Last Updated: November 2020
At age 42, purchasing a life insurance policy can be a great way to protect your family’s financial future. The good news for 42-year-olds is that life insurance is very affordable at this age.
Below you’re going to learn all about life insurance at age 42, including the best types of plans, rates for different policies, the best companies, and tips to save.
- Do 42-Year-Olds Need Life Insurance?
- Sample Term Life Insurance Rates for 42-Year-Olds
- Sample Whole Life Insurance Rates for 42-Year-Olds
- The Best Life Insurance Companies at Age 42
- The Best Types of Life Insurance for 42-Year-Olds
- Tips for Finding the Best Life Insurance Rates at Age 42
Life Insurance is Boring. Let’s Get To The Root Of It! Here are the key takeaways…
Life insurance at 42-years-old can be very affordable. Term rates can be as low as $20 per month for $500,000 in coverage depending on your health and term length. Lincoln Financial, Banner Life, and Prudential are among the best life insurance companies at age 42. Compare multiple companies to find the best policy.
To start, we’ll explain why you might need life insurance at age 42.
Do 42-Year-Olds Need Life Insurance?
If you are 42 years old you might purchase life insurance to help cover expenses that you don’t want to leave on your family. Some people will purchase life insurance to cover:
- Children who are still dependent on your income
- Taxes that might have to be paid on your estate
- Outstanding mortgage or medical bills
If you have anyone in your life that would be in a difficult financial situation with your passing, you should consider life insurance. The first step is to decide which type of policy you need.
Sample Term Life Insurance Rates for 42-Year-Olds
You can find cheap rates on life insurance at age 42. This will, however, depend on your health, and other factors. Below are sample rates.
Rates for 42-Year-Old Males
The sample below is a 42-year-old male who resides in California. He is 5’7” and weighs 160 pounds. There is no family history of serious medical conditions and the individual has had no issues with his license over the last 5 years. This male is a non-smoker, and otherwise healthy enough to fit into the “preferred category”.
The coverage amount is $500,000.
Note that the premiums are paid monthly.
| Company | 10 Year Term | 20 Year Term | 30 Year Term |
|---|---|---|---|
| Protective | $21.50 | $35.69 | $65.79 |
| Mutual of Omaha | $21.22 | $36.53 | $64.97 |
| Pacific Life | $22.74 | $36.62 | $64.58 |
| AIG | $25.00 | $36.68 | $64.36 |
| Minnesota Life | $22.44 | $36.72 | $66.62 |
| Banner Life | $27.52 | $38.70 | $63.98 |
| Lincoln Financial Group | $27.01 | $42.74 | $71.14 |
| SBLI | $25.41 | $42.97 | $70.69 |
| Prudential | $37.19 | $44.19 | $63.44 |
| Transamerica | $25.80 | $46.01 | $65.28 |
Rates for 42-Year-Old Females
Now let’s look at a sample comparison of a 42-year-old female who resides in California. She is 5’5” and weighs 140 pounds. There is no family history of serious medical conditions and the individual has had no issues with her license over the last 5 years. This female is a non-smoker, and otherwise healthy enough to fit into the “preferred category”.
The coverage amount is $500,000.
Note that the premiums are paid monthly.
| Company | 10 Year Term | 20 Year Term | 30 Year Term |
|---|---|---|---|
| Protective | $19.35 | $29.67 | $51.63 |
| Mutual of Omaha | $18.59 | $30.41 | $49.74 |
| Pacific Life | $19.92 | $30.32 | $49.74 |
| AIG | $22.40 | $31.49 | $50.52 |
| Minnesota Life | $19.36 | $31.68 | $51.41 |
| Banner Life | $22.17 | $29.97 | $50.31 |
| Lincoln Financial Group | $23.14 | $33.64 | $52.14 |
| SBLI | $20.83 | $35.41 | $54.21 |
| Prudential | $21.93 | $39.41 | $52.63 |
| Transamerica | $25.80 | $37.41 | $57.19 |
How Coverage Amount Affects Life Insurance Rates
Term length is not the only influencer of cost. Your coverage amount matters too. Let’s compare some different coverage amounts as well, each for a 20-year term policy and a male, non-smoker.
| Coverage Amount | Average Monthly Cost |
|---|---|
| $50,000 | $15.00 |
| $75,000 | $21.00 |
| $100,000 | $13.00 |
| $125,000 | $14.00 |
| $150,000 | $17.00 |
| $175,000 | $19.00 |
| $200,000 | $20.00 |
| $250,000 | $22.00 |
| $300,000 | $25.00 |
| $350,000 | $28.00 |
| $400,000 | $32.00 |
| $500,000 | $35.00 |
| $600,000 | $43.00 |
| $750,000 | $52.00 |
| $1,000,000 | $66.00 |
At 42, the longest term policy you can get is 30 years. But, how do term life insurance rates differ from whole life?
