Life insurance is a valuable tool that becomes part of your personal finance strategy as you get older. Younger adults may be using life insurance as a tool to ensure their young children have financial support in the event of their parent's untimely death. In your 50s, the right life insurance plan becomes an important vehicle for supporting your spouse, your older children as they establish their lives. The best cheap life insurance providers for 54-year-olds have policies that accommodate and support your life plans as you age. In this guide, we'll cover what to look for in a life insurance policy and the top providers in the space for your age group.

What 54-Year-Olds Should Look for in a Life Insurance Policy Provider

Once you reach 54 years old, what you need from a life insurance plan changes, and that means one of the most important qualities to look for is flexibility. The two broad categories of cheap life insurance that are available for 54 year olds are:

  1. Term life insurance: This type of policy is ideal for assurance against your death if you have a debt or a concern with a time limit. For example, if you have 15 years left on your mortgage or your children will be in college for five more years, you might purchase a term life policy of 15 or five years, respectively, to cover those costs.
  1. Permanent life insurance: Permanent life insurance options have both a cash savings option and a death benefit. These plans don't have a set term limit and can give you more financial security throughout the rest of your life (though they are more expensive).

The life insurance providers for 54-year-olds may give you access to both types of coverage. They can do this through a provision called "convertibility;" this allows you to convert a term life insurance policy to a whole life insurance policy as your needs change in your fifties and sixties.

Alternatively, the best life insurance provider for you may only offer term life insurance; that sort of specialization makes their products more budget-friendly.  Some term life-only providers extend some degree of flexibility through "renewability." This option allows you to decide to renew or extend your policy without having to take another medical exam. For example, you may choose a 15-year term policy now to cover the term of your outstanding mortgage, but you might decide to renew it for another 15 years before you turn 69 in order to guarantee funds for your grandchildrens' education.

As you shop around for insurance coverage, it's important to consider these motivations and unique concerns in your life:

  • Have you bought a business and will be paying for it for the next five years?
  • Do you have a relative that needs indefinite care, and you want to ensure they're provided for?
  • Do you want to make sure your funeral costs won't be a financial burden for your beneficiaries and surviving family once you die?

The best life insurance providers for 54-year-olds will (i) have a plan that suits your specific vision for the future now and (ii) give you some degree of flexibility to adjust to future changes.

Here are two important rules of thumb to keep in mind if you're shopping for life insurance when you're 54 years old:

  1. Signing up for a new policy gets more expensive as you get older. A term life insurance policy for a 54-year will be pricier than it would have been at 48, but it's likely to be significantly cheaper than the same policy at age 59.
  2. Pay attention to the waivers and the options. Don't just consider the flat premium rate; a term life insurance policy that offers you convertibility options will be more expensive than one through a company that offers term life only, but that may be beneficial in the long run.
  3. Comparing different companies and shopping around for the best rate is crucial as you search for the right coverage. Click below to easily compare prices from different life insurance providers for 54-year-olds.

Keep reading to learn more about the top life insurance providers for people aged 54, the plans they offer, and what makes them a great choice for your financial needs or estate planning goals.

The Top 7 Life Insurance Providers for 54-Year Olds

The online marketplace gives you plenty of access to the best life insurance providers for 54-year-olds that offer competitive rates, easy signup, and good options. Consider these seven organizations:

Sproutt Life Insurance

Sproutt Insurance

Sproutt Life Insurance offers an easy-to-use way to secure life insurance. Their Guided Artificial Intelligence Assessment (GAIA) uses information about your lifestyle and personal details to offer personalized recommendations for your life insurance plan. The application process is fast, simple, and online. You can also get cost-effective life insurance coverage with no exam requirement. Consider these rates: 

  • 10-Year Term Life Insurance: The average monthly premiums for a $100,000 policy are $22 for females and $25 for males.
  • 10-Year Term Life Insurance: The average monthly premiums for a $250,000 policy are $37 for females and $50 for males.
  • 10-Year Term Life Insurance: The average monthly premiums for a $500,000 policy are $67 for females and $93 for males.

SelectQuote

SelectQuote

Rather than being a direct life insurance provider, SelectQuote is a life insurance sales agency. Their website will help you find the right policy options at the right rates for your needs and specific information. Through SelectQuote, you can find policies of up to $5 million in coverage from reputable insurance providers like Prudential for term and whole life policies.

