• Skip to primary navigation
  • Skip to main content
Good Financial Cents®
Content is based on in-depth research & analysis. Opinions are our own. We may earn a commission when you click or make a purchase from links on our site. Learn more.
  • Make Money
    • Get Money Now
      • Ultimate Guide to Making Money
      • Need Money Now
      • Get Free Money Fast
      • Make Money Fast
      • Make $1K Per Month
      • Make $100 Per Day
    • Control Your Destiny
      • Self Employed Jobs
      • Make Money from Home
      • Hobbies That Make Money
      • How to Become a Freelance Writer
      • Small Business Ideas to Start
      • How to Become an Independent Contractor
      • Best Online Jobs
    • Passive Income
      • Passive Income Ideas
      • Multiple Streams of Income
      • Extra Income
      • Residual Income Ideas
      • Learn to Sell e-Books
      • Make Money on Facebook
      • Make Money on Tiktok
      • Best Online Survey Sites to Make Money
    • Explore More
      • Best Side Hustle Ideas
      • Make Money for Teens
      • Best Online Colleges
      • Best Jobs No College Degree
      • Become a Millionaire
      • Careers for the Future
  • Manage Money
    • Best Of
      • Budgeting Tools
      • Personal Finance Software
      • Best Cashback Cards
    • Company Reviews
      • Personal Capital vs Mint
      • Personal Capital Review
      • SmartAsset Review
    • Guides
      • Buy or Lease a Car
      • What is Liquid Net Worth?
      • Setting Financial Goals
      • How to Budget
      • Ways to Save Money
    • Explore More
      • How Much Car Can I Afford?
      • Best Auto Refinance Companies
  • Invest
    • Best Of
      • Best Short and Long-Term Investments
      • Best Low Risk Investments
      • Best Online Stock Brokers
      • Best Crypto Exchanges
      • Best Short Term Investments
      • Best Long Term Investments
      • Best Trading Platforms
      • Best Investment Apps
    • Company Reviews
      • Lending Club
      • Robinhood
      • M1 Finance
      • Ally
      • TD Ameritrade
      • Fundrise
      • Betterment
      • Etrade
      • Wealthfront
    • Guides
      • Investing for Beginners
      • Investing Small Amounts of Money
      • Investing in Real Estate
      • No Money Down Real Estate
      • Bonds vs Stocks
      • Peer to Peer Lending
      • Best Hedges Against Inflation
      • Safe Bitcoin Investing in 2023
    • Explore More
      • Bitcoin vs. Real Estate
      • Betterment vs Wealthfront
      • Investing for College Students
      • Stock Market Alternatives
    • By Investment Amount
      • How to Invest $100
      • How to Invest $1K
      • How to Invest $2k-$3k
      • How to Invest $5K
      • How to Invest $10K
      • How to Invest $15k
      • How to Invest $20K
      • How to Invest $30k
      • How to Invest $50K
      • How to Invest $100K
      • How to Invest $200K
      • How to Invest $500K
      • How to Invest $1M
  • Taxes
    • Best Of
      • Best Tax Relief Companies
      • Best Tax Software
    • Guides
      • Federal Income Tax Guide 2023
      • Taxes and Cryptocurrency
      • How to Do Your Own Taxes
      • How to Invest Your Tax Refund
      • Hiring a Professional Tax Preparer
      • Tax Tips for Freelancers
    • Company Reviews
      • TurboTax Review
      • H&R Block Review
      • Taxslayer
      • Tax Act
  • Insurance
    • Best Of
      • Best Life Insurance
      • Best Home Insurance
      • Best Auto Insurance
      • Cheap Term Life Insurance
      • Car Insurance For Young Adults
    • Guides
      • Term vs Whole Life
      • Different Types of Car Insurance
      • Average Cost of Car Insurance
    • Explore More
      • Life Insurance Over 50
      • Life Insurance Over 80
      • $1 Million Life Insurance
      • $2 Million Life Insurance
      • $3 Million Life Insurance
    • Company Reviews
      • Banner Life Insurance
      • Ladder Life Insurance
      • Health IQ
      • Haven Life
      • Policygenius
      • State Farm Auto Insurance Review
  • Retirement
    • Roth IRA
      • Best Places to Open a Roth IRA
      • Best Investments for Roth IRA
      • 7 Roth IRA Secrets
      • Roth IRA Conversion Guide
      • Roth IRA Rules
      • Roth IRA vs Roth 401k
      • Are Roth IRA Contributions Tax Deductible?
    • 401(k)
      • 401(k) Limits
      • 401(k) to Roth Rollover
      • Is 401(k) Enough for Retirement?
      • Maxed Out 401(k): What's next?
    • Traditional IRA
      • Traditional IRA Rules and Limits
      • Traditional IRA vs. 401(k)
      • Simple IRA Rules
      • SEP IRA Rules
      • How Much Do You Need to Start an IRA?
    • Explore More
      • SEP IRA vs. Roth IRA
      • 457 Plan for Successful Retirement
      • 401a Rollover Rules
      • How to Retire at 50
      • How to Retire at 55
  • Banking
    • Best Of
      • Best National Banks
      • Best High-Yield Savings Accounts
      • Best Checking Accounts
      • Best Savings Accounts
      • Best CD Rates
      • Best Money Market Accounts
    • Company Reviews
      • BBVA
      • Synchrony
      • Wells Fargo
    • Explore More
      • 9 Banking Alternatives for 2023
      • What is a Credit Union?
  • Home
    • Best Of
      • Best Mortgage Lenders
      • Best Mortgage Refinance Companies
      • Best Home Warranties
      • Best Homeowners Insurance
      • Best VA Loans
      • Best Mortgage Rates
      • Best Moving Companies
      • Best Home Security
    • Guides
      • Home Buying Checklist
      • Online Home Appraisal
      • How Much House Can I Afford?
      • First-time Homebuyer Programs
      • How to Get Approved for a Home Loan
      • Save Money When Building a House
      • How to Save for a Downpayment
      • When to Refinance Your Mortgage
    • Explore More
      • 15 vs. 30-year Mortgage
      • Home Warranty vs. Home Insurance
      • Veterans United Home Loan Review
      • Quicken Loans Review
      • HELOC vs Second Mortgage
      • DCU Mortgage Review
      • Costco Mortgage Program Review
      • USAA Mortgage Loan Review
  • Credit
    • Best Of
      • Best Credit Repair Companies
      • Best ID Theft Protection Services
      • Best Credit Report Options
      • Best Bad Credit Loans
    • Guides
      • How to Build Your Credit Score
      • How to Raise Your Credit Score in 5 Months
      • How to Dispute Your Credit Report
      • Hot to Remove Collections from Your Credit Reports
      • How Identity Theft Destroys Your Credit Score
    • Explore More
      • What is a Good Credit Score?
      • What is a Bad Credit Score?
  • Debt
    • Best Of
      • Best Debt Consolidation Loans
      • Best Personal Loans
      • Best Student Loans
      • Best Student Loan Refinance
    • Guides
      • What is Debt Consolidation?
      • How to Get Out of Debt
      • How to Get a Personal Loan Approved
      • How to Pay Off Student Loans Faster
      • Should I Consolidate My Debts?
      • Should I File for Bankruptcy?
    • Company Reviews
      • Credible
      • Sofi

