How Much Does a $250,000 Life Insurance Policy Cost?

Eric Van Haaften Best Life Insurance Rates by Age

If you are considering buying a $250,000 life insurance policy, you certainly are not alone.

It may be one of the most popular and commonly purchased death benefits in the United States.

This is why many life insurance companies often advertise a $250,000 death benefit on the radio, the internet, and television.

Here’s everything you need to know about choosing a 250k policy, including options for getting the best term or permanent insurance coverage rates.

Quick link navigation

⇓ Reasons people buy a $250k life insurance policy.
⇓ Evaluating term insurance durations (with rate charts).
⇓ Comparing universal and whole life insurance.
⇓ Qualifying for coverage; no-exam vs. exam underwriting.
⇓ Who are the best life insurance companies?

Why Buy A $250,000 Life Insurance Policy?

A general and practical approach when buying life insurance is to replace your income if you die early.

Many folks may not understand precisely what income replacement means.

The idea behind income replacement is to buy an appropriate amount of life insurance to provide an income similar to if you were alive when you passed away.

Is 250k enough life insurance coverage for your family?

According to a recent CNN article, a basic rule of thumb is that the death benefit on your policy should equal seven to 10 times the amount of your annual salary.

Rather than use a rule of thumb, evaluate your needs to determine an appropriate amount of coverage for your family.

Is a $250,000 life insurance policy right for you?

Married: Most married couples buy life insurance to cover each other during their careers.
Children: Life insurance coverage is ordinarily essential for couples with minor children.
Mortgage Protection: A term policy can be ideal for people needing to protect an outstanding mortgage balance.
Income Protection: A life insurance policy is an excellent way for couples to protect their income for surviving family members.

If you add up your family’s current debts, regular living expenses, and future financial obligations, you can see why you need to buy a term life insurance policy.

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Case Study:

A married woman has an annual income of $50,000 with a $100,000 mortgage loan and is assessing her life insurance needs.

Getting a policy valued at three times her annual income for adequate family protection is advisable.

Therefore, a life insurance policy of $250,000 would be ideal to both replace her income and pay off her mortgage.

Term Life Insurance

Choosing the right life insurance policy can seem overwhelming due to the myriad of options and factors involved.

Term life insurance is the best policy for people looking to obtain the most significant amount of insurance at the cheapest possible cost.

Term life insurance offers level death benefits that can be guaranteed for an initial period of 10, 15, 20, 30, or even 40 years.

How much does term life insurance cost?

Your current health, age, and the term duration you choose will directly impact the cost you ultimately pay for your new policy.

You can save money by matching your insurance needs with a duration that will protect your family from financial hardship should you die unexpectedly.

Term life coverage can be tailored to address needs such as protecting a mortgage or protecting your income for your spouse.

So, people typically buy term coverage for a time frame covering their family while they have ongoing financial obligations.

What if I am not sure which term plan is best for me?

You can use our comprehensive search engine to compare cheap term life insurance plans from over 100 highly-rated insurers.

If you are unsure which term period is appropriate, comparing the rates on the different term durations is often helpful.

What does a $250,000 term life insurance policy cost? The premiums you pay for your term coverage depend on how long your policy lasts.

$250,000 Term Life Insurance for 10 Years

A 10-year life insurance policy is ideal for those needing short-term financial protection.

This type of plan suits middle-aged couples looking to secure coverage until they reach retirement or their children complete college.

Almost anyone in good health can affordably purchase a 10-year policy from numerous insurers, regardless of age.

Are you wondering about the cost? Here’s a quick glance at typical rates across different ages to give you an idea of what you might expect to pay.

$250,000 Life Insurance Policy Cost for 10 Years

Death Benefit	$250,000
30 Years Old	$10
40 Years Old	$12
50 Years Old	$24
60 Years Old	$63
70 Years Old	$176
80 Years Old	$755

* 10-year term, $250,000 monthly term insurance rates, non-smoking males

$250k Life Insurance for a 15-Year Term

A 15-year term life insurance policy strikes a balance between the shorter ten and longer 20-year terms.

It’s an ideal choice for couples looking to insure a $250,000 mortgage that’s set on a 15-year repayment plan, offering just the right amount of coverage for this specific financial obligation.

However, if you want to cover your income, you may find a $500,000 life insurance policy more appropriate.

With many companies, you can typically buy life insurance for 15 years until you reach age 78.

So, how much will it cost me to get a 15-year life insurance policy?

As you can imagine, 15-year term life insurance rates are slightly more expensive than 10-year term rates.

