How much does mortgage protection insurance cost?
Mortgage protection is usually priced as term life, so your age, health, loan size and term length set the cost. The tables below show estimated monthly premiums for 30-year term at ages 30 to 55 and 15-year term at ages 40 to 60. Riders such as disability income or return of premium add to the base price.
Updated · Editorial standards
- Biggest price drivers
- Age, health, tobacco, coverage, term length
- Common term lengths
- 10, 15, 20, 25 or 30 years
- Rule of thumb
- Match the term to the years left on your loan
Estimated monthly cost: 30-year term for a new mortgage
| Age | $200K | $300K | $500K | |||
|---|---|---|---|---|---|---|
| Men | Women | Men | Women | Men | Women | |
| 30 | $15.65 | $13.56 | $19.19 | $16.39 | $27.36 | $22.92 |
| 35 | $20.26 | $17.25 | $25.37 | $21.34 | $37.14 | $30.75 |
| 40 | $27.25 | $22.84 | $34.73 | $28.82 | $51.95 | $42.60 |
| 45 | $37.83 | $31.30 | $48.89 | $40.16 | $74.38 | $60.55 |
| 50 | $53.85 | $44.12 | $70.35 | $57.32 | $108.35 | $87.72 |
| 55 | $78.11 | $63.52 | $102.84 | $83.31 | $159.80 | $128.88 |
Estimated monthly cost: 15-year term for a loan that is partly paid down
| Age | $150K | $250K | ||
|---|---|---|---|---|
| Men | Women | Men | Women | |
| 40 | $14.16 | $12.37 | $18.53 | $15.87 |
| 45 | $18.46 | $15.81 | $24.93 | $20.99 |
| 50 | $24.97 | $21.02 | $34.62 | $28.74 |
| 55 | $34.83 | $28.91 | $49.30 | $40.48 |
| 60 | $49.77 | $40.85 | $71.52 | $58.25 |
What sets the price
Your age and health matter most, followed by tobacco use, coverage amount and term length. Each year you wait usually raises the price, and a health change can move you to a higher rate class. The tables above assume a non-tobacco applicant in good health.
Loan size sets the coverage amount. Most people buy at least the current mortgage balance. Many add extra for a few years of income or other debts, which you can estimate with our life insurance calculator.
Match the term to the years left on your mortgage
The term should last at least as long as the loan you want to protect. A new 30-year mortgage pairs with 30-year term. If you have 14 years left, a 15-year term usually costs much less than a 30-year one.
Age limits apply to the longest terms. For example, American Amicable's Home Protector allows a 30-year term only through issue age 50. Its 25-year term goes to 55, 20-year to 60 and 15-year to 65. Other carriers set different limits, so a 52-year-old may still find a 30-year term elsewhere.
Mutual of Omaha's Term Life Express offers 10, 15, 20 and 30-year terms. Its maximum coverage steps down with age. It is $550,000 at ages 18 to 50, $250,000 at 51 to 60, and $150,000 at 61 to 75.
If you refinance later, you do not need to replace a level term policy. It is not tied to the loan, so it keeps running on its original schedule.
Decreasing vs level coverage and what it does to cost
A decreasing policy follows your loan balance down, while a level policy keeps the full amount. You might expect decreasing coverage to be much cheaper, but premiums are often level even as the benefit shrinks. Compare the total coverage you get across the term, not just the monthly price.
Some carriers pay decreasing benefits as monthly income instead of a lump sum. Americo's Payment Protector, for example, is decreasing term that pays a monthly income benefit to cover mortgage payments. Our MPI vs term life guide explains the trade-offs.
Riders that add cost
Optional riders can make a policy more useful, but each one adds premium. Common ones on mortgage-focused term include disability income, disability waiver of premium, unemployment waiver of premium, accidental death and children's coverage.
Mutual of Omaha's Disability Income Rider pays a monthly benefit after a 90-day elimination period, for 18 or 30 months. The benefit is capped at the lowest of 1.5% of face amount, $3,000 a month, or 60% of gross monthly income. Its Disability Waiver of Premium Rider also uses a 90-day elimination period.
