We selected Ethos as our top life insurance provider for people over 50 years old. Bestow, Fidelity Life and Nationwide are some of our other top picks.
Updated:
Jun 28, 2024
Written by
Graham Ray
Graham Ray
Edited by
Tori Addison
Tori Addison
The MarketWatch Guides team selected Ethos as our pick for the best life insurance company for people over 50 years old after researching policy age limits, cost, range of coverage and other factors. While our selections are intended to aid in your search, we recommend working with a licensed life insurance agent or financial advisor to help you make an informed decision before you choose a policy.
Top 6 Life Insurance Companies for Applicants Over 50 Years Old
Here are our picks for the top life insurance companies for people over 50 years old, and why we chose each one:
- Ethos: Our top pick
- Bestow: Our pick for online term policies
- Fidelity Life: Our pick for accidental death coverage
- Nationwide: Best for whole life insurance
- State Farm: Our pick for customer satisfaction
- John Hancock: Best for people with diabetes
How We Rank Life Insurance Providers
We selected our list of the best life insurance providers for people over 50 years old based on factors such as a company’s range of coverage options, rates and plans for people with pre-existing conditions. Some of our picks have long-standing reputations of financial stability, according to data from the credit rating agency AM Best, and strong customer service as evidenced by J.D. Power and Associates customer satisfaction surveys. Other companies employ modern technology to simplify the process of obtaining life insurance coverage.
Ethos
Our top pick
BBB Rating A+
Bestow Life Insurance
Our pick for online term policies
Fidelity Life
Our pick for accidental death coverage
BBB Rating A+
Nationwide
Our pick for bundling insurance
BBB Rating A+
State Farm
Our pick for customer satisfaction
BBB Rating A+
John Hancock
Our pick for policyholders with diabetes
BBB Rating B
What To Consider When Buying Life Insurance Over 50 Years Old
As you reach your fifties, the monthly premiums for life insurance can start to increase. In addition to life insurance costs, our team outlined some other considerations to make as you shop for coverage.
Type of Coverage
The two main types of life insurance plans are term life and permanent life. Term life policies are generally more affordable and expire after a set period, such as 10, 20 or 30 years.
Read more: Best Term Life Insurance Policies
For those interested in building savings with a cash value component, permanent coverage such as a whole life insurance policy could present a better option. For customers over 50 years old who have pre-existing medical conditions, guaranteed issue and final expense insurance could help ensure their loved ones don’t have to pay their funeral costs and other end-of-life expenses.
Amount of Coverage
The amount of coverage you select functions as the death benefit payout that your loved ones will receive if you pass away. Subtracting your financial obligations such as mortgage balance, car payments and credit card debts from your assets can give you a rough estimate of how much life insurance coverage you need. We recommend consulting a financial advisor to best determine how much coverage to consider when shopping for a policy.
Financial Stability
One of the hallmarks of a reliable life insurance provider is financial stability. As a policyholder, you want your beneficiaries to receive your policy’s death benefit if you pass away. AM Best is an independent credit rating agency that researches and rates the financial strength of life insurance companies with a letter-grade scale. On AM Best’s scale, providers rated A++ and A+ are both considered “superior,” while those with an A are considered “excellent.” You can use this metric to determine financial stability when assessing companies.
Customer Service
Based on our review, customer service processes can vary widely between providers. Our picks for the top-rated companies for people over 50 years old include long-standing industry names with a local presence and relative newcomers that feature tech-friendly processes. The newer providers such as Ethos and Bestow offer the convenience of all-digital applications and instant underwriting in many cases. Companies such as State Farm and Nationwide scored points in our review for having a local agent presence.
As you research providers, you can also consider J.D. Power’s annual customer satisfaction survey and customer reviews from third-party sites such as Trustpilot and the Better Business Bureau (BBB) to learn more.
Compare Life Insurance Companies for People Over 50 Years Old
We considered factors such as financial strength, pre-existing conditions coverage and customer satisfaction to determine the best life insurance providers for those over 50 years old. Here are the companies that earned our top picks:
Frequently Asked Questions About Life Insurance for People Over 50 Years Old
We picked Ethos as our top company for people over 50 years old because it offers online term policies that don’t require a medical exam. Buying life insurance is a highly individualized process, however, it is important to consider your budget and financial needs. We recommend getting life insurance quotes from multiple providers and consulting with a licensed life insurance agent to help guide you through the process.
Life insurance premiums generally increase as you age, but many providers offer plans that can suit the needs of people over the age of 50 based on our review. Overall, factors such as any health issues, lifestyle, financial goals and outstanding debts can help determine the best life insurance policy options for you.
If you have pre-existing health conditions and are over 50, you could face higher premiums or application rejections for certain plans. You could consider no-exam life insurance coverage as an option in this case. For those with minor or moderate pre-existing conditions, simplified issue plans that ask a series of health questions on the application might fit your needs.
Guaranteed issue policies that accept applicants without requiring you to complete a medical questionnaire could fit those with cancer or other serious conditions. A final expense policy, also known as “burial insurance,” is a guaranteed issue plan typically limited to between $5,000 and $25,000 in coverage designed to cover your funeral expenses.
Methodology: Our System for Ranking the Best Life Insurance Companies
Our team researches and ranks life insurance companies using an in-depth scoring system that considers the factors most important to consumers like you. Our analysis includes a comprehensive review of each provider we feature based on available coverage, customizability, availability, customer service and company reputation. Here are the factors we take into consideration when rating life insurance providers:
- Brand trust (40%): Life insurance payouts can exceed $100,000 or more, which makes choosing a reputable and trustworthy installer important. To assess brand trust, we use J.D. Power and Associates customer satisfaction surveys, AM Best credit rating scores and the National Association of Insurance Commissioners (NAIC) complaint index. The higher a company scores in each area, the more points it receives.
- Coverage (33%): The more policy options a life insurance company offers, the more opportunities you have to obtain the right coverage for your specific needs. For this reason, we give companies the most points for offering multiple types of life insurance, including various term, permanent and no-exam options.
- Availability and ease of use (19%): Since life insurance coverage options can be complex, we consider the ways a customer can reach a company — and how easy communication is. For this category, we research how many communication channels a company offers for general customer support, claims processing and the application process. Companies earn the most points for offering various ways to interact with an agent, both in-person and online.
- Riders (8%): Companies offering various life insurance riders or endorsements allow policyholders to better customize their coverage. In this category, we determine how many riders a company offers and award the most points to providers with more than 10 options.
We use our rating system to compare and contrast each company against key factors to help us determine the best life insurance companies in the industry. To learn more, read our full life insurance methodology for reviewing and scoring providers.
If you have feedback or questions about this article, please email the MarketWatch Guides team at editors@marketwatchguides.