How Long Should You Buy Term Life Insurance?

https://www.goodfinancialcents.com/wp-content/uploads/2019/07/MG_5503-150x150.jpg
  • Written By:
    Jeff Rose, CFP®

    Jeff Rose, CFP®

    Jeff Rose, CFP® is a Certified Financial Planner™, founder of Good Financial Cents, and author of the personal finance...

    Read More
  • Updated: September 2, 2021
  • 5 Min Read
  • Advertising Disclosure

    Advertising Disclosure

    GoodFinancialCents® has an advertising relationship with the companies included on this page. All of our content is based on objective analysis, and the opinions are our own. For more information, please check out our full disclaimer and complete list of partners.

Quality Verified THE GFC® PROMISE
shield check icon
Quality Verified

GoodFinancialCents® partners with outside experts to ensure we are providing accurate financial content.

These reviewers are industry leaders and professional writers who regularly contribute to reputable publications such as the Wall Street Journal and The New York Times.

Our expert reviewers review our articles and recommend changes to ensure we are upholding our high standards for accuracy and professionalism.

Our expert reviewers hold advanced degrees and certifications and have years of experience with personal finances, retirement planning and investments.

shield check icon
Why You Can Trust GoodFinancialCents®

GoodFinancialCents® partners with outside experts to ensure we are providing accurate financial content.

These reviewers are industry leaders and professional writers who regularly contribute to reputable publications such as the Wall Street Journal and The New York Times.

Our expert reviewers review our articles and recommend changes to ensure we are upholding our high standards for accuracy and professionalism.