Some living benefits cost nothing extra. Accelerated death benefits for terminal, chronic or critical illness are built into several term products. See living benefits for mortgage protection for carrier details.
Return of premium: the most expensive add-on
Return-of-premium term refunds what you paid if you outlive the policy, but it costs much more. Policygenius puts ROP at two to three times the price of standard term. Several mortgage protection products offer it, including 20, 25 and 30-year ROP versions of American Amicable's Home Protector.
Read our return-of-premium guide before you choose it. For many families, the cheaper level term plus savings comes out ahead.
How to lower what you pay
Buy sooner, choose only the term length you need, and skip riders you would not use. If you are healthy, ask for fully underwritten quotes too. They can be cheaper than no-exam offers, though they take longer.
Prices and rate classes vary a lot between carriers for the same person. An independent agency can compare several at once; you can check your own rates in a few minutes.
How much coverage you can get without an exam
No-exam limits can cap how much of a large loan you can cover. Mutual of Omaha's Term Life Express allows up to $550,000 through age 50, $250,000 from 51 to 60, and $150,000 from 61 to 75.
American Amicable's Home Protector allows up to $500,000 through age 45 and $300,000 from 46 on. Americo's Term 125 and Term 100 go up to $450,000 non-medical.
If your loan is larger than these limits, you can combine two policies or apply for fully underwritten coverage. An exam takes longer but can unlock higher amounts and, for healthy people, lower rates.
Matching term length to your mortgage
Pick the shortest term that still covers the years left on the loan, then round up.
| Years left on mortgage | Term length to consider | Why |
|---|---|---|
| 26 to 30 | 30-year | Covers the full loan; check age limits if you are over 50 |
| 21 to 25 | 25-year | Not every carrier offers 25 years; 30 is the fallback |
| 16 to 20 | 20-year | The most widely available term length |
| 11 to 15 | 15-year | Often a good fit after a refinance to a 15-year loan |
| 10 or fewer | 10-year | Lowest premium; also an option at older ages |
Questions people ask
How much mortgage protection can I get without a medical exam?
It depends on age and carrier. Mutual of Omaha's Term Life Express allows up to $550,000 through age 50, and American Amicable's Home Protector up to $500,000 through 45.
How much is mortgage protection insurance per month?
It depends on age, health, coverage and term length. The tables above show estimates for 30-year and 15-year term at common loan sizes; your actual quote depends on underwriting.
Should my coverage equal my mortgage balance?
That is the minimum most people choose. Many add enough to cover a few years of income or other debts so the family is not left with only a paid-off house.
Can I get a 30-year term at age 55?
Some carriers allow it and many do not. American Amicable's Easy Term allows 30-year terms through age 55, while its Home Protector stops at 50.
Is decreasing term cheaper than level term?
Not always by much. Many decreasing policies keep a level premium while the benefit falls, so compare total coverage, not only the monthly price.
Do I need a medical exam for mortgage protection?
Often not. Several mortgage-focused products use simplified underwriting with health questions and prescription and MIB checks instead of an exam.
Does mortgage protection cost more if I smoke?
Yes. Tobacco users pay higher rates, and some products limit their options. American Amicable's Easy Term, for example, offers tobacco ROP only through age 40.
Should I buy one big policy or two smaller ones?
Two policies with different term lengths can cost less than one long policy for the full amount. For example, pair a 30-year policy for the mortgage with a 20-year policy for the years your kids are home.
Sources
- American Amicable Group: Products at a Glance (revised 8/25)
- Mutual of Omaha: Term Life Express product sheet (285243_0426)
- Americo: Instant Decision Term Series Portfolio at a Glance (09-051-1, 02/24)
- Policygenius: Return of premium life insurance
- Policygenius: What is mortgage protection insurance and how does it work?
This page is for education and is not financial, tax or legal advice. Products, features and availability vary by carrier and state.
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