How much is whole life insurance?
The average cost of whole life insurance is $451 per month. That’s the amount a 30-year-old who doesn’t smoke and is generally in good health will pay for a $500,000 whole life insurance policy.
Whole life insurance rates are calculated based on your age, health, gender, lifestyle factors, and coverage amount.
Methodology
Why you can trust our rates
At Policygenius, our educational guides are written and fact-checked by licensed life insurance experts and reviewed by our Financial Review Council to ensure autonomy, expertise, and accuracy. Our rates are based on internal actuarial rate tables for 10 life insurance carriers that offer policies through the Policygenius marketplace (Brighthouse Financial, Corebridge Financial, Legal & General America, Lincoln Financial, MassMutual, Mutual of Omaha, Pacific Life, Protective, Prudential, and Transamerica), and the Policygenius Life Insurance Price Index, which uses real-time rate data from leading life insurance companies to determine pricing trends. The prices represent the average monthly life insurance premium for each sample customer profile (age, gender) and policy type (term or whole, and coverage amount) as of the date reflected on each table’s methodology. Rates for those products may vary by state, and not all products are available in all states. Individual rates may vary, depending on age, gender, state, health profile, and other eligibility criteria.
Average whole life insurance rates
Since whole life insurance doesn’t expire until your death, you’ll pay premiums for the rest of your life, or until you reach age 100. For illustration purposes, the rates below are for policies fully paid up at age 100.
Age | Gender | $250,000 coverage amount | $500,000 coverage amount | $1 million coverage amount |
20 | Female | $146 | $287 | $545 |
Male | $169 | $334 | $639 | |
30 | Female | $205 | $408 | $801 |
Male | $238 | $472 | $920 | |
40 | Female | $296 | $588 | $1,161 |
Male | $355 | $706 | $1,372 | |
50 | Female | $462 | $920 | $1,826 |
Male | $543 | $1,081 | $2,117 |
Collapse table
Methodology: Rates are calculated for male and female non-smokers in a Preferred Plus health classification obtaining a $250,000, $500,000, or $1,000,000 whole life insurance policy fully paid up at age 100 offered through MassMutual. Rates may vary by insurer, term, coverage amount, health class, and state. Not all policies are available in all states. Rate illustration valid as of 03/01/2024.
Life insurance terms you should know
Beneficiaries: The people you name on your life insurance policy to receive the lump sum of money — also known as the death benefit — when you die.
Cash value: The portion of a permanent life insurance policy’s monetary value that grows tax-deferred over the life of the policy.
Death benefit: The amount of money the life insurance company will pay your beneficiaries when you die.
Face amount: The dollar amount, or death benefit, your beneficiaries receive if you die while your life insurance policy is active.
Insured: The person who is covered by the insurance policy.
Policy: The legal document that includes the terms and conditions of your life insurance contract.
Policyholder: The person who owns an insurance policy. Usually, this is the same person as the insured.
Permanent life insurance: A type of life insurance that lasts for the rest of your life and usually includes a cash value account.
Premium: The amount you pay your insurance company to keep your coverage active. Premiums are typically paid monthly or annually.
Riders: Add-ons to a life insurance policy that provide more robust coverage, sometimes for an extra cost.
Term life insurance: A life insurance policy that lasts for a set number of years before it expires. If you die before the term is up, your beneficiaries receive a death benefit.
Underwriting: The process where an insurance company evaluates the risk of insuring you and determines your final rate.
Average whole life insurance rates payable at age 65
Some whole life insurance policies have a limited payment schedule that renders them fully paid for once you reach age 65. Premiums will be more expensive than a policy paid up at age 100 because you’ll be covering the full cost of your coverage over a shorter period of time.
Age | Gender | $250,000 coverage amount | $500,000 coverage amount | $1 million coverage amount |
20 | Female | $206 | $407 | $785 |
Male | $230 | $456 | $885 | |
30 | Female | $309 | $614 | $1,194 |
Male | $339 | $673 | $1,315 | |
40 | Female | $491 | $977 | $1,917 |
Male | $539 | $1,074 | $2,107 | |
50 | Female | $931 | $1,858 | $3,671 |
Male | $1,005 | $2,005 | $3,961 |
Collapse table
Methodology: Rates are calculated for male and female non-smokers in a Preferred Plus health classification obtaining a $250,000, $500,000, or $1,000,000 whole life insurance policy fully paid up at age 65 offered through MassMutual. Rates may vary by insurer, term, coverage amount, health class, and state. Not all policies are available in all states. Rate illustration valid as of 03/01/2024.
Average whole life insurance rates payable over 20 years
Other limited pay options include 10 pay and 20 pay whole life insurance plans, which arrange payments so your policy will be fully paid over the course of 10 or 20 years.