Our expert reviewers hold advanced degrees and certifications and have years of experience with personal finances, retirement planning and investments.

Because life insurance is such a vital purchase, you want to ensure that you’re making the best decision for you and your family. There are several different types of life insurance that you have to choose from, but the most popular option is term life insurance. Buying life insurance doesn’t have to be a long and painful process, we can make it quick and easy.

If you’re shopping for term life insurance, the two most important factors to your policy are how much coverage you need and how long your term should be.  In this article, we’ll go in depth on how long you should buy term life insurance coverage.

While most consumers focus all their time on the amount of coverage, the length of the policy is also an incredibly important factor most consumers don’t put much thought into.

Since term life insurance doesn’t last forever, the premiums are much, much cheaper.  Term policies are the best option if you’re looking for affordable life insurance coverage for your loved ones.   However, how long should you have term life insurance for?

Good question!  It’s depends on your situation.  Probably not the answer you’re looking for, but we’ll guide you through the thought process below.

The Thought Process for My Term Life Insurance Policy

Lets start with my thought process when I purchased a term life insurance policy.

Last year, my wife and I purchased 20-year term policies when we had our first child. The logic was that we wouldn’t need life insurance once the kids were grown, out of college and could fend for themselves if something happened to us.

We both already had 30 year term insurance for income protection which would get us near retirement.  This new 20 year term policy was “earmarked” to take care of the kids and make sure either of us wouldn’t have to work and can give our child any opportunity they wanted.

The point of our example is that determining how long of a term to sign up for can be just as difficult as determining how much coverage you need.  We’ll add and possibly replace coverage as our needs change.

That’s the thing.  Your life insurance program should be reviewed every few years or when big changes happen in your life.  So when you purchase that cheap term life insurance policy, remember that it will probably be different in the future.

Ads by Money. We may be compensated if you click this ad.AdAds by Money disclaimer
With a Life Insurance policy you can take care of your family the right way.
Should anything happen to you, you'll want to leave your loved ones a financial nest egg for their wellbeing. Click on your state to find out more.
HawaiiAlaskaFloridaSouth CarolinaGeorgiaAlabamaNorth CarolinaTennesseeRIRhode IslandCTConnecticutMAMassachusettsMaineNHNew HampshireVTVermontNew YorkNJNew JerseyDEDelawareMDMarylandWest VirginiaOhioMichiganArizonaNevadaUtahColoradoNew MexicoSouth DakotaIowaIndianaIllinoisMinnesotaWisconsinMissouriLouisianaVirginiaDCWashington DCIdahoCaliforniaNorth DakotaWashingtonOregonMontanaWyomingNebraskaKansasOklahomaPennsylvaniaKentuckyMississippiArkansasTexas
See An Estimate

2 Tips For Determining How Long To Buy Term Life Insurance

So here are the 2 biggest things to consider when deciding how long your term life insurance coverage should last:

1.  Consider the Purpose of the Coverage

My #1 tip is to consider WHY you’re buying this coverage to determine how long you should buy your life insurance.

Like our example above, the purpose of the coverage should be your main deciding factor.  If you’re buying to protect your children, then buy coverage until they can earn their own living.

If you’re considering coverage for your family to protect your income, you’ll want to buy coverage until you hit retirement age, or at least near retirement age.  That doesn’t mean that once you’ve reached retirement that you’ll no longer need life insurance. You will still have to evaluate your specific situation and determine your life insurance needs from there.

If you’ve buying coverage to cover your mortgage, choose a term length that equals the amount of time left on your note.  This is one of the most important factors to consider. If you were to pass away, your family would be left paying for the mortgage, which can put serious financial strain on a grieving family. Having the proper length of life insurance will prevent this and give them the money they need to pay off those expenses.

The purpose of coverage should always lead to your desired term length.

2. Consider the Cost of Coverage

Once you determine how long you need the coverage, make sure you’re comfortable with the premiums.  The longer the term length, the more expensive your premiums will be.  The best way to determine cost is by utilizing instant life insurance quotes on this site.  You can ballpark the cost of term life insurance at different term lengths.  In most cases, term life insurance is much more affordable than most applicants think. It’s a great way to get your family the life insurance protection they deserve without breaking your bank.

Also, as attractive as no medical exam life insurance can be, make sure you can afford it.  Bypassing the medical exam can make life insurance more expensive.  If you can afford it, it’s a quick and easy way to purchase coverage and we highly recommend it.  If you can’t, opt for the medical exam.

