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 A.M. 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: Banner Life
Cheapest: Banner Life
Best term life insurance: Banner Life
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: Banner Life
Methodology: How we chose the best life insurance companies in each state
We don’t get paid for our company reviews and use an extensive rubric of criteria covering policy details, price, financial confidence, third-party ratings, and customer experience to assign unbiased ratings out of five stars. Any recommendations we make are based on internal and external expert opinions and data from our Policygenius Price Index, which uses real-time rate data from leading life insurance companies to determine pricing trends. Our ratings and reviews can help point you to an insurer you can rely on for your family’s financial protection, but the best life insurance company for you is dependent on multiple factors. A licensed agent at Policygenius can work with you through the application process so you’re getting coverage from the best insurer for your circumstances at the most competitive price.
Best overall life insurance
2023 Policygenius award winner
Banner Life
4.9
30+ year terms
All 50 states
No-medical-exam option
Why we chose it
Banner Life has some of the longest term lengths — up to 40 years — and most competitive life insurance rates available, even for people with a history of medical conditions.
Pros and cons
Pros
Competitive rates for a variety of health conditions
Fast instant-decision option for qualifying applicants
Variety of term lengths up to 40 years
Cons
Application underwriting can take longer than average
Does not have the most competitive rates for older applicants
Most applicants in Houston can find their best options with Banner Life, our selection for the best life insurance company available in Houston. Banner Life’s competitive rates and variety of term length options make it the top all-around choice for most life insurance shoppers.
Banner Life 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
Banner Life
Banner Life offers Houston applicants the most competitive life insurance rates, with affordable policies available for a large percentage of applicants.
Best term life insurance
Banner Life
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. Banner Life offers affordable term life policies for up to 40 years.
Best no-medical-exam life insurance
2023 Policygenius award winner
Brighthouse Financial
5.0
No-medical-exam option
Why we chose it
Brighthouse Financial offers competitive rates, comprehensive coverage, and application decisions in as little as 24 hours, making it a great choice for people who want to get life insurance coverage without having to take the medical exam.
Pros and cons
Pros
Extremely affordable
Instant-decision applications
Best-in-class no-med option
Cons
Traditional term life not available in CA, IL, LA, ME, or NY
Term life applicants limited to ages 25-50
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
2023 Policygenius award winner
MassMutual
4.9
All 50 states
Why we chose it
MassMutual’s whole life insurance plan provides a lifetime coverage option that builds cash value with the potential to earn dividends.
Pros and cons
Pros
Strong financial stability ratings
Higher potential for dividends for whole life policyholders than many competitors
Good customer experience ratings
Cons
High term life premiums
Term life not available through Policygenius
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
2023 Policygenius award winner
Prudential
4.1
All 50 states
No-medical-exam option
Why we chose it
With nearly four million policyholders and 150 years to its name, Prudential offers competitive coverage options for seniors, as well as people with some of the most common medical conditions, including asthma, depression, and fibromyalgia.
Pros and cons
Pros
Good for people over 60
More flexible income requirements than some other insurers
Considers applicants with a variety of immigration statuses (visas and green cards)
Cons
Younger applicants will likely find better prices elsewhere
No-med option can end up requiring a medical exam most of the time
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
Brighthouse Financial
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
2023 Policygenius award winner
Lincoln Financial
4.8
No-medical-exam option
Why we chose it
Lincoln Financial offers a diverse array of life insurance policies, including competitive no-med and high-net-worth options.
Pros and cons
Pros
Affordable rates
Good for many existing health conditions, including depression, stroke, and heart conditions
Good for marijuana users, including daily users
Cons
Term life not available in New York
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
Lincoln Financial
Lincoln Financial offers competitive non-smoker rates to marijuana users who would automatically receive more expensive smoker rates from many other life insurance companies.
Best for smokers
Banner Life
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 Banner Life 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).
Ready to shop for life insurance in Houston?
Comparing the best life insurance companies in Houston
Company | Policygenius rating | Best for | Types of policies | |
|---|---|---|---|---|
Brighthouse Financial | 5.0 / 5 | No-medical-exam life, young adults | Term life, no-medical-exam life, whole life, short-term life, universal life | |
Banner Life | 4.9 / 5 | Overall, cheapest, term life, smokers | Term life, no-medical-exam life, universal life | |
MassMutual | 4.9 / 5 | Whole life | Term life, no-medical-exam life, whole life, universal life, variable universal life | |
Lincoln Financial | 4.8 / 5 | Marijuana users, people with pre-existing conditions | Term life, no-medical-exam life, indexed universal life, variable universal life | |
Prudential | 4.1 / 5 | Seniors | 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 June 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.
Ready to shop for life insurance in Houston?
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.
Contestable period
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.
Frequently asked questions
What is the number one life insurance company in Houston?
Banner Life is the top life insurance option for most people in Houston. It provides affordable coverage to Houston residents across many ages and health classifications, and offers term lengths of up to 40 years.
What is the life insurance free look period and grace period in Houston?
Houston residents have 10 days to cancel a new life insurance policy and receive a full refund of all initial premiums they paid. They also get 31 days to make up for a missed payment before they lose coverage.
What types of life insurance are available in Houston?
Houstonians can apply for the most common types of life insurance, including term life and whole life. They also have the ability to purchase accelerated underwriting and final expense insurance, which don’t require a medical exam.
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