Last Updated: April 2021
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 53-year-olds.
- Why Do I Need Life Insurance at Age 53?
- Sample Rates: The Cost of Life Insurance for 53-Year-Olds
- The Best Life Insurance Companies for 53-Year-Olds
- The Best Types of Life Insurance Policies for 53-Year-Olds
- The Easy Way to Find the Best Life Insurance Rates at 53 Years Old
Life Insurance is Boring. Let’s Get To The Root Of It! Here are the key takeaways…
Life insurance for 53-year-olds can be very affordable. A 53-year-old male can get $100,000 in 20-year term life insurance for as little as $33 a month. A female can a similar policy for around $24 a month. Monthly rates will vary based on your current health.
Why Do I Need Life Insurance at Age 53?
There are many reasons why people purchase life insurance at age 50 and older. Below are some of the most common reasons our clients purchase life insurance at this age.
- To cover burial or final expenses
- To replace lost income
- To pay off a mortgage
- To provide an inheritance
- To pay for home care
- To supplement retirement income
- To pay for estate taxes
- As a tax advantage and way to save money
- Something a parent or relative bought for me
- To provide money for education
- For business reasons
- To make a charitable donation
Sample Rates: The Cost of Life Insurance 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.
Term Life Insurance Rates for 53-year-old 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 |
Term Life Insurance Rates for 53-year-old Females
Life insurance rates for women are slightly cheaper. 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 |
The Best Life Insurance Companies for 53-Year-Olds
Men and women who are 53-years-old can often find the cheapest rates and best term coverage policies with one of the following life insurance carriers. However, it’s always best to compare as many companies as possible before purchasing a policy.
Lincoln Financial Life Insurance
- Best for term life insurance policies with higher coverage amounts.
- Financial Rating: A+ Superior
- Policy Options: Term life insurance, universal life insurance
- Read our Lincoln Financial Life Insurance Review
Northwestern Mutual
- Best for whole life insurance for strong dividend yield performance.
- Financial Rating: A++ Highest
- Policy Options: Term life insurance, whole life insurance, universal life insurance
- Read our Northwestern Mutual Life Insurance Company Review
Prudential
- Best for high-risk life insurance for people in this age group. They offer underwriting advantages for people with certain types of cancer or diabetes.
- Financial Rating: A Excellent
- Policy Options: High-Risk life insurance, term life insurance, whole life, survivorship life, universal life, indexed universal life, variable universal life
Banner Life
- Great for high-risk life insurance as well. They have the lowest rates for many high risk conditions.
- Financial Rating: A+ Superior
- Policy Options: Term life insurance, universal life insurance
The Best Types of Life Insurance Policies for 53-Year-Olds
There are three different types of life insurance you should typically choose from at age 53.
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. 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. Term life insurance 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.
For example, if 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.
If you have a health concern that might rule you out of affordable term or permanent plans, then burial might be the only remaining no-exam life insurance option you have.
Which Type Of Life Insurance Is Best for You?
The best option for you depends on your needs.
If you only want to provide enough money for final expenses, then burial insurance is best because it is affordable and gives you the coverage you want.
Should you wish to provide money to replace your income forever after your passing, a permanent or whole life insurance policy is better. A permanent policy can also be a good solution for those who are older, nearing retirement, who might discover that their retirement needs to be supplemented in a few years.
If you want something cheaper and need a policy now, term life insurance is going to be the best option.
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!
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