Jeffrey Johnson is a legal writer with a focus on personal injury. He has worked on personal injury and sovereign immunity litigation in addition to experience in family, estate, and criminal law. He earned a J.D. from the University of Baltimore and has worked in legal offices and non-profits in Maryland, Texas, and North Carolina. He has also earned an MFA in screenwriting from Chapman Univer...

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Benjamin Carr was a licensed insurance agent in Georgia and has two years' experience in life, health, property and casualty coverage. He has worked with State Farm and other risk management firms. He is also a strategic writer and editor with a background in branding, marketing, and quality assurance. He has been in military newsrooms — literally on the frontline of journalism.

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Reviewed by Benji Carr
Former Licensed Life Insurance Agent

UPDATED: Jan 21, 2021

Advertiser Disclosure

It’s all about you. We want to help you make the right life insurance coverage choices.

Advertiser Disclosure: We strive to help you make confident life insurance decisions. Comparison shopping should be easy. We are not affiliated with any one life insurance provider and cannot guarantee quotes from any single provider.

Our life insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from top life insurance companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.

Editorial Guidelines: We are a free online resource for anyone interested in learning more about life insurance. Our goal is to be an objective, third-party resource for everything life insurance-related. We update our site regularly, and all content is reviewed by life insurance experts.

Company Details
Address: 999 Lake Drive
City: Issaquah
State: WA
ZIP Code: 98027
Phone Number: 1-844-737-5433
Company Rating 0 (0 reviews)

The Facts of Life

  • Costco members can save around 15 percent on life insurance policies.
  • Protective Life has an exclusive partnership with Costco for life insurance.

You never know what life will bring. A term life insurance policy is a safe way to secure the financial future of your dependents. If you’re a Costco member, you have the opportunity to purchase its exclusive term life insurance policy at an affordable price.

Costco life insurance may just have the policy you’ve been looking for. Its affordable term life insurance rates are competitive and provide excellent deals on riders to customize your term life insurance.

Protective Life is Costco’s exclusive insurance provider. Protective Life has actively been insuring people since 1907. They have been teamed up with Costco since 2014.

Life insurance can appear confusing, but it’s not as bad as you might think. To get a better idea of insurance rates near you, enter your ZIP code above and compare affordable life insurance rates from various companies.

What are the common rates for term life insurance?

Term life insurance is the most common policy people buy due to its simplicity and the fact that it’s normally all any individual usually needs. With 10- or 20-year policies, you can know your dependents’ futures are well taken care of long after you pass away.

Average Monthly 20-Year Term Life Insurance Rates by Age, Gender, and Coverage Value
Age and Gender$250,000 Policy Average Monthly Life Insurance Rates$500,000 Policy Average Monthly Life Insurance Rates$750,000 Policy Average Monthly Life Insurance Rates$1 Million Policy Average Monthly Life Insurance Rates$2 Million Policy Average Monthly Life Insurance Rates
20-Year-Old Male$18$29$40$47$86
20-Year-Old Female$15$22$30$35$64
25-Year-Old Male$17$28$39$46$86
25-Year-Old Female$15$22$30$35$65
30-Year-Old Male$18$29$40$47$89
30-Year-Old Female$15$23$31$37$69
35-Year-Old Male$19$31$44$52$99
35-Year-Old Female$17$26$36$43$79
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Not all insurance companies are the same. Some offer more policies than others. This means shopping around is important to find the best deal for you. However, if you’re a Costco member, your foot is already in the door for purchasing affordable insurance options.

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What Costco Life Insurance Offers

Costco life insurance is unique because, during their first five years, the annual premium decreases. By year six, it stabilizes and remains the same amount for the entire duration of the policy.

Protective Life has saved Costco members over $12 billion in coverage since they first started doing business together. Also, Protective Life currently services more than 8.6 million policies nationwide.