After the payment period, you’ll no longer have to pay premiums, and you’ll still have lifetime coverage. However, limited pay policies usually come with more expensive premiums than traditional whole life policies do. For this reason, they are a less convenient and affordable option for many people.
Age | Gender | $250,000 coverage amount | $500,000 coverage amount | $1 million coverage amount |
20 | Female | $324 | $649 | $1,270 |
Male | $360 | $720 | $1,414 | |
30 | Female | $431 | $862 | $1,698 |
Male | $473 | $946 | $1,861 | |
40 | Female | $568 | $1,137 | $2,239 |
Male | $623 | $1,247 | $2,455 | |
50 | Female | $758 | $1,516 | $2,995 |
Male | $821 | $1,642 | $3,241 |
Collapse table
Methodology: Rates are calculated for male and female non-smokers in a Preferred Plus health classification obtaining a $250,000, $500,000, or $1 million whole life policy paid up in 20 years, offered through MassMutual. Rates may vary by insurer, term, coverage amount, health class, and state. Not all policies are available in all states. Rate illustration valid as of 03/01/2024.
Average whole life insurance rates payable over 10 years
Age | Gender | $250,000 coverage amount | $500,000 coverage amount | $1 million coverage amount |
20 | Female | $896 | $1,793 | $3,585 |
Male | $960 | $1,920 | $3,840 | |
30 | Female | $1,096 | $2,192 | $4,383 |
Male | $1,163 | $2,327 | $4,654 | |
40 | Female | $1,329 | $2,659 | $5,317 |
Male | $1,414 | $2,829 | $5,658 | |
50 | Female | $1,623 | $3,245 | $6,490 |
Male | $1,711 | $3,422 | $6,844 |
Collapse table
Methodology: Rates are calculated for male and female non-smokers in a Preferred Plus health classification obtaining a $250,000, $500,000, or $1 million whole life policy paid up in 10 years, offered through MassMutual. Rates may vary by insurer, term, coverage amount, health class, and state. Not all policies are available in all states. Rate illustration valid as of 03/01/2024.
Read more about life insurance rates
Life insurance rates remain steady in March 2024
Life insurancerates remained steady in March 2024, according to the Policygenius Life Insurance Price Index (PLIPI). Rates haven’t changed sinceFebruary2023 with the exception ofMay, when they went up by 1.44%.
The PLIPI uses real-time rate data from leading life insurance companies to reveal pricing trends and industry changes.
Read more about the Policygenius Life Insurance Price Index
Ready to shop for whole life insurance?
Start calculator
Is whole life insurance more expensive than term life insurance?
Yes, whole life insurance is significantly more expensive than term life insurance. The average cost of term life insurance is just $26 per month ($312 per year) for a 20-year term life policy with a $500,000 payout. Meanwhile, the average cost of whole life insurance with the same coverage amount is $451 per month ($5,412 per year).
Here are other key differences between whole life and term life.
The length of your coverage: Whole life is permanent coverage, which means it doesn’t expire. Term life lasts for a set number of years and then expires.
The cash value: Whole life has a separate cash value account, while term life does not. Term life policies don’t have a cash value — they only pay out a tax-free lump sum to the beneficiary when the policyholder dies.
Comparing whole life vs. term life
Features | Term life insurance | Whole life insurance |
Permanent coverage | No — maximum of 30 to 40 years | Yes |
Cost* ($500,000 coverage amount) | $26/month for a 20-year term | $451/month |
Guaranteed death benefit payout | Yes | Yes |
Guaranteed cash value | No | Yes |
Premium cost stays fixed | Yes, in most cases | Yes, in most cases |
Pays annual dividends | No | Yes, in some cases |
Collapse table
*Methodology: Average monthly term life insurance rate is for male and female non-smokers with a Preferred health rating obtaining a 20-year, $500,000 policy. Term life insurance averages are based on a composite of policies offered by Policygenius from Brighthouse Financial, Corebridge Financial, Foresters Financial, Legal & General America, Lincoln Financial, Mutual of Omaha, Pacific Life, Protective, Prudential, Symetra, and Transamerica, and the Policygenius Life Insurance Price Index, which uses real-time data from leading life insurance companies to determine pricing trends. Average monthly whole life insurance rate is calculated for non-smokers in a Preferred health classification, obtaining a whole life insurance policy paid up at age 100 from MassMutual. Rates may vary by insurer, term, coverage amount, health class, and state. Not all policies are available in all states. Rate illustration valid as of 03/01/2024.
