Term Life Insurance Cost by Age (2026)

What term life costs by age

Term life insurance is the plain-vanilla version of life insurance: you pay a fixed premium for a set number of years, and if you die during the term, your beneficiaries get the payout. If you outlive the term, the policy simply ends. Because there's no cash value or investment component, term coverage is far cheaper than whole life.

MoneyGeek's 2026 averages for a $250,000, 20-year term policy for a non-smoker in average health show how the price climbs with age^[1]. At 20, a woman averages about $19 a month and a man about $22. At 25, that's $22 for women and $26 for men. By 35 it's $24 and $28; by 45 it's $35 and $44; and by 50 it jumps to $59 for women and $77 for men^[1].

Why the price rises with age

These figures are for a policy with a level premium — the monthly price stays the same for the entire 20-year term. That's the key feature of term life: the rate you lock in at the start is the rate you keep, even as you age. The earlier you buy, the more years you get at a younger person's price.

The price rises with age for a simple reason: the risk of death increases. Insurers price that risk, so every year you wait to buy, the same policy costs a little more — and eventually a lot more. The jump between 45 and 50 is the steepest in the table, which is why the standard advice is to buy while you're young and healthy.

Smoking changes the math dramatically. Smokers pay roughly three times as much: a 40-year-old man averages about $107 a month as a smoker versus $35 as a non-smoker^[1]. Health conditions and family history can also push rates higher, which is why locking in coverage before health issues appear is valuable.

Age isn't the only thing that raises the price — it's also about insurability. If you develop a health condition, a future application could cost more or be declined outright. A term policy locks your rate for the entire term regardless of what happens to your health, which is another reason buying early and for a longer term has value.

Term length matters for price, too. A 30-year term costs more than a 20-year term at the same age, because the insurer is on the hook for longer and for older ages. When you compare quotes, make sure you're comparing the same term length, coverage amount, and health class — otherwise the numbers aren't apples to apples.

How much coverage you need

How much you need depends on what the money is for. A common rule of thumb is 10 times your annual income, but a more useful approach is to add up the actual gaps: outstanding debts (mortgage, student loans), the years of income your dependents would need, and future costs like college. Then subtract existing savings and any coverage you already have.

For a young family with a mortgage and kids, $250,000 is a reasonable starting point, but many financial planners suggest more if you're the primary earner. The good news from the table is that the difference between $250,000 and higher coverage is still modest when you're young. Term length matters too: a 20-year policy covers you through the years your dependents are most vulnerable, while a 30-year term costs more but locks the rate longer.

Don't forget the practical steps: name a beneficiary and keep it current, and consider whether you need coverage for a stay-at-home parent, whose unpaid work would be expensive to replace. A term policy's death benefit is generally paid to beneficiaries free of income tax.

A final point: term insurance has no cash value. You're buying pure protection, not an investment. That's a feature, not a bug — it's why term is so much cheaper than whole life for the same death benefit, and why the standard advice is to buy term and invest the difference separately.

FAQ

Term vs. whole life — which should I buy?

For most people, term. Whole life builds cash value but costs several times more for the same death benefit. Buy term to cover a specific need (raising kids, paying off a mortgage) and consider investing the difference separately.

Do I need a medical exam?

Often yes for the best rates, but many insurers now offer "no-exam" or accelerated underwriting, sometimes at a slightly higher price. When an exam is required, it's usually a simple blood and urine test done at your home or a nearby clinic.

Should I get 20 or 30 years?

Match the term to how long people depend on your income. A 20-year term often covers kids from birth to college. If you have a 30-year mortgage or young children and want certainty, a 30-year term locks in the rate longer — for a higher premium.