The Best Life Insurance for 53-Year-Olds: Rates, Top Companies, & Best Policies

Last Updated: October 2020

Life insurance at 53-years-old can be affordable and easy to find. There are many reasons why you need life insurance at the age of 53. You might want to pay for estate taxes, prepare money for home care, give your children an inheritance, replace lost income, or cover your burial expenses.

Below, we will show you why you might need life insurance at 53, sample rates, the best companies, and tips to finding the cheapest policy for your age.

• Reasons for Purchasing Life Insurance at Age 53
• Sample Life Insurance Rates for 53-Year-Olds
• The Best Life Insurance Companies at Age 53
• The Best Types of Life Insurance for 53-Year-Olds
• The Easy Way to Find the Best Life Insurance Rates at 53 Years Old

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Reasons for Purchasing Life Insurance at Age 53

According to a consumer survey, there are many reasons why people in their 50’s are purchasing life insurance policies, both major and minor reasons.

These are listed below:

	Major reason	Minor reason
To cover burial or final expenses	51%	33%
To replace lost income	34%	24%
To pay off a mortgage	26%	17%
To provide an inheritance	24%	34%
To pay for home care	17%	20%
To supplement retirement income	14%	28%
To pay for estate taxes	14%	27%
As a tax advantage and way to save money	8%	23%
Something a parent or relative bought for me	8%	8%
To provide money for education	9%	14%
For business reasons	5%	10%
To make a charitable donation	4%	11%

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Sample Life Insurance Rates for 53-Year-Olds

Below you’ll find sample rates for term life insurance at age 53. The rates below are for males and females, however, keep in mind that your rates will likely be different. Rates vary based on health, medical history, and other factors.

Rates for Males

Below are sample monthly rates for a 53-year-old male with good (preferred) health, who does not smoke:

Term	$50,000	$100,000	$250,000	$500,000	$1,000,000
10 year	$17	$21	$40	$70	$124
20 year	$25	$33	$61	$116	$220
30 year	$37	$63	$127	$241	$461

The next set of monthly rates are for a 53-year-old male with average (standard) health, who does not smoke:

Term	$50,000	$100,000	$250,000	$500,000	$1,000,000
10 year	$19	$31	$61	$112	$213
20 year	$32	$47	$97	$188	$371
30 year	$50	$80	$175	$335	$650

Rates for Females

Here are sample monthly rates for a 53-year-old female with good (preferred) health, who does not smoke:

Term	$50,000	$100,000	$250,000	$500,000	$1,000,000
10 year	$15	$18	$32	$55	$98
20 year	$18	$24	$44	$82	$157
30 year	$29	$49	$89	$169	$312

Next are the monthly rates are for a 53-year-old female with average (standard) health, who does not smoke:

Term	$50,000	$100,000	$250,000	$500,000	$1,000,000
10 year	$15	$24	$47	$83	$151
20 year	$24	$35	$69	$132	$252
30 year	$40	$65	$138	$262	$502

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The Best Life Insurance Companies at Age 53

Men and women who are 53-years-old can find the cheapest rates and best term coverage policies with these top companies:

Company	A.M. Best Rating	Policies
Lincoln Financial	A+ Superior	Term life Universal life
Northwestern Mutual	A++ Highest	Term life Whole life Universal life
Prudential Financial	A Excellent	High-Risk Term life Whole life Survivorship life Universal life Indexed universal life Variable universal life
Banner Life	A+ Superior	Term Life Insurance Universal Life Insurance

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The Best Types of Life Insurance for 53-Year-Olds

There are three policy types you can select.

Permanent Life Insurance

These policies are permanent and cannot be canceled so long as you pay the premiums. Many people use these for their cash value options because they can generate extra money for you that you can use before your passing. This policy is designed to replace income and pay off all debts.

As someone in your 50’s you can take advantage of some riders that permanent policies have to offer if you are looking for investment opportunities associated with your policy.

