You probably have some of the same questions we frequently get about $250,000 term life insurance rates. Questions like: Who are the top 10 life insurance companies for term? How much will it cost? How do I qualify?
Term life is the easiest type of life insurance to understand. While some people search for lower benefit amounts (such as $50,000 life insurance) a $250,000 policy is more common than you might think. After all, you have to consider the fact that in most cases this money is supposed to help your beneficiary maintain their standard of living after you’re gone.
$250,000 Term Life Insurance Rates
What if you make, say $50,000 a year and pass away when your child is only thirteen? A $250,000 policy adds up to the amount of money you would be making until he or she was 18.
Likewise, a $250,000 policy is also a good choice if you have younger children and are making more like $30,000 a year. Since the death benefit could then cover the rest of their childhood.
If you are older and just want to leave some money for your spouse and grown children but no longer need to make up for your entire lost income, a $250,000 will be very beneficial to them. In the meantime, keep reading to learn more about getting the best rates for a $250,000 policy.
How to Qualify for a $250,000 Policy
It’s no secret that your health is a major factor in determining your eligibility for life insurance.
If you’re in great health, you get the best rates. However, your financial situation is also important. After all, you will be expected to pay monthly or annual rates, and the insurance providers need to know that you will be able to keep up with this.
Technically, to afford a $250,000 policy, you would need to meet the following:
- Ages 18 to 40 years old: 25 times your yearly income, at least $10,000 per year.
- Ages 41 to 50 years old: 20 times your yearly income, at least $16,666 per year.
- Ages 51 to 55 years old: 15 times your yearly income, at least $50,000 per year.
- Ages 56 to 65 years old: 10 times your yearly income, at least $25,000 per year.
- Ages 66 to 70 years old: 5 times your yearly income, at least $50,000 per year.
- Age 71 and up (when policies are available) – overall evaluation of your financial circumstances.
So, as you can see, the general financial requirements for a $250,000 policy are not that extreme. However, a variety of other factors go into determining your eligibility for life insurance— again, especially your health.
Many insurance companies will require you to have a medical exam before they insure you although there are many options for No Medical Exam life insurance.
Who are the Best Companies?
A $250,000 is far from rare, so you will have no trouble at all finding one that offers $250,000 policies. We work with over 60 different life insurance companies, and we will listen to your needs to help find the best insurance provider and rates for you.
As far as low rates and policy options, the following 4 companies are among the best for $250,000 policies.
SBLI: SBLI also has an A+ rating and offers its eligible applicants low rates.
Term life insurance with SBLI is either “guaranteed” (where your premiums stay the same throughout your policy’s set term) or “renewable” (where your rates are renewed and reevaluated on an annual basis).
Let’s look at an example: a 40-year-old man in great health is offered a 20-year term, $250,000 policy for as little as $18 a month with SBLI. The annual premium or fee is $205.
Like with SBLI, a 40-year-old man in great health applies to Banner Life, who offers a 20-year, $250,000 policy for as little as $18 a month. However, the annual fee is offered at $210.
Protective Life: This company also has an “A+” rating from A.M. Best and offers very low rates compared with other insurance providers. Protective Life also has a wide range of riders that you can tack onto your policy to customize your coverage needs.
For a 40-year-old man in great health, Protective Life offers a 20-year, $250,000 policy for $19 a month. The annual fee is $218.
American General: This company provides its clients with low rates and solid coverage options for each policy. American General also has an “A” rating with A.M. Best, which is still great.
Last but not least, American General offers the same healthy 40-year-old man a 20-year, $250,000 policy for $19 a month. The annual fee is just slightly less than Protective Life at $217.
$250,000 Term Life Insurance Rates
Thanks so much for reading our post, $250,000 Term Life Insurance Rates.
You can use the free quote comparison tool on this page to start looking at your options today. Feel free to call us to get a more customized quote. You can also email us at any time.