Since 1994
By the Termco teamLicensed life insurance agents since 1994Updated
Match the term to your longest obligation
- Young kids: cover them until they're independent. A newborn suggests 20 to 25 years; a 10-year-old suggests about 15.
- Mortgage: cover the years left on the loan. Just bought with a 30-year mortgage? A 30-year term fits.
- Retirement: many people want coverage until they plan to retire and have savings that would support a surviving spouse.
- A specific debt or business loan: match its payoff date.
Common choices
| Term | Often fits |
|---|---|
| 10 years | Near retirement, a short-term debt, or kids nearly grown |
| 15 years | Kids in grade school, or a mortgage partly paid down |
| 20 years | The most popular choice: young kids, a newer mortgage |
| 25 years | Very young kids plus a long mortgage |
| 30 years | A new 30-year mortgage or a new baby, in your 20s or 30s |
What the extra years cost
Longer terms cost more each month because the insurer is covering you into older ages. Here's how term length changes the price for a healthy 35-year-old man buying $1,000,000:
Example estimates from Termco's own pricing model (the same one behind our quote tool) for $1,000,000 for a 35-year-old man in excellent health, non-smoker. They are not quotes from any insurer. Actual rates are set by the insurer after underwriting.
| Term | Estimated monthly price |
|---|---|
| 10 years | $29.44–$38.19/mo |
| 20 years | $42.87–$56.32/mo |
| 30 years | $62.06–$82.24/mo |
Buying too short is the bigger risk
If your term ends while people still depend on you, buying new coverage then will cost much more, because you're older, and you may have developed health conditions that make coverage expensive or unavailable. Buying a term that's a few years too long costs a little more each month. Running out early can cost a great deal more. When in doubt, lean longer.
Age limits on long terms
Insurers limit how old you can be when you buy each term, since the policy has to end by a certain age. Many won't issue a 30-year term past about age 50 to 60, or a 20-year term past about 65 to 70. Limits vary by insurer, which is one more reason to compare. If you're over 50, see term life after 50.
Laddering: two policies instead of one
Your need is biggest now and shrinks over time. Instead of one large 30-year policy, some people buy, for example, a $500,000 30-year policy plus a $500,000 20-year policy. For the first 20 years they have $1 million of coverage, when the kids are young and the mortgage is large. After that, $500,000 remains for the last 10 years. Laddering often costs less than one big long policy, though it means managing two policies.
Keep an exit option
A conversion privilege lets you turn term coverage into permanent coverage without a new exam before a deadline. It's valuable if your health changes. Check the conversion terms when comparing policies; see converting term to permanent.
Compare estimates for 10, 20 and 30 years side by side in our quote tool.
About the prices on this page. Every price shown is an example estimate from Termco's own pricing model, the same one behind our quote tool. It's calibrated to typical published term rates from insurers rated A- or better, but it is not a quote from any insurer, not an offer of insurance, and not a guarantee. Your actual rate depends on the insurer and its underwriting of your full application.
See estimates for your age and health
Eight quick questions, no account needed. A licensed Termco agent confirms your exact rate before you apply.
Frequently asked questions
What is the most common term length for life insurance?
Twenty years is the most popular choice, because it covers the years when most families have young kids and a sizable mortgage.
Is a 30-year term worth it?
It often is if you have a new 30-year mortgage or very young children, and you're young enough to qualify. It costs more each month than a 20-year term, but avoids having to buy new coverage at an older age.
What if I outlive my term?
Coverage ends. Many policies let you continue year to year at much higher prices, or convert to permanent coverage before a deadline. If you still need coverage, it's usually cheaper to plan ahead.
Can I cancel a term policy early?
Yes. You can stop paying and the coverage ends, with no penalty. Term policies don't build cash value, so there's nothing to refund beyond any unearned premium.
Related guides
- Term Life Insurance for Smokers: Rates, Vaping, Cigars and Quitting
- Converting Term Life Insurance to Permanent: How It Works
- Term Life Insurance After 50: What It Costs and How to Buy
- What Disqualifies You From Life Insurance? Common Reasons for a Decline
- Term life insurance by state
This page is general information, not medical, legal, tax or underwriting advice. Underwriting decisions are made by each insurer and vary by insurer and individual.