Best Life Insurance for Young Adults [Guide for ages 18

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Best life insurance for young adults

Is life insurance necessary for young adults?
How much life insurance do young adults need?
What type of life insurance suits young adults?
Term vs whole of life insurance for young adults
Who are the best life insurance companies for young adults?
How can young adults buy life insurance?
How much is life insurance under 30?
Alternatives to life insurance for young adults
How to choose life insurance for young adults [top tips]
Life insurance for young adults FAQS

Life insurance for young adults [quick summary]

With most UK insurers, life insurance is available to those aged 18 and over
Secure affordable cover while you’re young and in good health, with prices starting from just £3.50 per month*
Life insurance pays out a lump sum to your loved ones if you pass away during the policy term
The pay out can help to cover a wide range of costs, from replacing your income to allowing your partner to stay in your home and covering the cost of your funeral
Comparing quotes can help you to find a deal that’s right for your needs and budget. Why not use our fee-free service?

Is life insurance necessary for young adults?

Life insurance isn’t always necessary for young adults, but it can be a smart decision when planning for the future.

It can help to protect what means the most to you by offering a lump sum payment should the worst happen.

Whether that’s a home you’ve bought with a friend, a business that you’ve worked hard to get off the ground or a rental agreement with a partner you’re cohabiting with - a pay out means your nearest and dearest aren’t left struggling financially.

Even if you don’t currently have any large expenses to protect, taking out a policy can help you prepare for future milestones while scoring a great price.

Why not speak with Reassured about what life insurance options are available for young adults? We can tailor quotes to your needs and present you with our best options.

We can also provide you with all the information you need and answer any questions you might have. Simply get in touch for your fee free quotes.

Benefits of life insurance for young adults:

Affordable prices – life insurance is generally the cheapest when you’re young and in good health. Taking out a policy as a young adult allows you to benefit from cheap premiums throughout the lifetime of your policy.
Protect loved ones – the main benefit of life insurance is that it can provide essential funds for your family or friends at a difficult time. It means that the ones you leave behind won’t have to stress about money or how they’ll cover the cost of your funeral.
Cover can be future proof - your cover could grow with you as many policies include a ‘guaranteed insurability option’. This allows you to make changes to your policy (such as increasing your cover amount) if a specific change in circumstances happens (for example, buying a new house with a bigger mortgage or growing your family) without giving updated medical information.
Provide a legacy – even if you don’t have anyone that depends on you financially, having a life insurance policy in place means that a home you saved hard to purchase on your own or a business you’ve put blood, sweat and tears into getting started could continue through a family member or friend.
Wellbeing support – many insurers offer wellbeing support services with their policies. These services usually include 24/7 GP access and mental health support. With Gen Z and Millennials prioritising their mental health^[1], this could be a useful benefit. In fact, in 2025, one third of customers who accessed LV=’s mental health support services were aged 24 – 35^[2].

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How much life insurance do young adults need?

How much life insurance you need will depend on your personal circumstances, such as what you’d like to protect.

You could start by making a list of your outgoings, other costs you’d like to cover, as well as future expenses. By adding them together you’ll get an estimate of your ideal cover amount.

This could include:

Mortgage - if you’ve got a mortgage with a partner, friend or family member a pay out could allow them to buy out your part of the mortgage and keep the property if the worst happened
Rental agreement - particularly if you and a partner/friend have signed this together or you have someone acting as a guarantor
Debts - such as credit cards, an overdraft, car finance plan or any other payment plan. While personal debts don’t become the responsibility of your loved ones if you pass away, the money to pay them off could be taken from your estate which could reduce the amount that’s left for your family
Childcare costs - as well as your usual hours, you could also choose to factor in any additional hours that might be needed if you weren’t around
Income – this is an important consideration if anyone (such as partner or your parents) rely on your income to help with household costs
A business - whether you’ve got a side hustle or you’ve made your business your full-time career, a life insurance pay out means your business partner or family can continue your legacy
Funeral costs – in the UK, the average cost of a funeral is currently £3,828^[3]. It could be hard for your family to find the funds to cover this cost, especially if it’s unexpected

It’s important to protect any costs that your loved ones might be left to cover (such as any debts you’ve co-signed or have a guarantor for). Without you around, they’d need to cover the full cost themselves.

Another consideration when working out how much life insurance you need is whether you receive ‘death in service’ as an employee benefit through your job. This pays out a lump sum (usually a multiple of your salary) if you pass away.

Having this benefit could reduce the amount of personal cover you need, or it could even be enough to cover everything. Check your employee documents or consult your HR department to find out if you receive this benefit.

