The Best Cheap Life Insurance for Seniors in 2024

Highlights

• Rates never increase with whole life plans
• Options to get half of your benefit in advance for long-term care
• Term life coverage ranges from $10,000 to $150,000

AARP offers some of the most flexible and affordable life insurance solutions on the market. Finding a plan that fits your needs is easy, as AARP gives you the basic coverage options and benefits of each plan type on their website.

AARP term life plans expire at age 80, regardless of when you acquire the policy. This differs from many other carriers like Mutual of Omaha which require you to pick a set term like 10 or 20 years. Even if you choose term life, you can exchange your plan for a permanent (whole life) plan as long as you do it before you turn 80. This is great for seniors who want to pay the lower premiums of term life now but still get whole life coverage as they age.

» Learn More: The best term life insurance for seniors in 2024

AARP offers three types of whole life insurance plans: AARP Permanent Life, AARP Permanent Life with Living Benefits, and AARP Guaranteed Acceptance Life. All three options have locked-in rates that won’t go up as you age, just like the plans available through insurance brokers like TruStage. However, the maximum coverage amount varies based on the plan you choose. For example, Permanent Life maxes out at $50,000, while Permanent Life with Living Benefits maxes out at $100,000. The Living Benefits plan allows seniors to withdraw up to half of their coverage amount early to help pay for eligible long-term care. Guaranteed Acceptance plans max out at $25,000 and offer limited benefits for the first two years.

We researched AARP’s quotes for 65-year-old nonsmokers living in Miami, Florida. Here are the results for male and female applicants:

Customer Testimonials

While most insurance carriers get mixed reviews from customers, AARP is consistently praised for its reliability and affordable premiums. For instance, a 72-year-old male in Florida said “I check every year with other life insurance companies for their whole life $10,000 policy rates and New York AARP is still the best and the lowest premium.” A 63-year-old female customer in Florida commended AARP’s customer service as a whole and the simplicity of getting a new policy. She said, “[AARP] answered all my questions and walked me right through the process with no problems at all. They got me all set up in less than two days. The prices are great and I got exactly what I asked for … I didn't even need to shop around too much.”

» Also Check Out: AARP car insurance for seniors

However, some customers have complained about unexpected delays in death benefits, along with plans that aren’t worth the premiums. For example, the family member of a 91-year-old female policyholder in Florida claimed the policy “only has a value of $5,000 until she is 95.” By the time she turns 95, “she would have paid $10,850 in premiums.” A male policyholder in Louisiana struggled with unexpected coverage changes. He said, “Apparently, my $10,000 policy was changed to a $5,500 policy. I could not discuss this with customer service because the policy number I had on file was no longer valid, [yet] my premium was still being collected.”

Highlights

• Term life insurance plans are age-based, expiring when the policyholder turns 80 or 90 (varies by state)
• $1 promotion only applies to the first month of coverage
• Accidental death riders greatly increase death benefits but only in specific circumstances
• Many older adults get drawn in by Globe Life’s “$1 per month for $100,000 life insurance policy” promo. However, there are a few important caveats to consider. This price only applies to the first month of coverage on select life insurance plans. After that, the price will increase to a more “normal” amount for your plan, age, and location. Second, unless you opt for a whole life plan, adults aged 60-plus can only access term life insurance plans with maximum benefits of $50,000 (excluding accidental death benefits). Opting for a whole life plan is a little complicated through Globe Life, too, as it can only be done by mail.

» Learn More: Everything you need to know about insurance for seniors

It’s important to consider how Globe Life’s term life insurance policies differ from other carriers like Mutual of Omaha and AARP. Instead of choosing a specific number of years for your coverage, Globe Life’s term life insurance expires when you turn 80 or 90 (much like term life plans from TruStage). The age limit depends on the state in which you reside. This might be fine for younger seniors who just want a 10- or 20-year policy. Still, it probably won’t be a good value for you if you’re 75 and reside in a state where the policy expires when you turn 80.

