Whole life insurance can be used to pay off your mortgage, debts, and end-of-life and unexpected critical illness expenses. It can also offer permanent guaranteed death benefits and protection for your family in the event that you pass on. In many cases, insurance providers will pay dividends to whole life insurance policyholders and offer additional supplemental insurance policies.
We’ve researched the best providers that offer comprehensive whole life insurance with affordable premiums, riders, and other features that make it easier for seniors to plan for their futures.
Did You Know: Read our guide to senior insurance to learn more about the different policies that can help protect you and your loved ones.
With most major insurers offering whole life policies, we looked for the following criteria when choosing the best options for older adults.
| Provider | Age range | Minimum coverage amount | Maximum coverage amount |
|---|---|---|---|
| MassMutual | Up to age 100 | $100,000 | $3 million |
| AAA Life | Up to age 80 (Simplified Issue Whole Life); 45-80 (Guaranteed Issue Whole Life) | $5,000 | $75,000 |
| Northwestern Mutual | Up to age 85 | $25,000 | Based on underwriting and insurable interest limits |
| Gerber Life | 18-70 | $50,000 | $300,000 |
| Mutual of Omaha | 45-85 (50-75 in New York) | $2,000 | $25,000 |
Whole life policies: Legacy 10, Legacy 12, Legacy 15, Legacy 20, Legacy 65, Legacy 100, Legacy HECV, Survivor Legacy 100, CareChoice
Issue ages: Up to age 100
MassMutual is a mutual insurance company that was founded in 1851. In 2020, it paid $6.2 billion in life insurance and annuity benefits. MassMutual offers whole life, term, universal, variable, and additional insurance protection for individuals and families. They also offer retirement assistance and various investment products, such as mutual funds and 529 plans.
Among their many products, their Whole Life Legacy 100 life insurance policy is a permanent policy that seniors might want to consider. One of the many benefits of this whole life policy is that you’d be eligible to receive annual dividends, which you can use to pay premiums or increase your life insurance protection amount. The Whole Life Legacy 100 policy might also be a good option for seniors that want to leave a financial legacy behind and protect their families for the long run. As such, seniors can add multiple, optional riders at affordable premiums. Along with a policy that builds guaranteed cash value over time, you also have the reassurance of a guaranteed death benefit that’s paid out to your beneficiaries when you pass on. This policy is great for when you want to leave a legacy behind, provide a supplemental retirement income, or protect your family.
Whole life policies: Simple Whole Life, Guaranteed Issue Whole Life
Issue ages: Up to age 80 (Simplified Issue Whole Life); 45-80 (Guaranteed Issue Whole Life)
Founded in 1969, AAA Life Insurance Company offers life insurance annuity products to millions of customers. Currently, the company has over 1.5 million active insurance policies. With strong customer service and financial standing, AAA Life offers term life, whole life, and universal life insurance, as well as other types of insurance.
We’d recommend AAA Life’s Whole Life Insurance policy for seniors because the coverage lasts for your entire lifetime and builds cash value over time, unlike term life policies. If you’re an older adult who’s not looking for substantial coverage, then AAA Life’s Whole Life Insurance policy might be right for you. Coverage amounts range between $5,000 to $75,000, which means that you’ll likely be paying lower premiums compared to other whole life insurance policies with larger coverage amounts.
Anything under $30,000 in coverage doesn’t require a medical exam. If you’re an AAA member, you can also enjoy the added benefit of a 10 percent discount on your premium payments for whole life insurance. With whole life insurance through AAA, there’s also a guarantee that your premiums will stay the same until age 100. In the event that you need to access your death benefits while you’re alive and diagnosed with a terminal illness, you can use up to 50 percent of your benefits if you have less than one year to live.
AAA Life provides affordable premiums with plenty of short-term and long-term protection for seniors.
Whole life policies: 65 Life, 90 Life, Limited Pay Life
Issue ages: Up to age 85
Northwestern Mutual is best known for its financial strength and robust life insurance offerings. It’s paid out dividends to whole life insurance policyholders since 1872. With quality life insurance protection at affordable premiums, Northwestern Mutual offers a variety of whole life, universal life, term life, and other long-term insurance for older adults up to age 85.
Their 90 Life whole life insurance policy is issued to individuals up to age 80 and provides a guaranteed death benefit and minimum cash value, along with level premiums that are payable to age 90 or until death. One of the great things about this permanent policy is that you may be able to receive cash dividends from the provider, which can be used to increase your insurance coverage amount or reduce your premiums.
