How Much is Life Insurance for a 40-year-old?

If you’re thinking about life insurance and you are in your forties, there is no better time to purchase some than now. If you want some peace of mind to ensure that your family will be supported if anything happens to you, then buying life insurance can be seen as an act of love. There are many options in life insurance from which you can choose, and any one of them would help cover your family’s financial obligations in case anything happens to you. By purchasing life insurance, you know that your family will get a safety net if they lose your income, which can help pay off a mortgage and put your children through the expensive university years.

Purchasing life insurance is a common decision for individuals with families that want to ensure their loved ones will be financially supported if anything horrible happens. So, purchasing life insurance is an excellent way to demonstrate your love for your family by ensuring they will be taken care of if the worst-case scenario occurs. You’ll also get the benefit of having the peace of mind of knowing your family would be fine if anything happened to you.

Purchasing Life Insurance in Your 40s

If you’ve reached your forties and you are uninsured or underinsured, then there is no better time than now to modify your life insurance plans before your rates increase. When it comes to purchasing life insurance, age is a vital factor determining the cost of your plan. Typically, your rates will jump up by the time you reach your 50s, so purchasing life insurance now with an affordable provider will help, as long as you ensure that your policy will meet your family’s financial needs.

Several people have life insurance coverage through their job benefits once they reach their fourth decade of life. Still, typically, the life insurance offered by your employer is likely not enough. For example, many employers offer up to $50,000 in life insurance. Still, if you are the main breadwinner in your family, that may not be enough to pay off your mortgage or your debts if you were to pass away unexpectedly, and that could leave your family in dire financial straights. So, it’s best to consider purchasing an individual policy on top of your job policy to ensure your family will be supported if anything were to happen to you.

Some people in their forties have already purchased life insurance at some other point in their life. If you bought a twenty-year term policy when you were in your twenties, then that policy might be expiring soon. If you’ve hit that stage, then you might want more time on your term life insurance, or you may even want to add another policy. Let’s suppose your mortgage is taking longer to pay off than expected, or you just had your first child. If something like that is happening in your life, you may want to ensure your family has enough financial support to survive anything tragic.

Nowadays, Americans are living longer. So, if you are considering purchasing life insurance in your forties, you could still be in good enough health to qualify for an affordable policy. For instance, a twenty-year term policy with a $500,000 death benefit can cost as little as $56 a month for a healthy woman that is 45-years old. Let’s say you want to add another life insurance policy since the term policy you bought in your twenties is nearing its end. If that’s the case, a twenty-year term policy for a healthy 45-year old male would cost about $62 a month for a $500,000 death benefit.

Considering how much protection about sixty bucks a month can offer your family, you’ll get peace of mind with some life insurance.

Costs of Average Permanent vs. Term Life Insurance for 40-year-olds

When you are considering buying life insurance in your forties, you’ll have two options from which to choose. The first option is permanent life insurance, including whole and universal life insurance policies. Your second option would be term life insurance, which lasts a designated timeframe of usually ten, fifteen, twenty, or thirty years. Each kind of life insurance offers different payouts and has different benefits and costs associated with it. Below we’ll cover some estimates of each type of life insurance’s differences and what the average price would be for somebody in their forties.

Whole Life Insurance

The average cost per month for a forty-year-old healthy female to receive a whole life insurance policy at a $100,000 death benefit is about $52 per month, and for a male, it runs at about $58 monthly. Whole life insurance operates as a permanent policy that stays in place throughout your life, as long as you pay your premiums. Your beneficiary then receives a payout when you die, and there is no set length of time to determine this. That means this policy is guaranteed to payout, and the premiums will remain the same. This life insurance is often used to ensure inheritances, but it can also be the priciest option in life insurance. If you need more insurance than $100,000, a $250,000 death benefit for a healthy female can cost about $65 a month, and for a male, about $70. Increasing that death benefit to $500,000 a month means you’d pay near $100 a month, but most likely a little under.

If you aren’t in excellent health, your policy rates will be higher than this estimate. If you are a smoker, you could be expected to pay twice as much as the estimates we listed above.

Universal Life Insurance

Universal life insurance is a form of permanent life insurance that offers a lot more flexibility than whole life insurance. For example, with universal life insurance, you can alter your benefit amount and monthly payment to suit your needs whenever you need this option. Also, similar to whole life, this policy is guaranteed to pay out a death benefit.

