While life insurance rates remained relatively stable for most applicants from February to March 2021, older smokers and non-smokers saw a surprising dip in premiums. The biggest decrease was seen by female smokers aged 55, with average monthly rates falling by $19.50 on a $1 million policy.
Older applicants and smokers have historically seen the biggest premium increases throughout the COVID-19 pandemic. This is the first time during the pandemic that older applicants are seeing significant pricing reductions that have generally been seen by younger and healthier applicants.
Comparison shopping is the best way to get competitive life insurance coverage for your personal history, as each insurer approaches each application differently. Because these prices reflect the averages for different demographics, some rates will be lower.
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.
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.
How our index works
Life insurance prices are primarily based on life expectancy; taking into account an applicant’s age, health, hobbies, and medical history. The riskier you are to insure or the shorter your life expectancy, the higher your rates will be.
Prices are also affected by the length of a policy and the amount of coverage someone is looking to purchase. A longer policy term or higher coverage amount might increase monthly or annual premiums. Policygenius generally recommends people buy life insurance 10 to 15 times their individual income with a term long enough to get them to retirement age. Since there are a lot of variables involved, we specialize in helping consumers get the right policy to fit their individual needs.
Policygenius is the nation’s leading online insurance marketplace, with headquarters in New York City and Durham, North Carolina. We’ve helped more than 30 million people shop for all types of insurance like they shop for everything else — online — and have placed over $100 billion in coverage. At Policygenius, shoppers can compare life insurance companies side-by-side in one place. We provide free quotes from the nation’s top life insurers. And, once someone formally submits an application, our licensed experts walk them through every step of the process.
Find your best life insurance prices today.