That said, Globe Life offers competitive premiums, even without its $1 promotion. Here are the quotes we got for 65-year-old applicants located in Miami:

These prices are lower than comparable plans from TruStage, but Globe Life implements automatic premium hikes every five years, whereas TruStage’s premiums are locked in for the life of the policy. We could also add an accidental death benefit to our Globe Life plan. This would pay out a much higher sum if the policyholder were to die in an accident that meets Globe Life’s criteria. Here are the quotes we got for the same parameters:

It’s important to note we were never asked our gender while acquiring a quote, though Globe Life does take gender into account when calculating monthly premiums. Therefore, female applicants can expect to pay the amounts outlined above (or a little less), while male applicants can expect to pay a little more.

Customer Testimonials

We spent hours reading through customer reviews and feedback of Globe Life. Based on our analysis, dozens of customers report positive interactions with the company’s claims department. Many seniors specifically commend Globe Life for the whole life insurance policies they’ve purchased for their grandchildren, specifically praising the easy applications and highly affordable premiums. For example, an older male in Kansas said, “We purchased life insurance for our two grandchildren … It was so easy and very affordable — I don't know why we didn't do it before.” An older female in New Jersey also praised the customer service reps at Globe Life for being “personable, caring, and knowledgeable.”

However, many customers have complained about the efficiency of Globe Life’s billing department. A customer in California needed a check to be reissued with the correct zip code, only to have Globe Life put a stop payment on the check after reissuing it, causing substantial delays in receiving their funds. Another customer in Texas complained about her inability to get a refund after canceling her policy, despite speaking with multiple representatives in the billing department.

Another customer in Oregon said, “I have been paying four premiums for a very long time; recently, Globe Life has been double-billing these accounts, sending mail stating the premiums have not been paid … I decided to check various bank statements. It was then that I noticed that this company has received double payments and has not credited my account as such, nor have they made this situation right.”

Highlights

• Term and universal life insurance plan enrollment requires you to call Mutual of Omaha directly
• Whole life plans have relatively low death benefits for older adults (up to $25,000)
• Mutual of Omaha premiums are not as affordable as AARP or Globe Life

Mutual of Omaha offers three plan types: whole life, term life, and universal life insurance. Whole and universal life insurance policies offer lifelong protection and are available to eligible seniors who are 85 years or younger. Alternatively, the age limit for term life insurance is 80 years old. We appreciate these high age limits. Plus, it’s simple and easy to customize your plan based on your budget and needs.

» Related Reading: The best budgeting apps for seniors

On Mutual of Omaha’s website, you can pick the age group you fall within (18 to 44, 45 to 80, or 81 to 85). Then, you can choose the features you want, including no premium increases, a specific time period for coverage, cash value to withdraw as needed, lifelong protection, and no medical exams. Some of these choices cancel out others and limit the types of plans you can choose. For example, you can’t choose a specific time period for coverage and lifelong protection, as these refer to specific term life policies and whole or universal life policies, respectively.

If you want a quote for term life or universal life plans, you’ll need to contact a Mutual of Omaha agent by phone or email. Prices can vary based on your age, gender, location, benefits, and other plan features. We researched premiums for male and female applicants in Miami seeking whole life insurance. While you can choose from 24 different death benefits between $2,000 and $25,000, here’s a snapshot of what you can expect to pay at a few different intervals:

Though these prices are not as low as comparable plans from AARP, you can adjust your benefit amount to match your budget. For example, we were able to reduce our budget and see exactly how much it affected the monthly premium, going as low as $10.80 per month for a $2,000 death benefit. Additionally, you may be able to find a more cost-effective term life plan by calling Mutual of Omaha, depending on your age and location.

Customer Testimonials

Mutual of Omaha generally receives positive feedback from life insurance customers. We read through hundreds of reviews from certified customers and noticed most were content with the easy application and enrollment process, affordable starting premiums, and friendly agents. One reviewer in California said “My agent regularly checks in on us at least twice a year, providing a free yearly financial advisor review.” We appreciate this quality service and assistance!

We also came across many reviewers who were unhappy with Mutual of Omaha due to unpredictable rate increases, sudden threats to cancel policies, and unhelpful customer service representatives. A 75-year-old reviewer from Connecticut said “I received a letter from Mutual of Omaha that my life insurance was expiring in five days. I noticed the letter was dated one month prior to my receipt. So after 26 years of payments, they were going to cancel me in five days.”