Sample Whole Life Insurance Rates for 42-Year-Olds
For coverage of $500,000 the comparative prices for monthly premiums for a 42-year-old male are as follows:
- For a 10-year term, the average cost is $21 per month.
- For a 15-year term, the average cost is $26 per month.
- For 20-year term policies, the average cost is $35 per month.
- For 25-year policies, the average cost is $51 per month.
- For 30-year terms, the average cost is $63 per month.
- For a whole life policy, the average cost is $280 per month.
For coverage of $500,000 the comparative prices for monthly premiums for a female are as follows:
- For a 10-year term, the average cost is $18 per month.
- For a 15-year term, the average cost is $22 per month.
- For 20-year term policies, the average cost is $29 per month.
- For 25-year policies, the average cost is $40 per month.
- For 30-year terms, the average cost is $49 per month.
- For a whole life policy, the average cost is $232 per month.
The Best Life Insurance Companies at Age 42
Below is a list of some of the top companies for those who are 42. You can see that they almost all offer similar types of coverage, but what riders they have, what health questions, and what costs are different.
Therefore, you want to talk to an agent about your situation to get a more accurate look at the companies you should consider.
| Company | A.M. Best Rating | Life Insurance Options |
|---|---|---|
| Lincoln Financial Group | “A+” Superior |
|
| Banner Life | “A+” Superior |
|
| Prudential Financial | “A+” Superior |
|
| Transamerica | “A+” Superior |
|
| AIG | “A” Excellent |
|
| Pacific Life | “A+” Superior |
|
| Protective Life | “A+” Superior |
|
If you are going to pick a program with flexible payments, and monthly payments are not a requirement based on your situation, many of the companies reviewed above will give up to a 10% discount if you pay your insurance annually. A single annual payment, therefore, might be a smarter option for you.
The Best Types of Life Insurance for 42-Year-Olds
You have three specific options when you are considering different life insurance policy types.
Burial Life Insurance
Burial policy plans are those which typically range between $5,000 and $25,000 in coverage. These are specifically to cover your funeral expenses or burial expenses. They are the cheapest option in terms of their premiums because they also come with the least coverage availability.
However, these might be in your best interest if you simply don’t need a great deal of coverage, cannot afford any of the other plans, or don’t want to undergo a medical examination because of some pre-existing condition.
Most insurance companies that provide burial plans do not require any type of medical exam and will guarantee acceptance. Therefore, smokers and those with serious marks on their driving history might consider a burial policy as well.
Term Life Insurance Plans
Term life insurance in your 40’s is for those who need financial coverage usually to replace income for a specific length of time.
If you have children who are still dependent upon you, you have a mortgage, or you simply want to offset the cost of estate taxes, this is a great solution and it is the second cheapest option.
A term policy is typically level which means your monthly payments do not change for the duration of the term.
If you take out a 10 or 20-year policy you might pay the same low-rate because you are still 42 and, that same company might have a conversion benefit where you can convert your term policy into a permanent policy once it expires without having to undergo a second medical examination.
This is very beneficial because that means any changes to your health will not influence the premiums you pay. The only thing that will change is your age.
Permanent Life Insurance
Permanent policies are the most expensive however they do last for the remainder of your life. They will never expire, and you will never have to undergo another medical exam.
You also have the opportunity to add different features that might not be available through term insurance. With permanent policies, you can utilize a cash value program where you earn cash value on your death benefit based on the performance of different stocks.
Tips for Finding the Best Life Insurance Rates at Age 42
There are specific actions you can take to make sure you find the cheapest rates and best policy on life insurance. You can’t control your age, but here’s what you can do.
Take the Medical Exam
If you haven’t had a physical within the last 12 months and you are not currently taking any type of medications you probably won’t run the risk of being diagnosed with a serious ailment by the insurance provider.
The first time you get an insurance policy you will typically undergo a medical examination after answering basic health questions.
Figure out where you stand health-wise, get to know your cholesterol levels, your blood pressure, and your family history of health diseases.
Make sure that you are as fit as you can be before you undergo the exam. If you have been a bit lazy the last few months and perhaps your blood sugar is up, and your blood pressure is up from a particularly stressful event in life, it might help you to wait a few months, get fit, and then apply.
Statistically speaking you are going to be healthier the younger you are and therefore undergoing this examination early can benefit you long-term by providing you with better prices.
Choose the Right Amount of Coverage
Also, consider your current financial situation. Take into consideration what you might have, what the average funeral cost is for your state, and what you want to leave behind to your loved ones. This will help you better determine the amount of coverage you should pay for.
Compare Multiple Life Insurance Companies
Remember that not all insurance carriers are the same. You can work with an independent agent to help you pick and choose from many different carriers, or do the research yourself.
Every insurance company has its own underwriting guidelines, so you will want to review the policies and what their benefits are with your family and with a professional before you pick one. You should know what all your options are and find a professional recommendation based on your situation.
To begin looking at your life insurance options at 42 years old, start with our quote engine or give us a call today!
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