payout from your insurance company. If it expires before your death, your beneficiaries will not receive a payout. Many companies provide an opportunity to convert a term life insurance policy to a whole life insurance policy when it expires, while others may give you the option to renew it upon expiration. But it’s important to do your research because not all term life insurance companies provide these options. 

Whole Life Insurance – Also is a type of permanent life insurance. As the name indicates, whole life insurance lasts your entire life. As long as you continue to pay your premiums, you’re covered, and your beneficiaries will receive a payout upon your death. This kind of policy has a “cash value” component. This is a portion of your premium payment that’s put into a savings account and accrues interest and grows tax-free. Cash value acts as a living benefit – a policyholder can access it during their lifetime should they need to. You can access your policy’s cash value in one of four ways: 

• Borrow against the cash value with a loan 
• Make a withdrawal — it has to be less than the mount you have paid, or it will be taxed as income 
• Do a partial surrender (diminishining the death benefit) or a whole surrender of your policy (sell back your policy, terminating it) 
• Use it to pay your premiums 

Universal Life Insurance (UL) – This is another type of permanent life insurance with an investment savings element, though it offers more flexibility than regular whole life insurance. A UL policy’s premiums can be raised or reduced, within limits — meaning you can pay less than or more than your premium amount – and death benefits can be adjusted as well. Excess premiums are added to the policy’s cash value. For this reason, a UL policy can end up costing less than whole life insurance. Unfortunately, premiums do increase as you age and with the investing element of its cash value component, growth is not guaranteed. 

For many, term life insurance provides sufficient coverage and is probably the most budget-friendly option because of its fixed terms. But it’s not for everyone.  

It’s great if you: 

• Want a policy only for a specific (short) amount of time 
• Don’t see it as an investment 
• Need affordable coverage

Just like any other type of life insurance, term life insurance gives beneficiaries a payout if the policyholder dies.  

What makes it unique is that the payout is only given if the insured person passes away during the specific policy timeframe. 

Term life insurance rates are calculated by several factors. Usually, the healthier and younger you are, the lower your rate will be.  

Here are some factors that can affect your rate: 

• Age 
• Gender 
• History of substance abuse 
• Overall health (current and past) 
• Smoking history 
• Having risky hobbies such as scuba diving or skydiving 
• Health history of your immediate family

A beneficiary is a person listed on your policy who collects the insurance money if the insured person passes away.

A death benefit is the payout of the life insurance policy beneficiaries receive upon the policyholder’s death. This amount is equal to the policy coverage amount.

If you need insurance for a relatively short period of time (e.g., a couple of decades), having term life insurance is a great and affordable way to ensure your loved ones will be taken care of.