How to Buy Life Insurance: A Simple Guide

Buying life insurance might seem intimidating, but a little knowledge can go a long way. Many people skip buying life insurance because they think it costs too much – but most overestimate the price. Only 24% of people correctly estimate the true cost of a term life insurance policy(1).

Whether you're protecting your family, covering debt, or planning ahead, life insurance is one of the most thoughtful financial decisions you can make – and getting coverage for yourself and your loved ones can be much simpler if you have a good understanding of how the life insurance buying process works.

In this guide to buying life insurance, we’ll walk you through how to buy life insurance in simple, straightforward steps. From choosing the right coverage to comparing policies and applying online, we’ll break it all down to help you feel confident and informed.

Why Buying Life Insurance Matters

Life insurance is more than just a contract – it’s a plan for how your loved ones will be taken care of when you’re no longer around. The death benefit your family receives can help:

• Replace lost income if you pass away unexpectedly
• Pay off debts like a mortgage, car loan, or student loans
• Cover everyday expenses like child care or groceries
• Fund future needs like college tuition or retirement
• Provide peace of mind knowing your family’s financial future is more secure

Even a modest life insurance policy can make a meaningful difference during a difficult time.

What to Know Before You Buy

Before you shop for life insurance, it helps to understand the basics of how to get life insurance. Here are a few key things to keep in mind:

There are different types of life insurance. Term life is usually the most affordable, while permanent options like whole or universal life offer lifetime coverage and cash value.

The younger and healthier you are, the lower your rate will likely be. Life insurance gets more expensive as you age or as you potentially develop health conditions.

You don’t need to go through a medical exam. Many websites, including Ethos, offer no-medical-exam options that are quick and easy to apply for.

Coverage isn’t one-size-fits-all. You can choose the amount of coverage and length of the policy based on your budget and financial goals.

You can apply online. Buying life insurance doesn’t have to involve in-person meetings or sales calls. The whole process can often be done digitally, like it is at Ethos!

Steps to Buying Life Insurance

Now that you have a good understanding of how life insurance can help, and how to get life insurance, let’s walk through the purchase steps in a bit more detail.

Step 1 : Decide how much coverage you need

Once you’ve researched how to buy a life insurance policy, the next step is figuring out how much coverage makes sense for your situation. You want enough to protect your loved ones, but not so much that you’re overpaying for coverage you don’t need.

• Start by thinking about what you want your policy to cover:
• Daily living expenses for your family
• A mortgage, student loans, or other debts
• Childcare or college tuition
• Final expenses, like funeral costs
• Income replacement for a set number of years

A common rule of thumb is to aim for coverage that’s 5 to 10 times your annual income, but that’s just a starting point. Use a life insurance needs calculator for a more precise estimate.

Step 2 : Choose a life insurance policy type

There are several types of life insurance, but they all fall into two main categories: term and permanent.

• Term life insurance covers you for a set period. It’s usually the most affordable option and works well if you’re looking to cover things like a mortgage or your family’s living expenses during your working years.
• Permanent life insurance lasts your entire life, as long as you keep up with the premiums. It includes options like whole and universal life, which build cash value over time.

Want a deeper breakdown? Check out our full guide to types of life insurance.

Step 3: Compare life insurance quotes and providers

Not all life insurance companies are the same, and neither are the quotes they offer. It’s worth taking a few minutes to compare your options so you can get the right policy at the right price.

Here’s what to look for:

• Coverage options: Make sure the provider offers the type and amount of coverage you need.
• Application process: Some platforms (like Ethos) offer a quick and easy online application, often with no medical exam. Ethos is not a life insurance company. It provides access to policies issued by licensed insurance carriers.
• Customer experience: Check reviews or ratings to see what real customers are saying.
• Pricing: Rates can vary between insurers, even for the same coverage.
• Financial strength: A company’s financial stability matters—especially for a long-term policy. Look for providers with strong ratings from independent agencies like AM Best.

Ethos has joined forces with some of the industry’s top carriers to make life insurance accessible, affordable, and reliable.

Step 4: Submit your application

Once you’ve chosen a provider and decided what kind of policy best meets your needs, it’s time to apply. The application process can vary depending on the insurer and the type of policy, but here’s what you can generally expect to provide:

• Basic personal info: You’ll provide details like your name, age, address, and occupation.
• Health and lifestyle questions: Be ready to answer questions about your medical history, tobacco use, hobbies, and travel habits.
• Beneficiary info: You’ll need to name the person (or people) who will receive the policy’s payout.

Once your application is submitted, you may get an instant decision, or you might need to wait a few days for underwriting. If approved, you’ll receive your official offer and policy details.

Step 5: Review and Accept Your Policy

Before you finalize your coverage, take a moment to review your policy details carefully. This is your chance to make sure everything looks right and you understand what you’re getting.

Here’s what to double-check:

• Coverage amount and term length: Make sure the numbers match what you expected.
• Premium: Confirm how much you’ll pay and how often (monthly, annually, etc.).
• Beneficiary designation: Ensure the correct person is listed, and consider naming a backup beneficiary too.
• Policy features or riders: Look for any optional add-ons, like accelerated death benefits or child coverage. Many features are included with the policy, while others are available for an additional premium charge – so make sure you aren’t paying for anything extra you weren’t expecting.