The Costco life insurance plan is referred to as Member Advantage Life UL Insurance. It provides the following:

  • 10- and 20-year terms
  • A potential universal life insurance component
  • Open for people age 18-75 (18-65 for a 20-year term)
  • Exclusive for Costco members
  • Fast and simple online quotes
  • A free medical exam required covered by Protective Life
  • Premium discount for the first five years

It is an affordable option for term life insurance.

Do I really need life insurance?

It’s a very wise idea to get life insurance. Death is inevitable and is already stressful. You don’t want to make it harder for your dependents by having them go into debt. Also, it’s the final way you can make sure your loved ones can have a great future.

Purchasing life insurance is an affordable way to protect the financial futures of your loved ones. The insurance takes care of many expenses following a death as well as more expenses well beyond.

How much insurance should I purchase?

It’s always a good idea to invest in your life and what comes after your death. There are different rates based on your age – the younger you are when you purchase a policy, the better.

With life insurance, aim to purchase 10-12 times your annual income so you make sure you have more than enough to cover your dependents.

Considering your income will change over time, you should adjust your policy to maintain this rule of thumb.

Average Monthly Life Insurance Rates by the Top Companies
CompaniesAverage Monthly Life Insurance RatesA.M. Best Rating
Banner Life$9A+
Principal$9A+
Protective$9A+
Guardian Life$10A++
MassMutual$10A++
Haven Life$11A++
New York Life$11A++
John Hancock$11A+
Mutual of Omaha$12A+
Nationwide$13A+
State Farm$15A++
Allstate$15A+
Prudential$16A+
Northwestern MutualN/AA++
Pacific LifeN/AA+
PrimericaN/AA+
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Of course, there are other factors that go into deciding which insurance policy and which price is best. If you’re a Costco member, however, you already have an advantage that may be worth looking into.

Let’s examine the pros and cons of buying Costco insurance.

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What are the pros of buying insurance from Costco?

There are several advantages to buying life insurance from Costco.

  • Cancel your policy at any time without fees or penalties
  • Fast and simple online application process
  • Additional savings for Costco Executive Members

You can adjust your benefit amount as your needs change.

What are the cons of buying insurance from Costco?

There aren’t many cons, but there are a few things to take into consideration.

  • There is only one type of policy being offered (term life)
  • They only offer 10- and 20-year term policies
  • You must undergo a medical exam

The cost of the medical exam is covered by Protective Life.

Will Costco life insurance cover death by COVID-19?

Pandemics like COVID-19 are covered by life insurance. So, rest assured knowing that your family’s future is in good hands should you succumb to a deadly virus – no matter how new it is.

Usually, the only time life insurance won’t payout is if the cause of death was a recent suicide or if the application was filled out dishonestly.

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Does Costco offer additional riders?

Costco life insurance does indeed offer additional riders. They are as follows:

  • Terminal illness accelerated death benefits rider at no extra charge (up to 60 percent).
  • Income provider option which allows payments to be either a lump sum or over 30 years.
  • Disability benefit (extra charge) allows an add-on if you are unfortunately hit with a disability.
  • Accidental death benefits in the instance that the death is ruled as an accident.
  • Children’s term life insurance for your children until they reach the age of 25.

Always ask about additional riders.

How do I apply for Costco life insurance?

Applying for Costco life insurance is a simple process when you get down to it. You can do it over the phone and online in no time. It’s as easy as 1,2,3.

  1. Give Costco a call at (844) 737-5433 and talk with an agent for approximately 20 minutes.
  2. Undergo a free medical exam provided by Protective Life.
  3. Get approved and finalize your policy in very little time.

For the medical exam, they send a medical representative to you, so you don’t have to visit your own doctor.

Get Insured Today

Costco definitely offers affordable prices. But you may need something more than just term life insurance. Or perhaps, there may be a company in your area that offers better rates that fit your budget.

Ready to buy life insurance? Enter your ZIP code below to browse life insurance quotes from different insurers in your neck of the woods and see which life insurance company is best for you.

References:

  1. https://extension.missouri.edu/publications/gh3422