We have provided you with a basic life insurance cost summary for various ages.

$250,000 Life Insurance Rates for 15 Years

Death Benefit	$250,000
30 Years Old	$11
40 Years Old	$14
50 Years Old	$33
60 Years Old	$83
70 Years Old	$237
80 Years Old	N/A

* 15-year term, 250k monthly life insurance cost, non-smoking male

$250,000 Term Life Insurance for 20 Years

Now, let’s take a peek at a 20-year term life insurance plan.

We have found that a 20-year term is an excellent choice for people looking to obtain long-term coverage for an affordable cost.

A 20-year term life insurance policy can be the perfect plan for people looking to protect their income for surviving family members.

What happens if you outlive your term life insurance?

If you do buy a 20-year term life insurance policy, remember that your coverage will end or go up in cost in 20 years.

If you feel that you will have accumulated substantial savings and that most of your bills will be paid off in the next twenty years, then a 20-year plan is a very suitable choice.

Remember that most life insurance companies only offer a $250,000 term life insurance policy for 20 years until you reach the age of 71.

So, if you are looking for life insurance over 70, you may want to consider universal life or a $250,000 whole life insurance policy.

Seniors citizens interested in buying term coverage can also find valuable purchasing tips by reading about cheap life insurance for seniors.

Explore our range of term life insurance rates for a 20-year policy, tailored for individuals across various age groups.

$250,000 Life Insurance Quotes for 20 Years

Death Benefit	$250,000
30 Years Old	$14
40 Years Old	$18
50 Years Old	$41
60 Years Old	$114
70 Years Old	$410
80 Years Old	N/A

* 20-year term, 250k average life insurance cost per month, non-smoking males

$250,000 Term Life Insurance for 30 Years

Finally, let’s explore $250,000 term life insurance rates for 30 years! As you can guess, a 30-year term is more expensive than shorter duration term plans.

Yet, a 250k term plan running for 30 years offers excellent long-term value for younger applicants needing coverage for an extended time.

Most young people need life insurance because of growing families and increasing financial obligations.

Purchasing life insurance for young people usually comes with the advantage of being in good health and very affordable premiums.

But don’t procrastinate!

To secure a 30-year term life insurance policy, you need to purchase it before turning 59. Insurers do not offer such policies to individuals aged 60 and over.

Companies offer a unique option for individuals over 60 seeking extended coverage: a 25-year life insurance plan.

You can explore various options by consulting our guide on purchasing term life insurance in your sixties.

Curious about the cost of locking in your premiums for thirty years? Let’s delve into the average monthly expenses for a $250,000 term life insurance policy.

$250,000 Life Insurance Policy Cost for 30 Years

Death Benefit	$250,000
30 Years Old	$21
40 Years Old	$30
50 Years Old	$72
60 Years Old	N/A
70 Years Old	N/A
80 Years Old	N/A

* 30-year term life insurance, 250k death benefit, non-smoking males

Want to Buy Term Life Insurance Online?

Not a problem! Affordable Life USA makes finding affordable $250k life insurance rates simple and easy!

If you want to compare smaller amounts, use the slider below to evaluate the cost of a 100k life insurance policy compared to the price of a 200k term life insurance policy.

Permanent Life Insurance

What if you need a $250,000 policy for the rest of your life?

If you need your policy always to be there when you die, universal or whole life insurance is always a better option than term life!

Permanent coverage is primarily available in universal and whole life insurance.

Universal Life Insurance: A UL policy provides guaranteed premium and death benefits while offering a tax-deferred cash value component that fluctuates over time.

Whole Life Insurance: Whole life is a permanent coverage with lifetime guarantees on the cash value, premium, and death benefit with the potential for dividends.

Whether a $250,000 whole life insurance policy is a good investment hinges on your lifespan. Typically, an average lifespan yields a high return on investment (ROI), but the longer you live, the lower your ROI becomes.

Of course, whole-life insurance is more expensive than universal life policies because it guarantees cash values and the potential for dividends.

For those looking for lifetime coverage without emphasizing savings, guaranteed universal life (GUL) usually presents a more favorable investment over the long term.

If any of this seems confusing, we have got you covered!

Our insurance calculator streamlines the process, allowing you to effortlessly compare whole life and universal life insurance without the hassle of lengthy phone conversations with numerous agents.

What Does a $250,000 Whole Life Policy Cost?

Select Lifetime
Select Amount
Press Get Quote

Buying a $250,000 Life Insurance Policy

Affordable Life USA takes many intricate steps to navigate the marketplace to find you a cheap $250,000 life insurance policy.