Similarly, a customer in Texas struggled to get anyone to answer her inquiries about the original paperwork for a 25-year-old policy. She said “I requested [the documents] many times … and they have not responded. Last week I spoke to an agent at the main office and she stated she would send it over and [I am] still waiting. I have no answers from them.”

Highlights

• No medical exams, same-day approval, and coverage from day one with most plans
• 10-year term life plans offer the highest coverage for eligible seniors
• Final expense coverage and pricing is comparable to plans from Mutual of Omaha

Much like Mutual of Omaha, Fidelity Life only offers whole life plans to seniors that are essentially final expense policies. We researched plans available to a 65-year-old female in good health in Miami. Here’s what we found:

And here are the quotes we got for males in good health of the same age and in the same location:

If you apply earlier, you can qualify for lower starting premiums and higher rates. For example, a healthy adult who just turned 50 could enroll in a 10-, 15-, 20-, or 30-year term life insurance policy with a maximum benefit of $150,000, or a final expense policy with a maximum benefit of $40,000.

Unlike AARP and Mutual of Omaha, Fidelity Life only offers high issue ages on final expense plans. If you want the RAPIDecision Life policy, the maximum age is just 65, while the maximum age for a RAPIDecison Senior Life Term policy is 70. This greatly limits the type of plans seniors can access with Fidelity Life. If you’re still in your 60s or you just want a final expense policy, Fidelity Life does offer affordable rates.

» Useful Guide: The best whole life insurance plans for seniors in 2024

Customer Testimonials

We noticed Fidelity Life gets a lot more positive feedback than most other insurance carriers, even popular options like AARP. Many reviewers appreciate the fast underwriting and approval process. Most applicants, regardless of age, can get same-day approval and coverage, a huge plus for those who don’t want to deal with medical exams, waiting periods, or red tape.

Unfortunately, some customers have expressed frustration about poor communication with Fidelity Life’s sales agents and customer support team. A woman in Virginia was told she was enrolling in a plan with benefits up to $500,000, only to find out when she got the official documentation in the mail that the maximum benefit was $150,000. A man in Texas was recommended to Fidelity Life by AARP but was concerned about the rising premiums as he aged. He said, “The price starts out at 40-something dollars a month but by the time I'm 70, it's over $600 a month — that's why I'm in the process of canceling it.”

Highlights

• Guaranteed acceptance plans are a great way to get life insurance without health exams or questions
• Easy to get quotes for a variety of plans online
• TruStage offers older adults much higher coverage than traditional life insurance carriers like Globe Life and Fidelity Life

We love that TruStage keeps its offerings straightforward. There are three basic life insurance solutions to choose from: whole life, term life, and guaranteed acceptance. The latter is another form of whole life that offers lower benefit amounts but doesn’t ask any health questions or require any exams. Anyone who meets the eligibility requirements can apply and get accepted online. This is a great option for seniors with preexisting conditions who may not qualify for most other types of life insurance. Like Globe Life, TruStage doesn’t let you choose a set period for a term life policy. Instead, all TruStage term life policies last until the policyholder turns 80 and are only available to purchase up to age 69.

» You Might Like: Changes in health and health care needs as we age

We researched quotes for 65-year-old female applicants living in Miami. TruStage gave us nearly a dozen benefit amounts for each plan, but here are the most affordable, middle-of-the-road, and most expensive options for each plan type:

Below are the results for 65-year-old male applicants in the same location:

Customer Testimonials

Reviews consistently praise TruStage for offering life insurance plans with locked-in pricing. This is a benefit for seniors who want to plan out their future finances, as they won’t have to contend with unpredictable premiums as they age.

However, not all customers have been satisfied with TruStage’s offerings. Like Globe Life, TruStage receives many complaints about refunds and billing issues. For example, one customer in Florida decided they didn’t want to continue their whole life insurance policy within days of the policy’s start date, but after contacting TruStage on 12 different occasions, they still did not receive a refund for their initial payment. Since TruStage works directly with many credit unions, we noticed many complaints from credit union customers getting unsolicited marketing and offerings from TruStage, even after declining their services.