The average cost of a universal life insurance policy for a forty-year-old healthy female at a payout of $100,000 is about $55 a month. For a healthy male, it would cost about $60 a month. If you require more benefits than that, a $250,000 death benefit would cost about $70 a month for a healthy female and $75 a month for a healthy male. $500,000 would cost about $110 a month for a 40-year old healthy female and about $118 a month for a 40-year old healthy male.

If you aren’t in great health, your policy rates will be a bit higher than this. For instance, if you are a smoker, you’ll pay twice as much with a universal life insurance policy as what we listed above.

Term Life Insurance

Term life insurance is a much more affordable option, and it’s often great for new parents who want to ensure their bills are covered if one of them were to pass away. Term life insurance offers life insurance coverage designated for a certain timeframe, usually between ten to thirty years. A 20-year term life policy for a healthy 40-year old female at $100,000 can cost as little as $22 per month, depending on the length of the term. For a healthy 40-year old male, a $100,000 policy can cost about $26 per month. A payout of $250,000 for a healthy 40-year-old female would cost about $33 a month and $38 a month for a healthy male of the same age. For a $500,000 payout, the policy for a healthy 40-year older woman can cost about $52 a month, and for a healthy male of the same age, about $58.

Term life policies and their prices can increase based on the term length. Typically, a 30-year term policy can cost you an extra half of what you’d pay on a 20-year term policy, which is what our examples were based on above. So, length of time is a vital factor to assess when purchasing term life insurance.

What Creates Life Insurance Cost Variations for 40-year-olds?


Gender plays a vital role in assessing how much life insurance you’ll need to pay for each month. A woman and a man will pay different amounts for the same life insurance coverage each month. For example, if a 40-year old nonsmoking woman wanted a 30-year, $250,000 term policy, she can expect to pay about $33 a month, while a male with the same health status would pay about $38 a month. It’s estimated that men pay about $3 more per month for the same life insurance policy that a female of equal age and health would pay. Typically that means about $1,000 more over the life of a policy than what a female would pay.


Your age also impacts the price of your life insurance. That’s why it’s so vital for you to purchase life insurance now, in your forties, especially if you are still in great health because you’ll still get affordable rates. For instance, let’s say a healthy 40-year old male wanted to purchase a $250,000 term life policy, and his health is great. At 40-years old, that man will pay about $38 for his policy. If he buys this same policy at 45-years old, he’ll pay $48 a month. If he waits and decides to purchase this same policy when he is 50-years-old, he’ll pay $65 per month for the same amount of coverage.

It’s essential to note that once you are out of your forties and enter your fifties, the premiums on your life insurance will go up significantly. Thus, if you decide to hold off and wait for coverage until a later date, you aren’t doing your or your family any favors. You’d be better off signing up for a life insurance policy while still in your forties if you want some more affordable options.

Smoking History

Unfortunately, if you are a smoker, then we have some bad news for you. Smoking will increase your life insurance rates dramatically. For instance, most life insurance for smokers is about 100 to 300 times more expensive than nonsmokers. For instance, a 45-year-old male smoker that purchases a 20-year term life policy with a $500,000 death benefit would pay close to $300 for that policy. A nonsmoking male of the same age would pay about $70 a month for the same coverage.

Engaging in Risky Activities

Depending on your lifestyle choices, you also need to factor in any risky behavior you enjoy. If you skydive often, travel a lot, or enjoy scuba diving, then you may pay a lot more for your life insurance than people that don’t engage in these activities. Also, if you have a history of poor driving, this could increase the expense of your life insurance.

Health History

You also may need to provide information about your health history, medications, and your medical records. Sometimes a medical exam is required, but that can depend on the amount of life insurance, the type of coverage, and the insurance provider. It is possible to get life insurance without a medical exam. Still, much the price you pay for your life insurance will be impacted by your health history.

Shop Around!

When you are ready to purchase your life insurance, remember to look around to receive the best rates. There are many options in insurance companies available on the market. Remember that one of the best strategies you can use when opting for life insurance is to hire an independent insurance agent. Independent agents work for their clients and work with several life insurance providers, meaning they can advise and help you shop around to ensure you receive the best life insurance rates possible.

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If you’re ready to pick your life insurance plan and check out your options, consider working with us! We are independent agents that shop around with different companies to get you the best rates at no extra cost. Contact us today, and we can get the best options to you quickly!