Summary of life insurance
Allstate® life insurance offers you a variety of policy options to protect your family’s financial future. Choose from term life, whole life, or universal life policies to match your goals and budget. Get peace of mind knowing that you’re covered for things like income replacement, debt payoff, or legacy planning. With personalized quotes, flexible features, and helpful resources, Allstate makes it easy to find life insurance that fits into your life.
How does life insurance work and why should I consider it?
Life insurance is a contract between a policyholder and their insurance company that helps provide financial security for beneficiaries in the event of the policyholder’s death. Allstate makes it easy to find a plan that fits your needs and budget. Reach out today to compare term and permanent policy options, get a quote and take the next step towards protecting your family’s future.
Do I need life insurance?
Whether you’re starting out, raising young children, or entering retirement, Allstate offers a life insurance plan to meet your family’s specific coverage needs. With options ranging from basic to comprehensive, we can help you choose the right policy to compensate for your family’s financial loss in the event of your passing.
Life insurance can help your loved ones:
- Cover the rising cost of funeral expenses
- Replace lost wages or the value of your time (e.g., stay-at-home spouse)
- Pay off debt
- Provide for a college education
- Leave an inheritance
- Secure your business
How much coverage do I need?
The best way to determine which policy to purchase is to add up all current, and expected, financial responsibilities your loved ones would be left with.
To get started, use the coverage calculator below to include funeral costs, childcare and education, outstanding debts, and other everyday expenses.
What are the types of life insurance?
Most life insurance falls in two basic categories: term and permanent coverage, with term lasting for a set period of time, and permanent for the duration of the policyholder’s lifetime.
| Category | Term life | Permanent life |
|---|---|---|
| Cost | As low as $10/mo | Price varies |
| Coverage term | 10-40 years | Your entire life |
| In-person medical exam | Sometimes required | Sometimes required |
| Other benefits that may be available |
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Why choose term life insurance?
Term life insurance is perfect for anyone trying to save money today and keep their loved ones protected in the future. Whether you’re single, married with kids, approaching retirement, or anywhere in between, an active term life insurance policy protects whoever might be left with a financial burden. It’s also significantly less expensive than permanent life insurance.
What is permanent life insurance?
Permanent life insurance policies are valid from the date of purchase until the date of the policyholder’s death (if all premium payments are made), upon which a cash payout is given to the policy’s beneficiary. Some permanent life insurance policies also include a separate cash value savings component, which lets the policyholder borrow money against the policy or receive help covering premium payments.
Take a look at the different permanent life insurance policy options below or find an agent.
Whole
Whole life insurance gives predictable lifelong protection with the most guarantees, like a fixed premium and death benefit.Universal
Universal life insurance provides flexible protection that can last your lifetime and includes some cash accumulation options.Variable
Variable life insurance offers different investment options for cash value and flexibility in benefits.
How is my life insurance premium determined?
Typically, the cost of your policy depends upon the following factors:
- Age: Generally, the younger you are when you buy your policy, the lower your premium will be.
- Term vs. Permanent: Term policies are significantly less expensive than permanent plans.
- Length of term: Term policies are available in 10- to 40-year term lengths.
- Coverage amount: A policy with a larger death benefit amount will naturally cost more than a similar policy with a smaller benefit amount.
- Health history: Things like your current health, health history and family medical history all shape your price.
- Lifestyle: Smoking or high-risk hobbies often lead to higher premiums.
Life insurance FAQs
Yes. In fact, according to a report by nonprofit Life Happens, consumers think life insurance rates are nearly three times the actual price. Despite the misconception about the cost of life insurance, there is a policy to fit almost every individual’s financial situation. And since premiums are dependent upon factors like age and health, the sooner you purchase a policy, the lower the rate you are likely to pay.
While the life insurance policies that employers offer provide some security, the coverage amount is usually not enough and is only valid while the insured is actively employed with the company.
The younger and healthier you are when you purchase life insurance, the lower your premium is likely to be. Rates are based upon mortality tables that consider age as a factor, and the longer you wait, the greater your risk of certain health issues that can increase your price and limit your options of policies.
Yes, while the price and options may be affected, many insurers offer policies to people with serious or multiple health issues. A guaranteed issue policy is one option that requires no medical exam and eliminates some health-related questions that are included in other types of policies. By disclosing your conditions when you apply, you can work with your agent to find the best way to meet your insurance needs.
Depending upon the specific coverage and provider, many life insurance policies offer flexibility. To make sure your coverage evolves with your life stages and financial goals, you may be able to adjust coverage amounts, update beneficiaries, or even convert a term policy to permanent coverage.
Yes, many people hold multiple policies to cover different financial goals. For example, it’s common to use one policy to cover a mortgage and another to support family expenses in the event of a lost income.
Life insurance is one of the best ways to give your family the peace of mind that comes with financial security in the event of your passing. By covering costs like funeral expenses, outstanding debts, or everyday living expenses, you can continue to take care of your loved ones, even in your absence.
Optional add-ons that change or expand your life insurance benefits to fit your specific needs are called riders. Accelerated death benefits, premium waivers and child term coverage are common types of riders that enable you to customize your coverage to include more than what is typically included in a standard insurance policy.