Best Place to Find Life Insurance for 46 Year Olds

Life insurance is a financial tool used to provide your beneficiaries with something when you are gone.

There are plenty of reasons why someone at age 46 would need to consider purchasing a life insurance policy.

Why You Need Life Insurance at 46

In your 40s you are in one of the best health brackets possible. Therefore, investing in an insurance policy in your forties, even your late forties, will get you a much better rate for your premium.

If you choose a permanent life insurance policy or you get a level Term Policy, you can lock in those rates for the duration of your policy. If you want to budget properly and make sure you have enough in your retirement, this could be a great way to do it.

In your forties, you probably have a family you are supporting some car loans and a mortgage. If the rest of your family and beneficiaries would be unable to pay this off in your absence a life insurance policy is the best solution.

You might be a single parent with for children who are underage dependent. In this case, it is imperative that you have a life insurance policy. At the very least you want a burial insurance policy so that no one must bear the financial burden of your final expenses.

Paying into a Term Policy would at least give your children the money they need to get by until they turn 18.

Types of Life Insurance Policies for 46 Year Olds

At this age there are three types of insurance policies you can purchase:

Permanent Life Insurance

Permanent life insurance is permanent, meaning it’s there until you pass away. You will never have to reapply, renew, or undergo additional medical exams.

This is the most expensive option on the market, but it also comes with more benefits and features than any other plant.

You can obtain higher amount of coverage and take advantage of things like cash value where your plan earns cash value which you are allowed to take out in future if you need or borrow against.

Term Life Insurance

This is something you set up for a specific amount of time usually 10 years, 20 years, or 30 years. This option is designed for people who have expenses for a specific length of time for which they must plan.

A newly married couple with a 30 year mortgage for example might want to invest in a 30-year term life insurance policy whereas someone in their 40s who have already had children and started to pay off a mortgage but has accumulated a car loan and some credit card debt in the process might want a 20-year Term Policy for a higher amount of coverage.

In any case, these are meant for people who need to provide income for a set amount of time, usually whatever the difference is between an unexpected death now and the final payoff for those bills or expenses like college.

Burial Insurance

This is the cheapest option you will find. In many cases burial insurance does not require any type of medical exam, so it is ideal for someone who might not be able to procure the other two types at an affordable rate.

It is designed to simply cover the cost of burial. So, if you don’t need money to cover things like outstanding debt or provide income replacement for your family, this could be the perfect solution.

There are also special plans called “Return of Premiums” ideal for someone in their 40’s.

Return of Premiums Term Policies

Now, of course, everyone hopes to outlive their Term Policy but if they do they typically feel like they paid a lot of money into the policy without getting any benefit.

Those who have this concern can address them with one special policy. This is a term life insurance policy that has a rider attached to it which returns all your premiums to you should you outlive the term of the policy. It is also tax-free because it is not considered income it is just a refund.

It is called “Return of Premiums”. This is not a prevalent option and only accounts for roughly 5% of insurance sales. However, it is an option you should consider.

It gives you term coverage and if you outlive the policy term, you get a refund of all your premium payments.

Pros:

  • This policy has a death benefit the same as any other Term Policy should you pass away during the term.
  • You can choose a term length that makes sense for your situation.
  • If you outlive the policy your premiums are returned, and they are tax-free.
  • Returning the premium forces you to put money in a savings plan even if that is not your intent.
  • a savings plan even if that is not your intent.
    Some of these premium policies do build cash value and you are able to take loans out against them. If you do this the loans have to be repaid or they will be taken out of your death benefit.

Cons:

  • The premiums are going to be more expensive compared to normal term policies.
  • If you cancel the policy prior to the expiration date you will get a much smaller refund, if you get one at all.
  • You don’t earn any interest on that money like you would with a permanent plan.

Life Insurance Rates

The costs for someone who is 46 are contingent upon health, smoking, and hobbies.

