Last Updated: November 2020
Life insurance is a financial safety net that can give you and your loved one’s comfort knowing that money is set aside in the event that you pass away unexpectedly.
In this article, we will show you the reasons to get life insurance at age 49, including the sample monthly rates, the top companies, and the best policy types for 49-year-olds:
- Why Do I Need Life Insurance at Age 49?
- Sample Rates: The Cost of Life Insurance for 49-Year-Olds
- The Best Life Insurance Companies for 49-Year-Olds
- Types of Life Insurance: Term, Permanent, and Burial
- Tips to Get the Best Life Insurance Rates at Age 49
Life Insurance is Boring. Let’s Get To The Root Of It! Here are the key takeaways…
Life insurance for a 49-year-old can be very affordable. A 49-year-old male can get $250,000 in 20-year term life insurance coverage for as little as $38 per month. A female can get a similar policy starting at $29 per month. The rates will depend on your current health. Decide on a policy and compare rates with different companies before you purchase!
Why Do I Need Life Insurance at Age 49?
At age 49, you might still have kids at home. If you started a new job or moved to a new city, or got re-married, there could be younger kids in the home that were not there before and now you want to provide them with a financial safety net.
At this age, you could have grandchildren newly born who you want to provide some sort of 
inheritance as well. Rather, you might simply want to prevent your children from having to take money out of their savings to cover things like your burial costs when they have just started a family themselves.
In some cases, you might know that your family history indicates a certain medical issue arising in the late 50’s or late 60’s, and you want to get protection against that, possibly with money you can take out for home care or a nursing home if needed. For these reasons and many more, you should consider life insurance at age 49 if you do not already have it.
When you set out to pick your insurance policy at this age, you have three main options.
Sample Rates: The Cost of Life Insurance for 49-Year-Olds
Below are sample monthly rates for 49-year-olds.
Rates for Women
These rates are for a female in good health, who falls into the super preferred or preferred plus category. The results show you the monthly amounts the applicant would pay for different policies, with varying face amounts:
| Term | $250,000 | $500,000 | $750,000 | $1,000,000 |
|---|---|---|---|---|
| 10 year |
$19 | $32 | $45 | $54 |
| 15 year |
$22 | $39 | $56 | $72 |
| 20 year |
$29 | $52 | $75 | $94 |
| 30 year |
$49 | $89 | $131 | $165 |
By comparison, this is a sample of the same applicant with health problems, put into the standard risk category:
| Term | $250,000 | $500,000 | $750,000 | $1,000,000 |
|---|---|---|---|---|
| 10 year |
$34 | $61 | $89 | $113 |
| 15 year |
$43 | $79 | $116 | $147 |
| 20 year |
$54 | $100 | $148 | $188 |
| 30 year |
$88 | $169 | $252 | $331 |
Rates for Men
Males pay slightly more on average than females because their life expectancy is less. On average men pay what a woman 3 years their junior would pay. Below are sample rates for a male in the preferred category for the different policies out there:
| Term | $250,000 | $500,000 | $750,000 | $1,000,000 |
|---|---|---|---|---|
| 10 year |
$23 | $39 | $55 | $66 |
| 15 year |
$30 | $54 | $80 | $98 |
| 20 year |
$38 | $68 | $99 | $126 |
| 30 year |
$65 | $123 | $183 | $230 |
The following would be the sample rates for a male in the standard health category:
| Term | $250,000 | $500,000 | $750,000 | $1,000,000 |
|---|---|---|---|---|
| 10 year |
$44 | $77 | $113 | $142 |
| 15 year |
$55 | $102 | $150 | $189 |
| 20 year |
$67 | $128 | $189 | $248 |
| 30 year |
$120 | $232 | $345 | $444 |
The Best Life Insurance Companies for 49-Year-Olds
As a 49-year-old, there are a handful of reputable companies out there that provide policies best suited to your needs.
- If, for example, you want a term policy at this age, American National has its ANICO Signature Term policy which comes with the critical illness accelerated death benefit and the chronic illness accelerated death benefit without any additional cost.
- If you want a 30-year term at this age, Protective has its Custom Choice UL policy which has competitive rates and after the level period comes to an end, you get decreasing death benefits at a fixed rate, perfect for those whose financial needs change with time.
