Life Insurance at 31

You’re in your 30s now. Your life is probably very different than it was when you hit your 20s. You have more responsibility, and you probably have a family. You’re making more money, you might have a mortgage payment.

What does all of this mean? It means you need life insurance!

If you have health issues that you are concerned about, don’t worry, we often get clients with “impaired risk” standard and even preferred rates.

Life insurance can play an important role in your plans for your family’s future. While you may know that this is true, like many you probably have some questions.life insurance at 31

  • What is term versus permanent life insurance?
  • Why do I need life insurance?
  • How much life insurance do I need?
  • How much will my life insurance cost?

We are going to answer all of these questions and more! Later in the article, we have featured some generic quotes you might get as a 31-year-old.

What is term versus permanent life insurance?
The first thing you have to decide is term or whole life insurance.  Both types of policies offer a death benefit (cash payout) payable to the policy’s beneficiaries upon the death of the person covered by the policy. Term life insurance pays this benefit for a certain period of time, the term. Permanent life insurance covers a person’s entire life, paying a death benefit whenever they may pass.

If you’re looking to get the most affordable life insurance coverage possible, then term is going to be the best option. Because term insurance coverage is only effective for a certain period of time, they are going to be drastically cheaper than other options.

Permanent life insurance policies include a cash accumulation aspect. This can make life insurance an important part of your investment portfolio. This article is going to look at term plans for 31-year-olds. Term gets you the most insurance for the least amount of money. If you want to check out some of the other kinds of plans, like indexed universal life or IUL, be sure to look at some of our other articles.

Permanent life insurance is an excellent option for anyone who doesn’t want to reapply for coverage in the future. Because these plans are never going to expire, they are going to be more expensive than other options.

We offer both term life insurance and permanent life insurance that also include critical illness insurance coverage.

Why do I need life insurance at 31?
The primary concern for most people is income replacement. Would your family be able to survive on just one income? If not, then you need to have a life insurance plan which will fill in the financial gaps.

For other people, they think about the expense of a college education. Tuition has been increasing at an alarming rate. No matter the cost, you plan to financially support your children’s aspirations. Many clients allow for college expenses when determining the size of their plan. Read “4 key features of Indexed Universal Life for College Planning” to learn how a permanent life insurance policy can cover your children’s college education expenses.

Some small business owners buy life insurance to cover their business. Without this support, a small organization is often vulnerable to

Life insurance at 31bankruptcy in this situation. “Funding buy-sell agreements with indexed universal life insuranceis an excellent resource about IULs and mortgage coverage.

Many thirty-one year-olds are new homeowners or contemplating home ownership. Your mortgage is probably the largest debt you’ll ever have. Those debts are going to your family. They need money to pay them off. Our article, “Indexed Universal Life for Mortgage Protection?discusses how a permanent policy can be used to cover your mortgage.

How much life insurance do I need?
The level of benefit required for income replacement is commonly determined by dividing your family’s annual needs by an interest rate from the benefit.

For an example let’s use a 4% interest rate.

Also, it is important to determine how much income your family would need in this situation. Depending on your family, it may not be 100% of your income. Let’s say you make $60,000 a year but your family will only need $35,000 a year if you were to pass.

You divide 35k by 4%    $35,000 ÷ .04  =  $875,000 

So, to guarantee an income $35,000 a year for your family you would need to  a life insurance policy of $875,000.

This amount would not include any benefit desired to cover education expenses, outstanding debt or final expenses. You would purchase a separate life insurance policy for your small business, as would your partners. The amount of these coverages would depend on your particular circumstances.

How much will my life insurance cost?Life insurance at 31
Most people are surprised at the price of a plan. Your premium will depend on a variety of factors such as your age, your sex, your occupation, your health (including your health history and family health history), your weight, whether or not you drink alcohol or smoke cigarettes, along with a variety of other variables.

Applying for life insurance with the guidance of an independent brokerage is the best way be certain you get the right life insurance coverage and at the lowest rates available.

Below we’ve provided some quotes to get you started on your life insurance search. There are a couple of key notes to remember before you look at them. First, these plans are for term life insurance.

Secondly, these are only basic quotes for a 31-year-old man who is in great health. Unless you’re identical to the random person we used, your rates are going to vary from these.

 31 -year-old Male Preferred Plus Health Category
Level Term Life Policy – Sample Monthly Premiums – Non-smoker

$100,000$250,000$500,000$1,000,000
10-year$8.01$10.73$15.48$23.31
15-year$8.44$10.94$15.92$26.30
20-year$9.49$13.54$21.11$36.68
25-year$12.05$18.29$29.32$52.25
30-year$12.91$21.08$34.84$62.79

31-year-old Male Standard Health Category
Level Term Life Policy – Sample Monthly Premiums – Non-smoker

$100,000$250,000$500,000$1,000,000
10-year$11.45$17.27$27.53$48.17
15-year$12.39$20.02$34.08$60.90
20-year$14.11$23.70$41.35$74.27
25-year$18.16$34.08$56.57$107.61
30-year$19.36$38.28$69.60$130.10

31-year-old Female Preferred Plus Health Category
Level Term Life Policy – Sample Monthly Premiums – Non-smoker

$100,000$250,000$500,000$1,000,000
10-year$7.41$9.62$13.13$20.12
15-year$7.84$10.51$15.05$24.57
20-year$8.70$12.24$18.51$30.79
25-year$11.02$15.92$25.00$44.46
30-year$11.71$17.86$29.25$50.75

31-year-old Female Standard Health Category
Level Term Life Policy – Sample Monthly Premiums – Non-smoker

$100,000$250,000$500,000$1,000,000
10-year$10.24$14.63$23.98$40.43
15-year$11.53$18.07$30.45$54.81
20-year$12.31$20.02$34.08$61.76
25-year$15.32$26.94$46.88$88.58
 30-year$16.95$30.54$51.33$96.57

We hope you’re pleased with the life insurance rates above.

Life insurance at 31.

Your decision to purchase life insurance is basically for the sake of the ones you love and your own peace of mind and satisfaction that you have done everything you can to provide the best life for them possible. Call one of the Ogletree Financial services agents today to get the protection your family deserves.

Getting started is easy!
Give us call at 1-800-712-8519!

Leave us a message on our contact page!
Use the term quoter on the left side of this page!

About Doug Mitchell
About Doug Mitchell

Doug Mitchell, CLU holds a BA degree in Finance from Auburn University as well as having obtained a Chartered Life Underwriter (CLU) designation from The American College in Bryn Mahr, PA.  Doug has spent over 20 years in the life insurance industry and has also held licenses to sell securities, long-term care insurance, home and auto insurance.  For two years, Doug served as President of the Auburn Opelika Association of Financial Advisors and has been a member of the Million Dollar Round Table.  He obtained Life Millionaire status at Horace Mann Insurance Company and was awarded the Life Agent of the Year Award.  Later in his career with New York Life he was an Executive Council Member.  Doug currently serves as President of Ogletree Financial, a life insurance marketing organization with over 1000 life insurance agents.  Today, Doug’s main focus is servicing 1000s of policyholders and growing his agency through the reach of www.insurancequotes2day.com.

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