ANY health issues you have can increase your premiums and will force you re-think the term length you’re considering.  If this is the case, opt for a shorter term length and re-visit purchasing a longer term length in the future when you’re health issues are under control.

If you do have poor health, or any serious health complications, don’t automatically assume that you don’t qualify for a term life insurance plan, or that the premiums will be too expensive. There are dozens of insurance companies that specialize in insuring high-risk patients with health problems. Our agents can help connect you with the perfect insurance company that is going to view your application favorably, which can be the difference in being denied for coverage, or finding an affordable policy.

Bottom Line

Working through the purpose of coverage,  factoring in your term life insurance rates and the best life insurance companies in order to meet your needs,  should make you confident in your decision of how long you should buy your term life insurance policy.

Remember that your life insurance needs will be changing throughout the years.  It’s not uncommon to own multiple policies to meet your needs as they change. Everyone goes through major life changes that impact their life insurance needs.

You should always review your policies every few years, or when you have major events to see if your policy is still giving you the protection you need.  Since the earlier you buy coverage, the less expensive it is – you usually keep your policies when you buy more coverage down the road.

If you’d like to discuss how long you should buy term life insurance, please don’t hesitate to contact us.  We can answer any questions about you have about term life insurance and ensure that you and your loved ones are getting the best possible plan.

Our agents at Life Insurance by Jeff are independent agents, which means that we don’t represent one single company. Instead, we represent dozens of highly rated companies from across the Untied States.

Working with one of our agents during the life insurance process can help you save both time and money on your policy. We can give you quotes from best-rated policies from dozens of companies, no calling and answering the same questions.

You never know what’s going to happen to you tomorrow. You can’t predict the future, but you can always protect your loved ones against the worst. Don’t wait any longer to purchase a life insurance policy that will provide for your family, regardless of what happens to you.

Facebook LinkedIn Twitter

About the Author

Jeff Rose, CFP® is a Certified Financial Planner™, founder of Good Financial Cents, and author of the personal finance book Soldier of Finance. He was a financial planner for 16+ years having founded, Alliance Wealth Management, a SEC Registered Investment Advisory firm, before selling it to focus on his passion - educating the masses on the importance of financial freedom through this blog, his podcast, and YouTube channel.


Jeff holds a Bachelors in Science in Finance and minor in Accounting from Southern Illinois University - Carbondale. In addition to his CFP® designation, he also earned the marks of AAMS® - Accredited Asset Management Specialist - and CRPC® - Chartered Retirement Planning Counselor.

While a practicing financial advisor, Jeff was named to Investopedia's distinguished list of Top 100 advisors (as high as #6) multiple times and CNBC's Digital Advisory Council.

Jeff is an Iraqi combat veteran and served 9 years in the Army National Guard. His work is regularly featured in Forbes, Business Insider, Inc.com and Entrepreneur.

Facebook Twitter LinkedIn


You Might Also Enjoy

Best Homeowners Insurance Companies of 2023 - Updated for March

Best Homeowners Insurance Companies of 2023 - Updated for March

Life Insurance with Kidney Problems

Life Insurance with Kidney Problems

Best Extended Car Warranty for 2023

Best Extended Car Warranty for 2023

Ladder Life Insurance Review - Term Life Insurance with a Twist

Ladder Life Insurance Review - Term Life Insurance with a Twist

Sproutt Life Insurance Review: Is it Legit?

Sproutt Life Insurance Review: Is it Legit?

Best Car Insurance for Young Drivers in 2023

Best Car Insurance for Young Drivers in 2023

Leave a Reply

Cancel reply

  • Make Money
  • Manage Money
  • Invest
  • Taxes
  • Insurance
  • Retirement
  • Banking
  • Home
  • Credit
  • Debt
  • About
  • Contact
  • Facebook LinkedIn Twitter

© 2023 Good Financial Cents®. All Rights Reserved. | Privacy Policy | Disclaimer

All written content on this site is for information purposes only. Opinions expressed herein are solely those of AWM, unless otherwise specifically cited. Material presented is believed to be from reliable sources and no representations are made by our firm as to another parties’ informational accuracy or completeness. All information or ideas provided should be discussed in detail with an advisor, accountant or legal counsel prior to implementation.

All third party trademarks, including logos and icons, referenced in this website, are the property of their respective owners. Unless otherwise indicated, the use of third party trademarks herein does not imply or indicate any relationship, sponsorship, or endorsement between Good Financial Cents® and the owners of those trademarks. Any reference in this website to third party trademarks is to identify the corresponding third party goods and/or services.