80% of us overestimate the cost of life insurance. In fact, those with no life insurance think it’s 3 times more expensive than it actually is. (LIMRA, 2015). But for many, the cost per month would be less than buying a cup of coffee everyday.
So what is the cost of insurance?
Life insurance prices are unique to the individual. Premiums* are based on lifestyle and health questions.
But here are the facts about life insurance costs:
- general cost increases as we age
- life insurance is more expensive for males (25%+ higher cost)
- life insurance costs are up to 100% higher for smokers
In addition to the increasing costs that come with age, the older we are the more likely we are to be uninsurable. So if insurance is required over a long period of time (have a growing family?) instead of choosing a shorter length of time like 10 years you need to protect your mortgage, it would be more economical to lock in longer initial premiums.
Curious to know how much your premiums would be? Use our free online Needs Analysis Calculator today! Life insurance coverage may be more affordable than you think.
*The specified amount of money that an insurance provider charges in exchange for coverage.