How much life insurance do you need?

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What type of life insurance suits young adults?

Term life insurance is often considered the most suitable for those who are young and in good health.

This is because you can benefit from cheap premiums and have the flexibility to choose policy details that best match your needs.

Term life insurance options include:

Level term life insurance

Level term life insurance covers you for a set term (for example, 40 years). Your cover amount will remain the same throughout the policy term.

For this reason, it’s a popular choice for helping to protect a mortgage, large costs (such as ongoing rent or a replacement income) and family living costs.

Decreasing term life insurance

Decreasing term life insurance covers you for a set term (for example, 40 years) but your cover amount reduces throughout the policy term – usually at the same rate as a repayment mortgage.

If you’ve just got onto the property ladder it could be an ideal option for protecting your new home.

Family income benefit

Family income benefit covers you for a set term (for example, 40 years). However, instead of a lump sum payment, your loved ones will receive monthly payments if you pass away during the term.

It can help to ease stress for families that would struggle to budget a lump sum payment while grieving.

Term vs whole of life insurance for young adults

Term life insurance is often seen as a more suitable choice for young adults as it’s more affordable and lasts for an agreed amount of time.

Whereas whole of life insurance provides cover for the rest of your life and pays out when you pass away.

While it can be reassuring to know that a payment will be made no matter when you pass away, you’d need to pay premiums for the rest of your life (or until a specified age, such as 80 or 90).

Paying premiums for the majority of your life could mean that you end up paying more in premiums than the amount the policy will pay out.

We break down both of these life cover options below:

Term life insurance	Whole of life insurance
Provides cover for a set term	Provides lifelong cover
Pays out if you pass away during the policy term	Pays out when you pass away (not if you pass away)
A popular choice for helping to protect large expenses (like debts and living costs)	A popular choice for inheritance tax planning (when a policy is written in trust)
You’ll only need to pay premiums for the duration of the policy term	You’ll need to pay premiums for the rest of your life
Medical information is required during the application	Medical information is required during the application
Typically more suitable for those who are young and in good health as premiums could be cheap	Typically suited to those who are later on in life but are still in good health

Who are the best life insurance companies for young adults?

The best life insurance companies for young adults are likely to be the companies that:

Offer affordable prices
Won’t ask for a medical exam
Have a simple fast and application
Offer useful additional benefits
Are highly rated (5 stars on Defaqto)

We have reviewed the market and have listed the insurers that could be the best for young adults based on the factors listed above:

(All information has been taken from each insurers website and is correct as of 19/05/26)

Aviva life insurance starts from just £5 per month and offers many useful benefits for young people, including:

House purchase cover – you’ll get up to 90 days of free cover if you’re in the process of buying your home when you apply for a policy. Terms and conditions apply.
Free life insurance for parents – you can apply for Aviva free parent cover even if you aren’t an existing Aviva customer. This could give parents up to £15,000 of cover for each child they have under the age of 4. Cover lasts for 12 months from whenever you take it out and will pay out if you pass away while it’s in place.
Free 24/7 digital GP access and wellbeing support – through Aviva’s DigiCare+ app (provided by Square Health) you can access digital GP consultations, nutrition support, mental health support and second opinion services.

Once a policy has been taken out you can easily manage your policy online or via their app (MyAviva). This gives you quick access to policy details and documents.

Smart Insurance pride themselves on having a simple application process with just a few health and lifestyle questions. You won’t be asked to take a medical exam.

Other benefits with Smart Insurance include:

Free gift – when you take out a policy directly through Smart Insurance you could receive a free gift in the form of a £125 Amazon, Argos or M&S gift card. Terms and conditions apply.
Cashback – you get back 10% of your first years’ premiums once your policy has been in place and premiums paid for a year.
Free health and wellbeing services – services include 24/7 GP advice, nutrition and diet guidance, mental health support and more.

Prices are also reasonable with cover starting from £14.77 per month.

As with other insurers we’ve mentioned, Legal & General offer affordable cover starting from £5 per month.

When you take out a policy through them, you’ll benefit from:

Free gift – you could receive a free gift in the form of a £100 Amazon or M&S gift card. The value of the gift card you receive will depend on the price you pay for your cover. Terms and conditions apply.
Free life cover – if you take out a policy while you’re moving home, you’ll benefit from free cover (for up to 90 days) between the exchange of contracts and completion of your purchase. Terms and conditions apply.
Quick and easy quotes – through Legal & General it’s possible to get quotes in just 2 minutes.