Whole life insurance rates vs. term life insurance rates
Age | Gender | $500,000 whole life policy | $500,000 20-year term policy | $500,000 30-year term policy |
30 | Female | $408.00 | $22.99 | $34.53 |
Male | $472.00 | $29.33 | $42.45 |
Methodology: Rates are calculated for male and female non-smokers obtaining a $500,000 whole life insurance policy, a $500,000, 20-year term policy, and a $500,000 30-year term policy. Term life insurance averages are based on a composite of policies offered by Policygenius from Legal & General America, Brighthouse Financial, Corebridge Financial, Foresters Financial, Lincoln Financial, Mutual of Omaha, Pacific Life, Protective, Prudential, Symetra, and Transamerica, and the Policygenius Life Insurance Price Index, which uses real-time data from leading life insurance companies to determine pricing trends. Rates may vary by insurer, term, coverage amount, health class, and state. Not all policies are available in all states. Rate illustration valid as of 03/01/2024.
Ready to shop for whole life insurance?
Start calculator
Who is whole life insurance good for?
Whole life insurance can be a good fit for high-net-worth individuals who want to diversify their investments or estate planning portfolio. It can also be a good option for people who have long-term financial obligations. This includes:
People who are maximizing their contributions to tax-advantaged accounts like a Roth IRA or 401(k) and have the budget for an additional investment option
People with lifelong dependents who want a permanent financial safety net
People with unique estate planning needs
A financial planner or insurance professional can help you decide whether whole life insurance is worth it for you.
Read all about the best whole life insurance companies
‘Infinite banking’ life insurance is the latest TikTok trend — but is it a scam?
The truth about infinite banking whole life insurance is more complicated — and costly — than what you may have heard on social media.
Read more about infinite banking
How to buy whole life insurance
Buying whole life insurance is similar to buying other types of life insurance.
First, you’ll fill out an application and have a phone call with an agent.
In most cases, the next step will be to take a medical exam. This is a common part of the life insurance application process. The medical exam is similar to an annual physical, covered by the insurer, and conducted by an examiner in your home or office.
After that, the insurance company will review your application and offer you your final rate, which can take four to six weeks.
Once you sign your policy paperwork and pay your first premium, your coverage will go into effect.
An independent broker like Policygenius can help you find the best insurance policy for you and walk you through the application process. At Policygenius, our experts are licensed in all 50 states and can provide you with unbiased advice to pick the right coverage for you.
Learn more about the life insurance underwriting process
What factors affect the cost of whole life insurance?
Your age, health, and gender will affect your whole life insurance rates. In general, the younger you are, the lower your premiums will be — because we all become riskier to insure as we age.
The type of whole life insurance you purchase will also impact the cost of your policy.
Other factors that will influence your rates — because they have the potential to increase your insurance risk — include:
Family medical history
Smoking status
Driving record
Lifestyle and hobbies
Criminal history
Credit history
What factors don’t affect the cost of whole life insurance?
Here are some other factors that won’t affect how much you pay for life insurance
Marital status. Your marital status doesn’t influence your life insurance rates — and you won’t get a discount for buying a policy at the same time as your spouse.
Credit score. Your credit score won’t determine how much you pay for life insurance, but you credit history could — especially if you have a bankruptcy or late payments on your records.
Your location. The state where you live won’t affect the cost of your police. However, each state has different active rules and regulations around insurance policies, which may affect the terms and conditions of your policy. Also, not every type of policy is available in every state.
How many beneficiaries you have. You can have multiple beneficiaries, and this won’t impact your rates.
The number of policies you have. It’s possible to have multiple life insurance policies. However, if you already have the maximum amount of coverage that you qualify for based on your income and assets, you may not be able to buy another life insurance policy.
Frequently asked questions
How much does whole life insurance cost?
A 30-year-old in good health could pay about $451 per month for a whole life insurance policy with a $500,000 coverage amount. Generally speaking, whole life is significantly more expensive than term life insurance. The cost of life insurance is determined by your age, health, gender, and the type of policy you’re purchasing.
Is whole life insurance a good investment?
Traditional investment accounts typically offer higher returns than whole life insurance policies. However, whole life insurance can help you complement your investment portfolio in certain situations. For example, if you’re already maximizing your contributions to tax-advantaged accounts like a Roth IRA or a 401(k).
Does whole life insurance pay out the full amount when you die?
In most cases, whole life insurance policies pay out the full death benefit when you die. However, if you took out a loan against the policy’s cash value and didn’t pay it back before you died, any amount you still owed will be subtracted from the death benefit. The death benefit is the amount of money your beneficiaries will receive when they file a death claim.
What is the average interest rate on whole life insurance?
The average annual interest rate of a whole life insurance policy is 1.5% according to Consumer Reports. The interest rate on a whole life insurance policy is typically set by the life insurance company.
How much is a $50,000 whole life insurance policy?
A 30-year-old in good health can pay around $57 per month for a $50,000 whole life policy. The cost of life insurance depends on your age and health.
How much is a $100,000 whole life insurance policy?
A 30-year-old in good health can pay around $100 per month for a $100,000 whole life policy. How much you pay will depend on your age and health.
