If you are looking to buy 10 year term life insurance than chances are you are concerned about getting the most affordable coverage available, from a highly rated company.
Finding the best term life insurance rates is not always as easy as doing a google search and clicking on the first option available.
That is because finding and qualifying for the lowest cost term life insurance is going to depend a lot on the company you choose, based on your unique health and lifestyle.
That is why we wrote this article, so we can provide information to our visitors that will help them find the most affordable 10 year term life insurance rates available.
10 Year Term Life Insurance Rates
10 year term life insurance is available for qualified applicants age 81 and under.
The following 10 year term life charts are based on ages 20-80 from top rated life insurance companies given an A- rating or higher from AM Best.
What Is 10 Year Term Life Insurance?
Our definition of 10 year term life insurance would be a contract entered into between the insured and insurance company, where the company promises to pay out a death benefit to the insured’s beneficiary in exchange for the insured’s agreed upon monthly or annual payment to the company.
Some terms to know
There are two terms you should be aware of when it comes to term life insurance. The first term is the word “level and the second term is the word “convertible”.
Level Term Life
Level term life insurance is a policy where the premium and death benefit are fixed for the duration of the policy.
This is important because some term life policies are not level, and the premium may change every few years, or the death benefit decreases over time, or both.
Convertible Term Life
Convertible term life insurance is a policy that allows the owner to convert all or a portion of the death benefit into permanent coverage.
The policy is converted to an available permanent life insurance policy chosen by the insurance company.
The benefit of this conversion option is that the policy is converted based on the original health rate class qualified for and no underwriting is required.
It is an important option to have because you may develop some type of condition down that road that would make you disqualified for life insurance, but with a conversion rider you can always convert all or a portion of your death benefit to permanent coverage and keep it the rest of your life.
How Much Does 10 Year Term Life Insurance Cost?
Your premium is determined by many factors. Below are a few of the primary factors that go into determining how much your life insurance policy will cost.
The Life Insurance Policy
When looking for the most affordable life insurance policy, the following policy options should be considered.
- Income Provider Option*
- Shorter Term
- Lower Face Amount
*The income provider option and similar riders will further decrease your life insurance premium payment. The rider allows you to choose to have your policy’s death benefit paid to your beneficiary in increments, rather than as a lump sum. It is more profitable for the life insurance company to pay the death benefit incrementally, so it passes some of the savings on to you in the form of a lower premium payment.
Your Health and Lifestyle
In addition to the above policy options that help you get a lower premium payment, your health and lifestyle will have a huge affect on what rate class you qualify for, which also factors into what your life insurance premium payment will be.
Health and Lifestyle Considerations include:
- Age
- Height to Weight Ratio
- Hobbies
- Occupation
- Family Health History
The process of life insurance underwriting will take all your personal information provided by you through your application and health exam, in addition to some background checks.
The insurance company will also consider information it finds through the following:
- Medical Information Bureau or MIB
- Prescription Database
- Motor Vehicle Records
- Credit Report
The company will then aggregate all the information to determine how much of a risk you are and assign a life insurance health rating to you, which include:
- Preferred Best (Extraordinary)
- Preferred (Outstanding)
- Regular Plus (Above Average)
- Regular (Normal)
- Table Rated (A-F) (Below Average)
The lowest cost 10 year life insurance will be for the preferred best rate class. In contrast, the premium payment for regular rate class is 50% higher.
For example, a 40 year old male in extraordinary health might pay $25 a month for $250,000 10 year level term. A 40 year old male in regular health might pay $45 a month for the same policy.
Who offers the cheapest 10 year term life insurance based on your health profile?
There are other factors to consider when comparing the best 10 year term life insurance available.
Different life insurance companies offer better or worse rate classes based on specific health and lifestyles.
What that means for you is if you have a pre-existing condition or engage in a certain hazardous hobby or occupation, one company might be fine with it, while you might be declined with another.
That is why anyone serious about finding the best 10 year term life insurance rates needs to apply with the right company that caters to your specific health and lifestyle.
Health conditions such as:
- High Blood Pressure
- High Cholesterol
- Sleep Apnea
- Diabetes
- Anxiety/Depression
And lifestyle choices such as:
- Dangerous Occupations
- Fisherman
- Loggers
- Construction Workers
- Dangers Hobbies
- Deep Water Diving
- Sky Diving
- Rock Climbing
- Motocross Racing
- Piloting Small Aircraft and Helicopter Pilots
It is important that you apply with a company that aligns with your needs and goals, but also one that aligns with your health and lifestyle, that way you get the best company at the best price for you, based on your specific profile.
The Best 10 Year Term Life Insurance Companies
Some of our top providers of convertible term life insurance include:
You can read about these companies and more on our list of life insurance companies page.
Who Should Buy A 10 Year Term Life Insurance Policy?
10 year term life insurance works well for anyone wanting the lowest cost life insurance available. It might be worth comparing quotes on other term lengths because when you are young the difference in cost between a 10 year term vs a 20 year term is not that much.
It is also a great option for someone applying for an SBA loan. When choosing the term length when using life insurance as collateral on an SBA loan, there may be no reason to go with a longer term length, so the 10 year term is a great option.
Conclusion
Finding and getting the most affordable 10 year term life insurance policy is not always easy.
That is why working with an agency that takes the time to understand what you need and align you with the most favorable carrier for you, based on your unique health and lifestyle, can make all the difference in the world.
At I&E, we will take the time to ask you the right questions so that we can work with you to find you the most affordable 10 year term life insurance policy that best meets your needs, based on your unique goals and objectives.
So, what are you waiting for? Give us a call today to see what we can do for you.
