How Much More Will Life Insurance Cost Me if I Wait?

There are lots of things we’re more than happy to put off: Finally getting rid of the pacifier. Potty training.

But there’s one thing that we should try not to put off for too long: applying for life insurance.

Nearly half of American adults say they would have trouble paying for living expenses within six months of their primary wage earner’s death, and 40% say their loved ones would be barely or not at all financially secure if the primary wage earner died unexpectedly. So why do so many people put off buying life insurance?

It ties into the fact that young people are often waiting a lot longer now to get married and have kids. Although it’s often OK to wait until your late 20s or early 30s to purchase life insurance, particularly if no one depends on you financially, waiting until closer to 40 could have different impacts.

Here are six reasons why.

1. Life Insurance Premiums Increase With Age 

This may be the biggest argument for seeking life insurance on the early side.

Life insurance gets more expensive the older you are because your chances of illness and death increase as you age. In general, rates rise by around 8-10% per year.

According to one analysis by ValuePenguin, your life insurance rates might only increase by about 6% between ages 25 and 30. But if you’re between 60 and 65, they’ll probably increase an average of 86%, based on a 20-year term with a defined benefit of $500,000 for a non-smoker. The premium differences are even greater if you are a smoker. (Here’s how quitting smoking can affect your life insurance.)

In the survey, 37% of Baby Boomers said they believe the best time to buy life insurance is while a person’s still young and healthy.

2. The Older You Are, the More Your Health Might Be a Factor

Certain common medical conditions, like obesity, high cholesterol and high blood pressure can impact your life insurance rates, and your chances of developing high cholesterol and high blood pressure go up with age. Obesity rates peak in middle age, too, according to the Centers for Disease Control and Prevention (CDC).

When you apply for a life insurance policy, the insurer will take an in-depth look at your current health and medical history, so if you have serious medical issues, you might be denied coverage or you might be given a more expensive rate. In other words, getting older doesn’t just make insurance more expensive because rates go up as you age—your risk factors for other issues also increase.

It’s worth noting that if you are denied traditional life insurance, you have other options like guaranteed issue life insurance, though it will likely be more expensive and/or have a lower coverage limit.

3. Your Employer-Sponsored Plan Probably Won’t Roll Over

Many employers offer life insurance coverage, but it might still be wise to take out an individual policy. In many cases, you have the option to convert an employer-sponsored term life plan into an individual permanent life policy. This comes without additional underwriting, which may be a fit if you have poor health, but it might be far more expensive than simply getting your own term life policy. Otherwise, when you no longer work there, you’d likely lose your policy.

Based on a quote from Fabric by Gerber Life, if you’re a 35-year-old nonsmoking male in excellent health who lives in Texas, you could get insurance for an average of about $18 a month for a 20-year term policy with $250,000 in coverage, as of February 2026. In that case, you may decide that getting your own policy after losing your employer-sponsored plan may not be too big of a deal. As you age, however, you’ll start to see the rates increase. If we say that the same nonsmoking male in excellent health in Texas is now 40 years old, the quote goes up by over $6 per month for the same type of coverage. If he were 45 years old, he’d be paying nearly $23 more per month than the 35-year-old version of himself, which comes out to over $250 extra per year, which adds up over a 20-year term.

4. Your Debts Could Be a Burden to Your Cosigners

Life insurance might help protect cosigners on your loans if you die before your debt is paid off. Although some debt, like federal student loan debt, is discharged at death, not all of it is. Private student loan debt, for example, could be passed on to your cosigner. If you delayed getting life insurance and passed away before you finished paying off your loans, that could create a problem for someone else down the road.

Using the example above, if our 35-year-old, healthy, nonsmoking man in Texas only needed to pay $18 a month for $250,000 in 20-year coverage, he might decide that that is not a huge price to pay to help spare the cosigner on his debt.

Keep in mind that if you’re getting life insurance specifically to help your cosigner, then you’ll need to select that person as your beneficiary when you set up your life insurance policy. You can always change your beneficiary in the future. For example, you might initially select your mother if she’s the cosigner on your loan, but once your loan is paid off, you could switch the beneficiary to your spouse.

5. Your Financial Situation Could Change in the Future

Life insurance companies don’t always take your credit into consideration as part of the underwriting process, but some do. If you have an adverse event on your credit report, such as a pattern of missing payments or a bankruptcy, it could affect your premiums or if an offer can even be made at all.

If you get life insurance while your finances are strong, that can help protect you against higher rates in the future if you were to be hit with an unforeseen financial event.

6. Your Job or Driving Record Could Change

Not only do life insurance policies take your occupation into consideration (with higher premiums for riskier, more hazardous jobs) but they could also take a look at your driving record. If you’re a good driver and work a safe job, one benefit of applying for life insurance now is that your career and driving record could change in the future.

When It’s OK to Wait

There may be different stages in people’s lives where they don’t have a need for life insurance.

In many cases, however, the time to apply for life insurance might be now— when time is on your side.

Fabric exists to help young families master their money. Our articles abide by strict editorial standards.

Information provided is general and educational in nature, is not financial advice, and all products or services discussed may not be offered by Fabric by Gerber Life  (“the Company”). The information is not intended to be, and should not be construed as, legal or tax advice. The Company does not provide legal or tax advice. Consult an attorney or tax advisor regarding your specific legal or tax situation. Laws of a specific state or laws relevant to a particular situation may affect the applicability, accuracy, or completeness of this information. Federal and state laws and regulations are complex and are subject to change. The Company makes no warranties with regard to the information or results obtained by its use. The Company disclaims any liability arising out of your use of, or reliance on, the information. The views and opinions of third-party content providers are solely those of the author and not Fabric by Gerber Life.