We have developed a streamlined question-and-answer process to help you get approved for coverage quickly.

How much total new insurance coverage do you need?
What is the reason for needing to buy coverage?
- Personal Life Insurance: Do you need to protect your income or maybe cover a personal mortgage balance?
- Business Life Insurance: Do you own a business and need life insurance to secure a business loan or provide keyman coverage for your company?
Do you need term insurance, or is permanent life insurance better?
How is your overall health? Most insurers want to know your current and past medical history.

With these pertinent details available, we will find the best life insurance policy based on your needs, health status, and policy specifics.

We leverage our deep market knowledge and relationships with leading carriers to ensure you receive an attractive offer tailored to your needs.

To start the application process, insurance companies require a phone interview or a medical exam to gather information about your medical history.

$250,000 Life Insurance No Exam Required

Many industry studies find that the no-exam underwriting process increases the chances of people buying a life insurance policy.

Many insurance companies have responded by offering a $250,000 life insurance policy with no medical exam required.

These insurance companies will call you to ask a few medical questions during the phone interview instead of an exam.

The process is usually pretty fast, and most people in good health will qualify for coverage!

If you like the idea of buying a $250,000 life insurance policy with no medical examination required, we can help you find the best no-exam insurer!

Pacific Life, Lincoln Financial, and Banner Life offer competitive life insurance rates without requiring a medical exam.

$250,000 Life Insurance with a Medical Exam

A brief medical exam can be advantageous to secure the most affordable rates on a $250,000 term life insurance policy.

Medically underwritten policies typically offer the lowest rates because they assess your health more comprehensively.

Plus, when you undergo an insurance examination, we can present your health profile to various life insurance providers to identify which offers coverage at the most favorable rate.

The medical exam usually takes about 30 minutes, and if you’re in good health and want the lowest rates possible, it is the best way to buy coverage.

Best 250k Life Insurance Policies

Affordable Life USA is a leading independent life insurance agency, partnering with top-rated insurers to offer competitive rates. The industry’s competitive nature often leads to favorable pricing for consumers!

Many companies offer price breaks or “banding,” which generally start at $250,000, with another band usually kicking in above a one million dollar death benefit.

Interestingly, the cost for a term life insurance policy of $250,000 is often comparable to those for lower amounts like $150,000 and $200,000 across various ages.

We’ve carefully curated a selection of financially robust and reputable companies to ensure they can deliver the necessary support to your family when it counts the most.

Banner Life

Banner Life stands out in the term life insurance market by offering affordable rates, superior products, and equitable underwriting processes.

It’s particularly appealing for healthy individuals looking for no-exam term policies, with offerings available to those under 50 seeking coverage up to $500,000.

Additionally, Banner boasts a solid financial foundation with an “A+” rating from A.M. Best, making it a top choice for most health-conscious applicants.

Protective Life

With a history spanning over a century and an “A+” rating from A.M. Best, Protective Life stands as a pillar of financial stability.

It is recognized for providing some of the most affordable rates in the market on term and universal life insurance policies.

Among its products, the Custom Choice Universal Life plan comes highly recommended. Remarkably, the cost for a $250,000 policy under this term/UL plan is only slightly more expensive than that of traditional term life insurance.

Lincoln Financial

Lincoln Financial shines with its top-notch products and flexible underwriting, making it an excellent choice for healthy individuals and those with minor health issues.

It offers attractive rates on term and universal life insurance policies without requiring exams up to age 60.

Moreover, Lincoln is financially robust, boasting an “A+” rating from A.M. Best, highlighting its financial strength and dependability.

Here is a complete list of companies offering the highest ratings from the Better Business Bureau, AM Best, and JD Power.

Many of these insurers are included in Business Insider’s list of the Best Life Insurance Companies in the United States.

FAQ

How long is the Application Process?

The underwriting time varies depending on whether your agent recommends the no exam or exam underwriting process.

In some cases, it may only take a week to approve your policy!

However, if a medical exam and medical records are needed from your doctor the normal time is 2-3 weeks from the time you take your examination.

Can I buy directly from the company?

You will not save any money by buying directly from the life insurance carrier.

The premiums you obtain will be the same directly through the insurance company or with an independent agent.

Are my life insurance quotes accurate?

Our advanced life insurance comparison tool swiftly sifts through numerous insurers to find you the best quotes.

With our calculator, get immediate estimates on life insurance rates without needing to share any personal, financial, or health details.

To fine-tune your quote accuracy, we might later request additional health information.

Typically, the cost of your final policy will be within 10% of the initial online estimate we provide.