While we have highlighted these insurers as being the best, you might find another to be more suitable. That’s why comparing as many quotes as possible is essential in finding the best life insurance cover.

Through Reassured you can compare quotes from leading insurers, including some of those mentioned above.

How can young adults buy life insurance?

Young adults can buy life insurance the traditional way, over the phone, or they could buy cover online.

Due to being young and in good health, buying life insurance online could be a quick and simple process for young adults.

Buy life insurance over the phone

When you buy life insurance over the phone through us, you’ll have a dedicated team member who’ll take you through the entire process - from what options are available, to comparing prices and helping you complete the application.

It’s a good option for those who need more information or who would benefit from support during the application questionnaire.

You’ll need to fill out a short form and then we’ll contact you to get started.

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Buy life insurance online

Buying life insurance online allows you to purchase a term life insurance policy (either level or decreasing) at your own leisure from your phone, tablet or laptop.

Our buy online service puts you in in control of the application, allowing you to complete the questionnaire at your own pace. You’ll then be presented with suitable offers so you can choose the one that’s right for you.

If you do need support along the way, we’re on hand to step in.

Buy Life Insurance Online »

How much is life insurance under 30?

Life insurance for those under 30 could start from just £3.50 per month.

However, the exact price of your policy will depend on your personal circumstances and policy details, including:

Age
Medical history
Smoking status
Occupation
Lifestyle (such as alcohol intake, drug use and hobbies)
Weight (BMI)
Policy type
Cover amount (sum assured)
Length of cover (policy term)

The information listed above helps insurers to understand the level of risk involved with offering you a policy.

Those under 30 tend to benefit from the cheapest prices as they are considered as ‘low-risk’ due to being young and in good health.

However, if anything is flagged by insurers as being ‘high-risk’ (such as a dangerous job/hobby or smoking or vaping) this could increase the price you pay.

The pricing examples below show how much cover could cost. Prices are based on a level term life insurance policy for a non-smoker with £100,000 of cover over 20 years.

Age
20	£3.50	£4.99	£5.00
22	£3.71	£4.99	£5.00
24	£9.92	£4.99	£5.00
26	£4.32	£5.21	£5.36
28	£4.68	£5.46	£5.82

As you can see from the table, prices can vary between insurers so it’s important to compare multiple quotes to find a great deal.

Why not use our fee-free quote comparison service?

Alternatives to life insurance for young adults

As a young adult, you might prefer to focus on protecting your income should you become unable to work.

Fortunately, there are many protection products that can help with this:

Critical illness cover – critical illness cover pays out a lump sum if you’re diagnosed with a specific serious illness. The money that’s paid out can help to replace your income while you’re off work or help to cover the cost of private medical treatments to aid recovery. It’s most commonly added to a life insurance policy for an additional cost but some insurers also offer standalone policies.
Income protection – income protection pays out a percentage of your income if you can’t work due to illness or injury. You’ll receive monthly payments that can help you stay on top of your outgoings until you recover and return to work. Cover can be taken out on a short or long term basis.
Redundancy cover – also known as unemployment protection. This a policy that pays out a percentage of your income if you lose your job (for example, if you’re made redundant). It’s a short term protection policy that can help you to keep up with living costs and bills.

Redundancy cover isn’t available through Reassured but critical illness cover is available when added to a life insurance policy and income protection is available through our advised team.

How to choose life insurance for young adults [top tips]

Choosing a life insurance policy can seem like a daunting task, but it doesn’t have to be. Below are our 5 top tips for choosing life cover:

Write down your outgoings and future concerns – writing down any current costs, as well as any costs you see popping up in the future, can help you to understand what you’d like to protect and how much cover you’d need to do so.
Do some research – taking some time to read up about policy options and how they work can help to give you a basic understanding of what you might need, what to look out for and helps you to feel more prepared when you speak with an insurer or broker.
Compare policy details and prices – by comparing features and prices you can make sure you’re choosing a policy that allows you to get the most out of your cover (for example, choosing a policy with wellbeing services that you can access when you need them) and ensuring the price is within your budget.
Factor in any cover you receive through your employer – if you get death in service through your work, find out how much you’re entitled to. This could help to reduce the amount of personal cover you need.
Consider using a broker – if life insurance still feels like a minefield, you can reach out for help. An experienced broker (like Reassured) can give you all the information you need and present you with multiple quotes at once – doing the hard work for you.

Compare life insurance quotes for young adults

Hopefully this article has helped to show that life insurance can be beneficial for young adults, and not just those with a mortgage and family.

