$20,000 Whole Life Insurance Policy Rates
| Age | Female | Male |
|---|---|---|
| 40 | $37 | $44 |
| 45 | $42 | $49 |
| 50 | $45 | $57 |
| 55 | $52 | $68 |
| 60 | $62 | $83 |
| 65 | $78 | $104 |
| 70 | $102 | $136 |
| 75 | $138 | $191 |
| 80 | $192 | $265 |
| 85 | $260 | $372 |
| 86 | $339 | $469 |
| 87 | $408 | $550 |
| 88 | $478 | $631 |
| 89 | $547 | $711 |
| Source for monthly prices: Choice Mutual quote calculator. Rates are calculated at a non-tobacco rating, rounded to the nearest dollar, and are valid as of 02/26/2025. | ||
$20,000 Guaranteed Acceptance Life Insurance Policy Rates
| Age | Female | Male |
|---|---|---|
| 45 | $55 | $72 |
| 50 | $60 | $79 |
| 55 | $74 | $90 |
| 60 | $84 | $113 |
| 65 | $99 | $136 |
| 70 | $127 | $172 |
| 75 | $176 | $226 |
| 80 | $253 | $313 |
| 85 | $314 | $384 |
| Source for monthly prices: Choice Mutual quote calculator. Rates are for Mutual of Omaha's guaranteed acceptance whole life policy, rounded to the nearest dollar, and are valid as of 02/25/2025. | ||
$20,000 Term Life Insurance Policy Rates
| Age | Female | Male |
|---|---|---|
| 50 | $23 | $35 |
| 55 | $29 | $44 |
| 60 | $37 | $57 |
| 65 | $47 | $76 |
| 70 | $59 | $101 |
| 75 | $79 | $137 |
| Source for monthly prices: Choice Mutual quote calculator. Rates are calculated at a non-tobacco rating, rounded to the nearest dollar, and are valid as of 02/25/2025. | ||
Best Companies For A $20,000 Life Insurance Policy
Life insurance companies compete with one another primarily via price and the terms and conditions of their policies. While one company might be best for one person, that company may not be the best option for another person.
It’s essential to compare multiple companies side by side to find the best policy. That said, below are three excellent companies to consider if you only need a $20,000 life insurance policy. There’s a strong chance that one of these companies would be your best option.
Choice Mutual’s ratings are determined by a review formula that weights the following four factors to determine a score between 0 and 5:
| Factor | Score Value |
| Price of Coverage |
40%
|
| No-Waiting-Period CoverageNo Waiting Period |
20%
|
| Financial Strength |
20%
|
| NAIC Complaint Index |
20%
|
| Overall Maximum |
100%
|
Our ratings are tested with scoring model 1.1, a review formula that ensures consistency and accuracy in our assessments.
- $10K Policy Cost $43.99/month*
- New Applicant Ages 45-80
- Death Benefit Options $2,000-$50,000
- 2-Year Waiting Period No
Choice Mutual’s ratings are determined by a review formula that weights the following four factors to determine a score between 0 and 5:
| Factor | Score Value |
| Price of Coverage |
40%
|
| No-Waiting-Period CoverageNo Waiting Period |
20%
|
| Financial Strength |
20%
|
| NAIC Complaint Index |
20%
|
| Overall Maximum |
100%
|
Our ratings are tested with scoring model 1.1, a review formula that ensures consistency and accuracy in our assessments.
- $10K Policy Cost $51.10/month*
- New Applicant Ages 18-85
- Death Benefit Options $5,000-$100,000
- 2-Year Waiting Period No
Choice Mutual’s ratings are determined by a review formula that weights the following four factors to determine a score between 0 and 5:
| Factor | Score Value |
| Price of Coverage |
40%
|
| No-Waiting-Period CoverageNo Waiting Period |
20%
|
| Financial Strength |
20%
|
| NAIC Complaint Index |
20%
|
| Overall Maximum |
100%
|
Our ratings are tested with scoring model 1.1, a review formula that ensures consistency and accuracy in our assessments.
- $10K Policy Cost $41.01/month*
- New Applicant Ages 45-85
- Death Benefit Options $2,000-$50,000
- 2-Year Waiting Period No
What Is The Difference Between Term Life & Whole Life Insurance?
It’s important to understand how each type of life insurance works:
- Whole life insurance: Permanent coverage that lasts indefinitely. Furthermore, the rate is guaranteed never to increase, and the death benefit won’t decrease. Lastly, it builds cash value that you can withdraw and spend as you see fit.
- Guaranteed acceptance: A type of whole insurance that does not require you to complete a medical exam or answer health questions. Because approval is guaranteed, there is always a 24-month waiting period. Death in the waiting period will cause the insurer to refund your premiums plus roughly 10% interest.
- Term life: Temporary life insurance that will last for a number of years (such as 10, 15, or 20) or until a certain age. Once the policy terminates, you’re not insured. You will need to find a new policy if you want to continue to have life insurance. Some term life policies have a fixed cost for the life of the policy. However, some (such as Globe Life) have a premium increase every five years.
In all circumstances, term life insurance is the least expensive type. It’s cheaper because the insurer statistically knows that you’ll outlive the policy, so they won’t have to pay a death claim.
When deciding whether you should buy term life or whole life, choosing the coverage best suited to solve your problem is critical. If you choose based on price alone, you will regret it.
As a general rule, buy term only to cover a temporary problem such as a financial debt (a mortgage or car note). Buy whole life insurance to cover a permanent need, such as paying for your funeral expenses.
Frequently Asked Questions
The Colonial Penn $9.95 plan is a terrible life insurance option because A) you get a dismal amount of coverage per 995 unit, and B) there is a two-year waiting period. There is no circumstance in which any senior should buy Colonial Penn’s life insurance.
There aren’t many options to reduce the cost of life insurance (aside from buying less coverage). However, there are a few things you can do. First, you can make bulk payments annually or bi-annually. Insurers will usually provide a modest discount. Second, if you stop smoking, you can reapply at a nontobacco rate, which could lower your price by as much as 40%. Lastly, if you’ve had a significant recent health event (such as a heart attack) that inflated your premiums, you could reapply after a period of time when that event would no longer adversely impact your premium.
