Life insurance is a crucial financial safety net no matter where you live, but it’s especially important when you're in a major metropolitan city like Houston, with a higher cost of living than other areas in the state.
If you’re shopping for life insurance in Houston, you should do your homework to find the coverage you need at a rate you can afford. To that end, we compiled the best life insurance companies in Houston, plus the average cost of coverage and the Texas state regulations you need to know about.
We used industry data, pricing from Policygenius carrier partners, and third-party ratings like AM Best and J.D. Power to pick the best insurers on the market. Our independent recommendations will help you get life insurance coverage with confidence.
Best life insurance companies in Houston
Best overall: Legal & General America
Cheapest: Legal & General America
Best term life insurance: Legal & General America
Best no-medical-exam life insurance: Brighthouse Financial
Best whole life insurance: MassMutual
Best for seniors: Prudential
Best for young adults: Brighthouse Financial
Best for people with pre-existing conditions: Lincoln Financial
Best for marijuana users: Lincoln Financial
Best for smokers: Legal & General America
Best overall life insurance
Most applicants in Houston can find their best options with Legal & General America, which also does business as Banner Life and William Penn, our selection for the best life insurance company available in Houston. Legal & General America’s competitive rates and variety of term length options make it the top all-around choice for most life insurance shoppers.
Legal & General America also fares well in scores that measure its industry standing, with solid financial security ratings and a NAIC complaint rating of 0.35, which falls well below the nationwide average of 1.00.
Cheapest life insurance
Legal & General America
Legal & General America offers Houston applicants the most competitive life insurance rates, with affordable policies available for a large percentage of applicants.
Best term life insurance
Legal & General America
Term life insurance is the most suitable, cost-effective life insurance option for the majority of Houston residents. It covers the policyholder for a defined number of years, with the policy expiring at the end of that term. Legal & General America offers affordable term life policies for up to 40 years.
Best no-medical-exam life insurance
Applicants can skip the medical exam portion of the life insurance application and speed up the process with a no-medical-exam policy, which uses health records to determine premiums. Brighthouse Financial’s no-medical-exam rates are competitive with other insurers and they can approve applications in as fast as 24 hours.
Best whole life insurance
Whole life insurance provides permanent coverage that lasts the policyholder’s entire life and offers investment and savings options, at a rate that is usually five to 15 times more expensive than term life policies. MassMutual’s whole life insurance builds cash value and has the potential to pay higher dividends than what is offered with many competitors.
Best for seniors
Life insurance gets more expensive the older the applicant is, so Houston seniors age 60 and above have extra motivation to find a policy with an affordable rate. Prudential offers great rates to older applicants with a wide range of medical conditions.
Best for young adults
Younger adults can find affordable life insurance much easier because they’re low risk for insurance companies. Brighthouse Financial offers young people extremely affordable policies with fast application decisions and, as mentioned above, the best no-medical-exam coverage around.
Best for people with pre-existing conditions
Pre-existing conditions can have a moderate to major effect on the cost of life insurance. But for many types of health conditions, Lincoln Financial offers rates that are lower than the industry standard.
Best for marijuana users
Best for smokers
Legal & General America
Houston residents who smoke can expect to pay two to three times more for life insurance because of the health problems associated with smoking. But Legal & General America offers some of the most competitive rates to smokers, and policyholders who quit smoking can apply for lower premiums after just one year (compared to two years for many other insurers).
Comparing the best life insurance companies in Houston
Types of policies
5.0 / 5
No-medical-exam life, young adults
Term life, no-medical-exam life, whole life, short-term life, universal life
Legal & General America
4.9 / 5
Overall, cheapest, term life, smokers
Term life, no-medical-exam life, universal life
4.9 / 5
Term life, no-medical-exam life, whole life, universal life, variable universal life
4.8 / 5
Marijuana users, people with pre-existing conditions
Term life, no-medical-exam life, indexed universal life, variable universal life
4.1 / 5
Term life, no-medical-exam life, short-term life, universal life, indexed universal life
What is the average cost of life insurance in Houston?
Life insurance companies weigh factors including the age and health history of the applicant, the length of the term, and the coverage amount when setting insurance premiums.
Based on the latest Policygenius data from 2023, the average monthly premium for a healthy 35-year old in Houston buying a $500,000, 20-year term life insurance policy is $30.79 for men and $25.76 for women.
What happens if a life insurance company goes bankrupt in Houston?
Life insurance companies don’t tend to go bankrupt, but if they do the Texas Life & Health Insurance Guaranty Association (TLHIGA) covers affected policyholders that continue to pay their premiums.
When an insurance company becomes unable to honor its financial obligations, policyholders will be notified by the TLHIGA or a court-appointed liquidator. Texas covers up to $300,000 in life insurance death benefits and $100,000 in cash surrender value for affected residents.
Only Texas residents are covered by the TLHIGA. If a policyholder moves to another state, they will receive coverage from the guaranty association in the state where they currently live.
How to find a lost life insurance policy in Houston
No matter what state someone lives in when they die, their family members and/or the administrator or executor of the estate can look for life insurance policies or annuity contracts in the decedent's name using the National Association of Insurance Commissioners’ Life Insurance Policy Locator Service.
The Texas Unclaimed Property website can be used to locate unclaimed funds, including life insurance death benefits, surrendered to the state three years after someone’s death.
Texas life insurance laws
Houston policyholders are protected by Texas state laws that dictate how policies must function in the state.
Free look period
New policyholders can review and cancel their life insurance for a full refund of their premium for a period of 10 days following their receiving of the policy.
Guaranty Fund protection
The TLHIGA guarantees affected state residents up to $300,000 in life insurance benefits and $100,000 in cash surrender value if a life insurance company is found to be insolvent and ordered to be liquidated.
The contestable period for life insurance in Texas is two years from the date the policy takes effect. During this time, insurance companies can investigate a claim and deny benefits if they find that the policyholder lied or made misstatements on their life insurance application.
Time allowable to settle a claim
In Texas, life insurance companies must pay claims within two months from the date they receive proof that the policyholder has died. Claims begin to accrue interest starting the day the life insurance receives proof of death.
Grace period for missed payments
Texas policyholders have a 31-day grace period to continue to receive coverage while they make up for a missed payment. This allows customers some extra time to pay before the life insurance can terminate their policy.