If something doesn’t make sense or you’re unsure about a detail, don’t hesitate to ask the provider for clarification.

Once everything looks good, you’ll sign your policy and make your first payment. From there, your coverage goes into effect, and your loved ones are officially protected!

Tips for Buying Life Insurance

So now that you know what to expect, here are a few tips on how to purchase life insurance.

• Don’t wait. The younger and healthier you are, the lower your premium is likely to be. Lock in a low rate by applying sooner rather than later.
• Be honest on your application. Insurers use data sources to verify your info. Being accurate up front avoids delays – or worse, denial of coverage later.
• Compare policies, not just prices. A low rate is great, but make sure the policy fits your long-term needs and goals.
• Look for no-exam options. If the idea of a medical exam is keeping you from applying, know that many providers offer fast, fully digital applications.
• Reassess as your life changes. Marriage, kids, a new job, or buying a home may call for more coverage. You don’t have to stick with the same policy forever.

Buying life insurance isn’t something you do every day, but with a little preparation, it doesn’t have to be complicated.

Where to Buy Life Insurance

• Online providers: Companies like Ethos let you compare policies, get a quote, and apply entirely online. It’s quick, straightforward, and you can do it on your own schedule.
• Insurance agents: Traditional agents offer a more personal, hands-on approach. They can walk you through complex products but the entire process will likely take more time.
• Employers: Many workplaces offer basic group life coverage, often at no cost to the employee. However, these policies are typically limited in value and may not be portable if you leave your job.
• Financial advisors: If you’re working with a financial advisor, they may be able to help you include life insurance as part of your broader financial strategy.

Common Mistakes to Avoid

A little preparation can go a long way. Here are a few tips for buying life insurance that may help you avoid some common pitfalls:

• Waiting too long to buy. Premiums go up as you age, and health issues can make it harder to qualify.
• Underestimating how much you need. Think beyond funeral costs. Consider debts, income replacement, childcare, and future expenses like college.
• Choosing based on price alone. Affordability matters, but make sure your policy fits your long-term goals.
• Skipping the fine print. Understand what’s covered, how long the policy lasts, and whether rates can change over time.
• Relying only on work coverage. Group policies are a nice perk, but usually aren’t enough to fully protect your family.

FAQs on How to Buy Life Insurance

It’s normal to have questions when buying life insurance. Here’s what people often ask—and what you need to know.

How do I get life insurance?

Start by deciding how much coverage you need and what kind of policy fits your situation. From there, you can get quotes, compare options, and apply online or through an agent. Some companies, like Ethos, offer an easy online application that takes just minutes to complete.

Is it better to buy life insurance online or through an agent?

That depends on your comfort level and how much guidance you want. Buying online can be faster and more convenient, which can be great if you already know what you want. If you need help choosing a policy or have more complex insurance needs, working with an agent may help you feel more confident in your decision.

What is the easiest way to buy life insurance?

The easiest way is often through an online provider that doesn’t require a medical exam. Ethos, for example, offers a fast online process with instant decision options for many applicants.

Can I buy life insurance with a pre-existing condition?

Yes, you can. Your condition may affect your pricing or available options, but you’re not automatically disqualified. Some providers offer simplified or guaranteed issue policies for people with health concerns.

How much does life insurance cost per month?

That depends on your age, health, policy type, and coverage amount. For example, a healthy 30-year-old could pay as little as $15–25 per month for a term life policy(2) Permanent life insurance usually costs more, since it’s designed to last for a lifetime and often includes the ability to grow cash value.

Do I need a medical exam?

Not always. Many providers (including Ethos) offer no-exam policies, especially for term life insurance. You’ll answer a few health questions online, and your application may be approved instantly if you qualify.

What kind of life insurance is easiest to get?

Term life insurance is generally the most straightforward to apply for. It’s also typically more affordable than permanent options. Simplified issue and guaranteed issue policies are also generally easier to qualify for.

How long does it take to get life insurance?

With online applications, some people are approved within minutes. More complex applications that require medical exams or manual reviews can take a few days to a few weeks.

Get Started Today

Ethos makes it easier to get the life insurance coverage you need—without stress, pressure, or piles of paperwork.

Here’s what sets us apart:

• Fast, online process: You can apply in minutes, with no medical exam required for most people.
• Flexible options: Choose from a range of coverage amounts and term lengths to fit your life and budget.
• Trusted by thousands: We’ve helped protect millions of families—and we’re backed by top-rated carriers.

Ready to take the next step? Getting started with Ethos takes just minutes—no pressure, no medical exam, just a few health questions, and no strings attached. Apply now.

The information and content provided is for informational purposes only, and it is not to be considered legal, tax, investment, or financial advice, recommendation, or endorsement. You should consult with an attorney or other professional to determine what may be best for your individual needs. Guarantees are based on the claims paying ability of the issuer.