Life insurance rates increase 1% in February
Life insurance rates increased in February according to the Policygenius Life Insurance Price Index (PLIPI). While rates had remained steady for the past six months, the cost of life insurance went up 1% between January and February 2023, an average increase of $1 in monthly premiums.
Some age groups tracked by the PLIPI saw larger rate increases. Smoking 25-year-olds saw an average increase of 3.6%, or $2.08, in monthly rates, while smoking 55-year-olds saw an average increase in rates of 3.4%, or $12, in monthly rates.
Despite these increases, rates are only 1.09% higher than they were during the same period last year, keeping life insurance prices competitive and well below inflation.
U.S. monthly averages as of February 1, 2023
Term life insurance for non-smokers
The chart below shows average monthly premium prices for a 20-year term life insurance policy for non-smokers in a Preferred health classification; quotes are based on the Policygenius Life Insurance Price Index Methodology.
Age | Sex | $250,000 coverage amount | $500,000 coverage amount | $1 million coverage amount |
|---|---|---|---|---|
25 years old | Female | $14.36 | $20.98 | $32.54 |
Male | $17.23 | $27.06 | $43.74 | |
30 years old | Female | $15.26 | $23.12 | $37.10 |
Male | $18.31 | $29.51 | $49.20 | |
35 years old | Female | $16.68 | $25.73 | $42.03 |
Male | $18.84 | $30.74 | $51.08 | |
40 years old | Female | $21.85 | $35.54 | $61.04 |
Male | $25.62 | $43.31 | $75.81 | |
45 years old | Female | $28.84 | $48.35 | $86.38 |
Male | $35.78 | $61.42 | $112.55 | |
50 years old | Female | $44.37 | $79.00 | $140.48 |
Male | $57.36 | $103.56 | $189.80 | |
55 years old | Female | $61.73 | $111.05 | $206.74 |
Male | $84.44 | $153.49 | $281.31 | |
60 years old | Female | $109.33 | $195.98 | $356.81 |
Male | $151.71 | $270.78 | $503.53 |
U.S. monthly averages as of February 1, 2023
Term life insurance for smokers
The chart below shows average monthly premium prices for a 20-year term life insurance policy for smokers in a Preferred health classification; quotes are based on the Policygenius Life Insurance Price Index Methodology.
Age | Sex | $250,000 coverage amount | $500,000 coverage amount | $1 million coverage amount |
|---|---|---|---|---|
25 years old | Female | $35.35 | $59.00 | $104.83 |
Male | $43.68 | $74.65 | $132.85 | |
30 years old | Female | $38.23 | $64.76 | $115.10 |
Male | $46.72 | $80.04 | $142.11 | |
35 years old | Female | $45.00 | $79.28 | $139.24 |
Male | $54.24 | $95.36 | $174.38 | |
40 years old | Female | $62.84 | $113.13 | $206.50 |
Male | $78.40 | $145.28 | $265.31 | |
45 years old | Female | $91.09 | $167.33 | $309.33 |
Male | $121.44 | $225.86 | $425.53 | |
50 years old | Female | $138.00 | $256.14 | $462.90 |
Male | $187.46 | $348.69 | $656.66 | |
55 years old | Female | $202.75 | $377.26 | $698.13 |
Male | $288.03 | $532.66 | $1,009.49 | |
60 years old | Female | $321.69 | $619.03 | $1,119.14 |
Male | $457.64 | $878.03 | $1,621.83 |
Methodology: The prices displayed above are based on internal actuarial rate tables for nine life insurance carriers that offer policies through the Policygenius marketplace (AIG, Banner Life, Brighthouse, Lincoln Financial, Mutual of Omaha, Pacific Life, Protective, Prudential, and TransAmerica). The prices represent the average monthly life insurance premium for each sample customer profile (age, gender) and policy type (term, coverage amount) as of February 1, 2023. Monthly averages are based on nine products available through Policygenius for the indicated profile; rates for those products may vary by state, and not all nine products are available in all states. Individual rates may vary, depending on age, gender, state, health profile, and other eligibility criteria. The index is updated each month.
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