For example, you can make a withdrawal for any amount that you want from the cash value generated by your permanent plan. And when you take money out you get your premium payments back without paying any taxes on them.

If, however, you take out more money through your cash value than you paid into your policy through premiums, those gains do become taxed as income. But, since life insurance is not a retirement plan you will not be charged an extra penalty if you take your money out early from the IRS.

The best part is unlike retirement plans, again, you can take cash out at any age. So no matter how old you are, if you start investing now in a permanent policy on which cash value is gain, you can have that cash value to withdrawal at any time that you need it, rest assured that the whole value of your policy without that cash value is adequate to cover any final expenses. This is a much better option tax-wise than other ways of getting cash.

Term Life Insurance

The term length covers you for a specific amount of time between 10 years and 30 years. The amount you pay is level, or fixed, for the entire term. These policies should be used for temporary income, typically to pay off existing debt.

Term plans are good solutions for those who might not qualify for a permanent plan, or who want coverage that is short lived. If, for example, you do not need to provide income to your family forever, but just enough that your spouse could continue to care for themselves and your kids if you passed away unexpectedly, then a term plan is best.

If you have a mortgage that you obtained at the age of 35, and still have 5 years left, a shorter 10-year term plan might suffice in providing enough coverage if you pass away and your loved ones are left holding the bill.

Burial Life Insurance

Burial life insurance covers your final expenses, those relating to your burial or funeral. You get guaranteed approval in some cases and no medical exams required. The rates are less expensive than the other two options because you have lower coverage amounts.

The best option is the one that fits with your needs best. If you only want to provide enough money for final expenses, then the third option is the “best” because it is affordable and gives you the coverage you want.

If you have a mark on your record or a health concern that might rule you out of affordable term or permanent plans, then burial might be the only remaining “exam free” option you have.

Should you wish to provide money to replace your income forever after your passing, a permanent plan is better.

If you are just frugal and want to get a rate now, based on your 53-year-old health without ever having to deal with changing rates or converting a term plan later, then a level permanent policy is best.

Which Type Of Life Insurance Is Best for You?

A permanent policy is an ideal solution for those who are older, nearing retirement, who might discover that their retirement needs to be supplemented in a few years. Having a permanent policy can provide that safety net if needed.

Life insurance policies also let you take money out through a policy loan, and you don’t owe taxes on this, as long as you don’t end your contract.

This gives you a way to spend any investment money that you made without having to give it away to the government. And, when you pass away, your loan gets paid out of the death benefit that you have.

Now again, the downside here is that if you cash out with a loan early on that money is taken from your death benefit so it won’t be there to cover any final expenses or remaining debt.

But, if you don’t need to create any type of inheritance or your needs have changed yet again and you don’t need to have an extra $50,000 or $100,000 to pay off a mortgage, you can take out a loan tax-free, and simply use that money in another way, knowing that it won’t be there if you pass away but neither will the need.

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The Easy Way to Find the Best Life Insurance Rates at 53 Years Old

It is important that you work with an independent agent or broker to determine which options are best suited for you.

For example, if you wanted to avoid a medical examination, companies like American National and Transamerica are great for what they offer, but they would take much longer to approve compared to companies like Fidelity or Sagicor.

This does not mean that one company is better than the other, but if time is a factor, it is something you will want to review. The reason it takes longer is that in spite of not requiring a medical exam, these companies will still request your records from your primary care physician which can take between three and four weeks.

So again, if you need a policy quickly, right before you apply for a loan, and you need collateral, or right before you get on a plane, you will want a company that offers faster approval.

When it comes to finding the best life insurance coverage for 53-year-olds, you want to be able to compare all of your life insurance options to find the right coverage for you and your family’s needs.

The best way to do this is to speak with an independent agent who works with multiple companies to find you the best life insurance coverage.

Give our agents a call today, or get started with our online life insurance quote engine!