Bestow Life Insurance

Bestow

Bestow Life Insurance is a user-friendly platform for applying for and getting life insurance through the North American Company for Life and Health Insurance. They offer term life insurance, and your answers to a survey will help them offer you a fair rate based on your lifestyle and demographic factors. Bestow also offers instant quotes. Consider these rates:

  • 10-Year Term Life Insurance: The average monthly premiums for a $100,000 policy are $22 for females and $29 for males.
  • 10-Year Term Life Insurance: The average monthly premiums for a $250,000 policy are $42 for females and $59 for males.
  • 10-Year Term Life Insurance: The average monthly premiums for a $500,000 policy are $56 for females and $81 for males.

Mutual of Omaha

Mutual of Omaha

Working with Mutual of Omaha gives you access to term life and whole life insurance plans so you can pick the best plan for your needs. They're also convenient. They provide online access and do not require a health exam. Consider these rates:

  • 10-Year Term Life Insurance: The average monthly premiums for a $100,000 policy are $21 for females and $27 for males.
  • 10-Year Term Life Insurance: The average monthly premiums for a $250,000 policy are $33 for females and $43 for males.
  • 10-Year Term Life Insurance: The average monthly premiums for a $500,000 policy are $59 for females and $79 for males.

New York Life

New York Life

New York Life promises the flexibility that is essential for any top-tier life insurance provider for 54-year-olds. You can select a term life insurance policy now and elect to convert it into permanent coverage later. They also offer a wide array of custom and combination plans, including for AARP members. Consider these rates:

  • 10-Year Term Life Insurance for AARP members: The average monthly premiums for a $25,000 policy are $18 for females and $26 for males.
  • 10-Year Term Life Insurance for AARP members: The average monthly premiums for a $50,000 policy are $29 for females and $45 for males.
  • 10-Year Term Life Insurance for AARP members: The average monthly premiums for a $100,000 policy are $52 for females and $79 for males.

State Farm

State Farm

State Farm is a gold standard in reliability, with an AM Best Rating of A++. They issue policies to applicants up to age 75, and they even provide fast issue options that are easy to understand, apply for, and maintain. You can choose from a wide range of coverage options and policy amounts through an online application that doesn't require a medical exam. Consider these rates:

  • 10-Year Term Life Insurance: The average monthly premiums for a $100,000 policy are $24 for females and $27 for males.
  • 10-Year Term Life Insurance: The average monthly premiums for a $250,000 policy are $39 for females and $51 for males.
  • 10-Year Term Life Insurance: The average monthly premiums for a $500,000 policy are $63 for females and $81 for males.

Transamerica

Transamerica

Transamerica is a trusted name in life insurance, and they're the right choice if you prioritize value. They offer life insurance to people up to the age of 80, and they have an "A" AM Best Rating. This company has been around for over 100 years, and they're a reliable provider of both term life and permanent life insurance options. For complex insurance needs, speak over the phone to one of their agents. Consider these rates:

  • $179/month for a $500,000 benefit, 30-year term life insurance designed for a 54-year-old male in excellent health and financial condition.
  • $135/month for a $500,000 benefit, 30-year term life insurance designed for a 54-year-old female in excellent health and financial condition.
  • Average Life Insurance Costs by State

    Age, health, and lifestyle are some of the most important factors life insurance companies consider when offering you a specific rate. The state you live in also affects the monthly premium you pay for term life insurance. The average premiums by state for a 20-year term life policy with $500,000 of coverage are:

    • California: The average life insurance cost for a 54-year-old in California is $112.05 per month for females and $126 per month for males.
    • Texas: The average life insurance cost for a 54-year-old in Texas is $108.89 per month for females and $151.04  per month for males.
    • Florida: The average life insurance cost for a 54-year-old in Florida is $114 per month for females and 160 per month for males.
    • New York: The average life insurance cost for a 54-year-old in New York is $82.66 per month for females and $110.65  per month for males.
    • Pennsylvania: The average life insurance cost for a 54-year-old in Pennsylvania is $108.89 per month for females and $151.04  per month for males.
    • Kentucky: The average life insurance cost for a 54-year-old in Kentucky is $108.89 per month for females and $151.04  per month for males.
    • Ohio: The average life insurance cost for a 54-year-old in Ohio is $108.89 per month for females and $151.04  per month for males.
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