If you fall into the “preferred” category because you have above normal health and a safe lifestyle, the non-smoker rates are as follows:

Age $100,000 $200,000 $500,000 $1,000,000 $2,000,000
10 years $11 per month $18 per month $30 per month $52 per month $97 per month
15 years $14 per month $23 per month $41 per month $74 per month $143 per month
20 years $17 per month $29 per month $53 per month $100 per month $194 per month
25 years $22 per month $39 per month $74 per month $140 per month $275 per month
30 years $26 per month $47 per month $88 per month $168 per month $331 per month
Whole $136 per month $232 per month $424 per month $800 per month $1,552 per month

While this is a normal example of a “preferred” candidate, your health and lifestyle habits have a significant impact on your premiums.

Life Insurance Rates for Smokers

This is an example of a smoker who otherwise has the same health components as the applicant above:

Policy Length $100,000 $200,000 $500,000 $1,000,000 $2,000,000
10 years $34 per month $64 per month $132 per month $240 per month $474 per month
15 years $41 per month $77 per month $168 per month $323 per month $641 per month
20 years $43 per month $101 per month $224 per month $437 per month $869 per month
25 years $74 per month $143 per month $308 per month $606 per month $1,207 per month
30 years $89 per month $174 per month $375 per month $744 per month $1,484 per month
Whole $424 per month $808 per month $1,792 per month $3,496 per month $6,952 per month

So, with an advanced age, costs are significantly higher for someone who is currently a habitual smoker of cigarettes. Now, you can always work to reduce smoking habits or remove them entirely to get a cheaper price.

This is not the only aspect of health that can hinder coverage premiums. Other health aspects like heart disease, high cholesterol, and diabetes can hurt too.

Life Insurance Rates With High Cholesterol

This is an example of someone who has high cholesterol:

Term Length $100,000 $200,000 $500,000 $1,000,000 $2,000,000
10 years $13 per month $20 per month $32 per month $54 per month $99 per month
15 years $16 per month $25 per month $43 per month $76 per month $145 per month
20 years $19 per month $31 per month $55 per month $102 per month $196 per month
25 years $24 per month $41 per month $76 per month $142 per month $277 per month
30 years $28 per month $49 per month $90 per month $170 per month $334 per month
Whole $138 per month $234 per month $426 per month $802 per month $1,555 per month

Best Life Insurance Companies

What companies are best?

The “best” is based on your situation. The prices you are offered by one company might be lower by a few dollars or a few hundred. By comparison, some companies have riders or extra features that are added to your policy without cost.

Others have riders that your situation requires. This is why you should talk things over with a broker.

Best Life Insurance Companies For High Cholesterol

For someone with high cholesterol, these are the best rates you will receive for a $2,000,000 coverage policy for 20 years:

Company Monthly Rate
Banner Life $195.87
Pacific Life               $195.94
AIG $197.65
Protective $198.89
Lincoln Financial $196.48

Best Life Insurance Companies for Smokers

For a smoker, these are the best rates you will receive for a $2,000,000 coverage policy for 20 years:

Company Monthly Rate
Banner Life $869.29
Prudential                 $954.19
AIG $874.00
Transamerica $898.70
Pacific Life $869.73

Best Life Insurance Companies With Preferred Health

For someone without any health concerns, who is not a smoker, or a diabetic, these are the best rates you will receive for a $2,000,000 coverage policy for 20 years:

Company Monthly Rate
Banner Life $194.87
Pacific Life               $194.94
AIG $195.84
Protective $195.65
Lincoln Financial $195.48
SBLI $200.59
Prudential $205.19
Minnesota Life $207.05

Finding the Best Life Insurance Rates

When you research life insurance policies at this age it is important to use tools available on the internet and use brokers to help you find the best policy options based on your situation.

You already saw how much of financial difference things like health concerns and smoking can have on your premiums.

Age is an important factor but when you are only 46 you do have a few years that you can toy with before your premiums increase substantially based on your age alone.

To get the best life insurance rates, you want to work with an independent life insurance agent who can help you and your family find the best life insurance rates for your specific situation.

Give us a call today, or get started finding the best life insurance rates for 46 year olds using our online quoting engine!

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About Jeff Root

is the owner of rootfin.com. He's an independent life insurance agent who has helped 1,000's of consumers purchase life insurance online and over the phone.

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