How Much Does a $100,000 Life Insurance Policy Cost?

The cost of a $100,000 life insurance policy varies depending on the type of policy, and your individual factors such as age, gender, health, and lifestyle habits.

The most affordable option is a $100,000 term life insurance policy. See for yourself. Get a quote for $100,000 of term coverage instantly using our free quoting tool. No need to give away any contact information in order to see real-time pricing estimates.

Table of Contents

• How much is a $100,000 life insurance policy?
• When does $100,000 of coverage make sense?
• Is $100,000 enough life insurance?
• Can I get a $100,000 life insurance policy with no medical exam?

Learn more about term life insurance and how it works in our guide.

How Much Is a $100,000 Life Insurance Policy?

The cost of a life insurance policy is determined by a number of factors such as gender, age, and your health status. Another main factor is whether you decide to buy a term or whole life insurance policy.

A term life insurance policy is temporary coverage lasting 10-40 years. Because of its simplicity and affordability, it’s the most common choice for families.

Whole life insurance lasts your entire life and has a savings component you can access via policy loans. It’s typically 10-15 times more expensive than term. In addition, participating whole life policies in which you can earn dividends are often slightly more expensive than non-participating.

Below are cost examples for a few $100,000 term and whole life insurance policies, so you can compare rates. These quotes are based on a Preferred Plus risk class.

Cost of a $100,000 Life Insurance Policy: Term vs Whole

One approach people often use is to combine two types of life insurance: a larger term policy and a smaller whole life policy. The term policy covers significant expenses like your mortgage and the costs of raising children. While the smaller $100,000 whole life policy acts as a financial safety net for end-of-life costs.

If you were to pass away unexpectedly, the death benefit from these policies would help your family maintain their standard of living and pay bills. Additionally, if you outlive your term policy, you’ll still have the whole life policy in place, which guarantees a payout for expenses at the end of life.

However, whole life insurance isn’t the right choice for everyone. Some people may find that they’re better off directing the money they would have spent on a whole life policy towards other financial priorities, such as an emergency fund or retirement savings.

Cost of a $100,000 Life Insurance Policy by Term Length

For most families, term life insurance is the best option. You can select the duration of your coverage, ranging from 10 to 40 years.

It’s smart to have this policy active during your peak income-earning years—when you’re saving for retirement, raising children, and paying off your home. If you were to pass away suddenly during this time, a term life insurance policy would provide financial support to your family, helping them avoid financial hardship.

Below are cost examples for a $100,000 policy to compare the pricing of each term length option. These quotes are based on a Preferred Plus risk class.

Cost of a $100,000 Life Insurance Policy by Age

Age plays a significant role in the cost of life insurance. The reason is that insurance companies face a higher risk the closer you are to your life expectancy. Consequently, older individuals typically pay higher premiums for life insurance compared to younger people.

Both term and whole life insurance policies offer fixed rates, meaning your monthly payment will remain the same for the duration of the policy. Purchasing a policy earlier in life allows you to lock in a lower rate.

Below are cost examples for a $100,000 policy based on age at purchase. These quotes are for a Preferred Plus risk class.

Cost of a $100,000 Life Insurance Policy Based on Health and Lifestyle Habits

When you apply for life insurance, the company looks at your entire application, which often includes your medical history and other records like driving and criminal history. This evaluation is known as underwriting, and it’s how the insurer categorizes you into a risk class. This class then sets the cost of your policy.

If you’re considered an average risk, you’ll likely fall into the Standard risk class. If you’re seen as less risky compared to others your age, you can qualify for Preferred risk classes. If you’re deemed riskier than average, you could end up in the substandard category. For tobacco users, you’ll generally be placed in either a “Preferred Tobacco” or “Standard Tobacco” class, depending on how frequently you use tobacco and your current health status.

The monthly quotes shown below are for a 35-year-old male. The whole life policy is a participating plan with fixed monthly premiums for life.

When Does $100,000 of Coverage Make Sense?

A $100,000 term life insurance policy makes sense:

• For those who are on a limited budget, but still want to ensure their loved ones are protected from the unexpected.
• If you don’t have a lot of debt you’d leave behind, but still want income replacement for your family.
• If you’re laddering policies and this policy is for a specific protection goal.

Example of Laddering

You and your spouse purchased a home with a 30-year $300,000 mortgage. You have a teenager graduating from high school next year and want to support her through college.

You can buy two different life insurance policies that are specific to ensuring your family can remain in their home and financially protecting your child.

• A 30-year $350,000 term life insurance policy will provide the cash your spouse needs to continue paying monthly living expenses if you die before the mortgage balance is paid.
• A 10-year $100,000 term life insurance policy will provide the cash your family needs to support your daughter through college and her young adult life until she’s financially independent, even if you die and can’t physically be there to see her through it yourself.

A $100,000 whole life insurance policy makes sense:

• If you need lifelong protection for your loved ones. Perhaps you have a non-working spouse or a child with special needs.
• If you aren’t sure how long people will be relying on you.
• As a supplement to a larger term life insurance policy.

Need some of both? Purchase enough term life insurance to cover all your debt and financial responsibilities. And choose a long enough term length to protect your family until all or a majority of your debt is paid off. Then buy a small whole life insurance policy to cover end-of-life expenses and leave behind a small inheritance.

Learn more about this strategy: Supplementing Term Life Insurance with Whole Life Insurance

Is $100,000 Enough Life Insurance?

You might think a $100,000 term life insurance policy is enough, but you could be underestimating your family’s needs. The good news is that increasing your coverage could be more affordable than you think. For example, boosting your policy from $100,000 to $250,000 might only cost you an extra $2-3 per month. Imagine the additional peace of mind that extra $150,000 could offer your family if something happened to you.

Use our life insurance quoting tool to experiment with different coverage amounts and policy lengths. You’ll likely find that term life insurance is quite budget-friendly.

If you’re considering adding to your term life policy, a $100,000 whole life insurance plan is a solid choice for permanent coverage. However, keep in mind that not every family needs a permanent life insurance policy.

Buy what you can afford. $100,000 of term life insurance is a million times better than no life insurance.

Can I Get a $100,000 Life Insurance Policy With No Exam?

Many insurance providers offer policies without the need for a medical exam, especially for smaller coverage amounts like $100,000. In fact, many of the companies we work with here at Quotacy have no-exam options up to $1,000,000 of term life insurance coverage.

Getting a $100,000 whole life insurance policy without an exam is more challenging. You could opt for a guaranteed issue whole life policy, but they have limited benefits and are more expensive than traditional whole life.

If you’re interested in whole life insurance without an exam, it’s best to talk directly with an agent at Quotacy to explore your options.

In most cases, you’ll need to be in good health to qualify for no-exam policies. However, insurance companies have different underwriting guidelines, so some may have more relaxed requirements. If you’d like to avoid a medical exam, your agent can advise you on whether you qualify.

If something happens to you, life insurance can help financially protect the loved ones you leave behind.

Our life insurance needs calculator can help you determine the right amount of coverage you need. Check it out here: life insurance calculator. If you prefer to talk with an agent to determine how much life insurance you need, contact us directly here at Quotacy. Our agents are happy to go over your needs and won’t push you into buying coverage you don’t need.

Note: Life insurance quotes used in this article are accurate as of October 16, 2023. These are only estimates and your life insurance costs may be higher or lower.