If you have a term life insurance policy and have been thinking of switching to permanent protection, then Northwestern Mutual might be able to help. In addition to the 90 Life whole life insurance policy, you have the option of an Additional Purchase Benefit, which can help protect a child or grandkid’s life when you pass.
Pro Tip: If you’re also shopping for auto insurance, read my guide to senior car insurance to learn about how to save money on an auto policy.
Whole life policies: Whole Life Insurance for Seniors
Issue ages: 18-70
Gerber Life was founded in 1967 with the goal of providing affordable life insurance policies to all. Currently, there are over $50 billion in active life insurance policies, which speaks to the company’s financial strength and reputation. For seniors looking for permanent coverage, Gerber Life’s Whole Life insurance provides lifelong coverage and financial protection for the long term.
With Gerber Life, you can customize your policy to fit your family’s financial needs. Whether you’re preserving a legacy, need to pay off loans and college funds, or need to cover unexpected expenses, Gerber Life has a policy. For example, the monthly premium for a healthy 65-year-old male is around $517 per month for $125,000 of coverage.
Although premiums tend to be a bit more expensive compared to other providers, Gerber Life is still worth considering because of the cash value incentives and higher coverage amounts for older seniors. For instance, the longer you own the whole life policy, the more likely it is to grow in cash value over time. If you’re looking for locked-in premium rates and larger coverage amounts, then Gerber Life might be a good provider for you.
Whole life policies: Guaranteed Whole Life Insurance
Issue ages: 45-85
Mutual of Omaha is a great insurance provider for seniors who are on a tight budget. Originally known as the Mutual Benefit Health & Accident Association in 1910, the company started off issuing health and accident insurance in Nebraska. Since then, it has expanded its services, offering life insurance and financial services.
For seniors who can’t afford costly premiums, Mutual of Omaha is a good alternative. For a healthy 65-year-old male, the premium for whole life insurance is around $163 per month for $25,000 of coverage.
If you’re looking for larger coverage amounts, however, we recommend looking into Gerber Life or other providers. But for seniors who are looking for affordable premiums, Mutual of Omaha is a budget-friendly alternative. Some of the many benefits of whole life insurance through Mutual of Omaha are that there is no medical exam required, premiums don’t increase, and the policy you buy now grows in value over time. You also have a guaranteed death benefit that will be paid out to your beneficiaries once you pass on.
While there is no set amount as to how much whole life insurance coverage you should get, many experts say your policy should be seven to 10 times your annual salary. Of course, there are many other factors that you need to figure out before determining your coverage amount.
We’d recommend looking into whether you have debts, a mortgage to pay off, college funds for a grandkid, business expenses, or other unexpected medical expenses and end-of-life care to account for in the future. This can also be a time to check in on your investments, assets, and other passive sources of income to help you determine whether you need a higher or lower amount of coverage.
There are many differences when it comes to term life and whole life insurance. One of the major differences is that term life insurance provides coverage for a specified term, on a temporary basis. So you could opt for term life insurance coverage for 10, 15, or 20 years, depending on your provider’s policies and age limits.
Generally, term life insurance can be more affordable than whole life insurance, but the downside is that the policy doesn’t grow in cash value. If you want lifelong or guaranteed protection, you might want to look into a whole life policy. Although you might be paying slightly higher premiums depending on age, health, and a number of other factors, whole life insurance might be better for your unique financial situation. Or you might decide that term life works better for your needs.
We know that shopping for life insurance can be stressful. Luckily, there are many resources and tools to help seniors get the best rates and policies for financial protection. Whether you’re getting term or whole life insurance, you’re doing the right thing by planning for your future and making sure that your family and legacy are protected.
To learn more about insurance options for seniors, be sure to check out our helpful guides and lists:
The cost varies depending on coverage and the policy you choose. In general, whole life insurance premiums can cost from approximately $200 up to $1,000 in some cases.
The average premium for whole life insurance for seniors varies, but it can cost around $250 to $550 in some cases.
If you’re 60, you should consider both term and whole life insurance. With term life insurance, you’ll be covered for a specific period of time, with affordable monthly premium payments.
Yes, AARP offers whole life insurance with guaranteed acceptance and no medical exam required.
There is no right answer to this question. But in general, term life insurance is the more affordable option for many individuals who need temporary coverage.
