Life insurance may cost less than you think | PEMCO

We get it. If you wanted to pick a fun conversation-starter, “Life Insurance” wouldn’t crack your top 10 (or even top 1,000!). But it’s an important part of life that too many of us put off. In the nationwide 2024 Insurance Barometer Study, 42% of people admitted they need life insurance, or more of it, but haven’t yet gotten around to buying it. 

If that’s you (more likely if you’re a Gen Z or Millennial), PEMCO can help you future-proof life for the people who depend on you. 

 For the Love of Prevention, PEMCO has partnered with Ladder, an online term life insurance services provider. With Ladder, you lock in affordable rates now and adjust coverage as your needs change over time. Ladder’s policies have the flexibility to adjust      coverage as life happens. More about that below. 

What is term life insurance? 

Term life insurance provides coverage for a set period – usually 10, 20, or 30 years – and is typically much more affordable than traditional permanent insurance. It covers you when you need it most, for example, replacing lost income during the years when you have dependent children, a mortgage to pay, or installment debt.  

Unlike permanent life insurance policies, term insurance isn’t an investment that lasts your entire life. Instead, it pays your beneficiaries if you die during the term. If you outlive the term, the policy simply expires.  

Some financial experts suggest you think of term insurance like car insurance – you buy it to cover the “what ifs,” and it pays only if there is a claim during the policy period.  

Why laddering is term’s secret weapon 

Laddering makes affordable term insurance even better by stepping down or stepping up benefits to give you the right amount of coverage at the right time.  

For example, over a 30-year term, you might start with $1 million in coverage, then use Ladder’s unlimited laddering option to decrease coverage (and save money over time) as your expenses decline: 

1. ladder down to $750,000 at year 20 (as you pay off your mortgage balance),  

2. ladder down to $500,000 at year 10 (your child turns 18), and  

3. ladder down to $250,000 at year 5 (you’ve paid off higher education expenses).   

You also could find yourself “laddering up” for a few years. That could include the estimated 50% of parents who provide financial support, averaging $1,474 a month, to their young adult children, according to savings.com. To ladder up, you will have to apply for the additional coverage, but much of your information will be pre-filled. 
 
Flexible laddering can save members thousands of dollars over time compared with carrying a single term policy that pays the peak benefit from its purchase to its expiration, according to Ladder.  

How much does term life insurance cost? 

Costs depend on factors like your age, health, smoking status, gender, and the amount of coverage and term you select. And it’s likely cheaper than you think. In the 2024 Insurance Barometer Study, 72% of people overestimated how much they’d pay for term insurance. 

How much life insurance do I need? 

Online, you may see simple formulas like “10 times your annual salary” to help you decide how much coverage to purchase. That’s OK for a ballpark idea, but we prefer calculators, like this one from Ladder. It generates a better estimate using information about your income, mortgage, debts, and savings. 

When is the best time to buy life insurance? 

Time is literally money when it comes to life insurance. The younger and healthier you are, the lower your premiums can be. By the time you hit 40 or 50, the same policy can cost significantly more than it would have at 30.  

Accidents, illness, and life changes don’t wait for “later.” If you can, it’s better to lock in at least some coverage now rather than waiting until you feel you can afford the full amount you may need. 

Why people put off buying life insurance (and a reality check!) 

 Nobody likes to think about a time when they’re no longer around, and preparing for the inevitable makes it seem more “real.” But fear isn’t the only thing stopping people from buying the life insurance they need. Here are some common misconceptions:   

1. “It’s too expensive.” More than half of people (54% in the Insurance Barometer Study) base their perception of life insurance costs on a gut feeling. But studies have shown that people, especially Millennials, tend to overestimate the cost by three      to five times. 
    
   Buying now (the youngest you’ll ever be!) can save thousands over time. And with laddering, you can adjust coverage later if you need to. 

2. “I can’t get insurance because I have a health issue.” While it’s true that health concerns may mean paying more for life insurance, insurance companies also look at what you’re doing to treat the condition. That means being diagnosed with common conditions like high blood pressure or elevated cholesterol won’t equal an automatic “No.” And with a history of good management, rates still may be affordable. 

3. “I already have coverage through work.” Employer-provided life insurance is usually limited to one or two times your salary, typically not enough to cover your family’s housing, childcare, debts, and living expenses over the long term. Also, if you lose your job, retire, or switch companies, that coverage might vanish. When you own your policy, you feel secure knowing your safety net won’t disappear if your job does.   

4. “I don’t want to take a medical exam.” Most people don’t need one. With Ladder, you can apply for up to $3 million in coverage by answering a few health questions online. (Moneygeek named Ladder 2025’s most affordable option for people who want to skip the exam.) 
   
   Even if you do need an exam for coverage up to $8 million, you’ll likely be surprised at how easy it is with a free, quick at-home check. 

5. “I have other financial priorities.” Understandable – and life insurance is a good way to protect them. Your family could be forced to liquidate assets like your home, raid college savings, and sell investments during market downturns to cover day-to-day expenses. Life insurance delivers a tax-free lump sum when it’s needed most. Your family won’t have to choose one priority over another. 

6. “I don’t have dependents.” Life insurance isn’t just for families with kids. If someone could be financially affected by your passing (cosigners, parents, siblings, or even a business partner), it’s worth considering. Also, getting a policy now while you’re young and healthy means you’re covered (inexpensively) when you do marry, become a parent, or face unexpected obligations. 

How can I get a term life insurance quote? 

Ladder makes it easy to get your quote online anytime from your smartphone or computer. Or, if you prefer, you can talk with a Ladder agent Monday through Friday from 9 a.m. to 12 p.m. Pacific Time at 844-533-7206. (Be sure to mention you’re a PEMCO member when you call.) Once you get your policy, you’ll contact Ladder directly for service, billing, and claims-related questions. 
 
The online application takes about five minutes. PEMCO members can get a quote and approval on the spot, for $100,000 to $3 million in coverage without a medical exam, if you qualify. You can apply for up to $8 million with an at-home health check. Choose terms from 10 to 30 years and ladder or adjust your coverage anytime during the term.

Life insurance isn’t just about preparing for “what if” – it’s about ensuring peace of mind, clarity, and control. Or as we like to say, “worry less and live more.” 
 
Use this link to obtain a quote through Ladder today.   
 
  

Ladder Insurance Services, LLC (CA license # OK22568; AR license # 3000140372) distributes term life insurance products issued by multiple insurers – for further details see ladderlife.com. All insurance products are governed by the terms set forth in the applicable insurance policy. Each insurer has financial responsibility for its own products. 250904-4798469