- To use your policy as an investment tool to get cash value and supplement your retirement, North American or Penn Mutual has the better Indexed Universal Life policies.
- For a standard Universal Life policy, North American is a good contender.
- If instead, you are looking for a guaranteed universal life policy, Symetra, Protective, and North American are great.
- For a whole life policy, MassMutual is best.
- To consider a whole life policy with first-to-die components, Assurity or Nationwide are better.
- For a simplified issue, without any medical exam, guaranteed whole life final expense policy, Mutual of Omaha is the best option, followed by Gerber Life.
- For tobacco users, MassMutual offers the best whole life policies at this age while John Hancock is better for universal life plans.
- Those who use chewing tobacco, smoke cigars, or use electronic cigarettes should go with Prudential.
Types of Life Insurance: Term, Permanent, and Burial
Term life insurance has the lowest prices and is the easiest to understand. Permanent is more complex and has more benefits, but it costs more as well. There are many types of permanent policies you can get including variable universal, variable, and whole. Burial insurance is great for those who need to make sure their final expenses are covered but nothing else.
Term covers you for a set amount of time. This is only meant to protect your dependents in the event that you pass away prematurely. For these, you can choose the amount of time, ranging from 10 to 30 years. The death benefit and the premiums remain the same.
Choosing a term policy, you should choose a length of time that coincides with the years you need to pay. The amount you get in coverage should protect your family in the event that you were no longer able to provide for them. Realistically, needs like money for child care or a mortgage are going to end at some point.
Permanent, whole life insurance gives you cash value that you can enjoy while you are still alive. With these policies, you can grow money that is tax-deferred and then borrow against it or use the cash value to pay your premiums.
| Policy Features | Term Policies | Whole Policies |
|---|---|---|
| Choose your length | Yes | |
| Provides lifelong coverage | Yes | |
| Premium remains the same | Yes | Yes |
| Low premiums | Yes | |
| Death benefit is guaranteed | Yes | Yes |
| Accumulates cash value | Yes | |
| Can be eligible for annual dividends | Yes |
Which Policy is Best for Age 49?
At this age, your goals in life are likely to replace income with a term policy or to cover your mortgage or debt. You might also want to provide money for your children for college. If this is the case, a term policy is a great choice for this.
A permanent policy—whether you pick a whole life, universal life, or indexed universal life—is best for gaining cash value you can borrow against right now.
If you want the lowest premiums, a guaranteed universal life is better.
If you want protection for long term care or a chronic illness, then you want a product with those riders available, especially if those riders are available without any additional fee.
Tips to Get the Best Life Insurance Rates at Age 49
When you set out to get the best rates, you need to be cognizant of your particular situation. Everyone is different. Though you can still find affordable life insurance in your 40’s.
Example: You are a 49-year-old female with four children. Three are grown up and out of the house but one still lives at home. You had a policy through your job but have changed jobs and that policy has expired. So now you need a new one with lower coverage to provide for your one child who is still at home. You might want to get a return of premium term policy so that if you outlive that term, you get your paid premiums back as a tax-free refund which you can then apply toward a new plan, like a single premium policy where you pay a single lump sum.
Example: You are a 49 old male who recently remarried and now you have a new wife with a heart condition, who previously had three heart surgeries, and you have two more children living at home. You want to make sure that there is financial protection for your wife who can only work part-time and the new children if you—as the breadwinner—were to pass away prematurely.
Example: You have a policy already, but it is about to expire and now you need one with a spousal rider so that you and your new spouse are covered under the same policy.
Example: You are a 49-year-old parent and your parents who have no protection of their own, were recently put up in a nursing home. You are paying for this out of pocket, but if you pass away before them, there will be no money for their nursing home and no family left to care for them. So, you want to get a whole policy to make sure they have coverage in the event that you pass away before them.
Everyone is different, again, so it is important to work with a third-party broker and compare the rates you receive from at least a dozen companies. Each company offers similar products, but they all serve their niche. The information on the individual companies above is indicative of that niche. So, consider what your situation is and what your needs are, decide whether you want a term or permanent policy, and then narrow down the list of types from there. Work with companies that give you competitive rates with the riders you want. Finding life insurance at the age of 49 doesn’t have to be hard, and if you use some of these tips now, you can secure peace of mind for the future.