In a world that can seem ever changing and unreliable, life insurance not only provides financial security for your nearest and dearest but it allows you to leave a lasting legacy.

Using a professional and friendly broker, such as Reassured, means you can compare multiple quotes at once so you can find a great deal.

We do the hard work for you and present you with the best prices from our panel of leading insurers (including, Aviva, LV=, Legal & General and more).

Get in touch today to get started.

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Life insurance for young adults FAQS

At what age should you get life insurance?

There’s no specific age you should get life insurance.

Life insurance is typically available to those aged 18 – 85 (depending on the policy type and insurer’s terms and conditions), so whether it’s right for you will depend on if you have dependents, outgoings or assets you’d like to protect – regardless of what age you are.

Bear in mind that the longer you put off cover, the more you’ll pay for a policy as the price of life insurance can increase significantly based on age.

Can I get life insurance quotes online?

Yes, it’s possible to apply for a policy, compare quotes and purchase a policy at your own leisure from your phone, tablet or laptop.

Using our buy online service puts you in in control of the application. Allowing you to go at your own pace and choose the option you think best fits your needs.

Head over to our dedicated buy life insurance online page for more information.

What are the disadvantages of taking out life insurance as young adult?

While there are many benefits to taking out life insurance as a young adult, there are some drawbacks to consider:

You might not need it – if you don’t have anyone that depends on you financially and you don’t have many outgoings, life insurance might not be necessary.
It could be expensive overtime – for example, if you choose a whole of life insurance policy where you’ll need to pay premiums for the rest of your life, you could pay more into the policy than it will pay out.
You could outgrow your cover - while you can often make changes to your policy if your circumstances change overtime, it could be that the type of life insurance you took out as a young adult is no longer suitable as you get older. This could mean cancelling your policy and taking out a new one.
It’s another monthly outgoing – if you’re just getting started in your career and don’t have a lot of disposable income, taking on a life insurance policy could cause financial stress rather than peace of mind. Only take out a policy if it fits into your long-term budget.

Before committing to a policy, it’s important to consider all pros and cons and gather all the information you need to make an informed decision.

Is it ok to not have life insurance in my 20s?

Yes, it’s ok to not have life insurance in in your 20s.

Whether life insurance is right for you will depend on your personal circumstances, such as whether you have outgoings or assets you’d like to protect and whether you have people that depend on you financially.

For example, if you’re a single person without rent or a mortgage and without anyone relying on your income, life insurance may not be necessary.

Why not read our should I get life insurance in my 20s guide for more information.

Should young adults write their life insurance policy in trust?

Writing your life insurance in trust is an important consideration as it helps to protect your loved ones from inheritance tax.

Typically, when you pass away, your life insurance pay out would join the value of your estate (which is made up of your belongings, property and savings).

If your estate exceeds the tax-free threshold of £325,000, your loved ones could be left with an inheritance tax bill (inheritance tax is charged at 40% on any value over the threshold).

While £3250,000 seems like a lot of money, it’s surprisingly easy to exceed this threshold – especially if your life insurance pay out is included.

Writing your life insurance in trust can detach the value of your policy from your estate, helping to avoid/minimise inheritance tax liability.

It’s especially important if you have loved ones who you would like to benefit from the pay out that wouldn’t be considered as your next of kin – such as unmarried/cohabiting partners.

By writing your policy in trust, you can state who you want to benefit and how much you want them to have.

At Reassured, we offer a simple and quick digital trust writing service. We can also provide any information you might need and answer any questions you have on the process of writing a policy in trust.

Can I change my cover during the policy term?

Yes, it could be possible to make changes to your cover during the policy term.

When taking out a policy as a young adult, it’s likely that your needs and circumstances will change over time.

As you progress in your career, join the property ladder and start a family, the cover you took out in your 20s might not be suitable when you reach your 30s.

Thankfully, many policies include the ‘guaranteed insurability’ option which allows you to make changes to your policy when a specific change of circumstances occurs (for example, having a baby or getting a mortgage).

You won’t need to give updated medical information. Your premium price will simply change inline with your new cover amount.

Should young adults consider joint life insurance?

If you’re considering life insurance to protect a shared outgoing or debt, joint life insurance could help you to save money.

It protects two lives under one policy, with just one monthly premium to pay between the two policyholders.

However, there will only be one pay out which is usually made after the first policyholder passes away.

It could be a wise idea to compare joint life insurance with two single policies as having two single policies could provide two separate pay outs.

Sources:

*From £3.50 per month pricing is only available with Aviva life insurance. This pricing illustration is based on a 20-year-old taking out a level term life insurance policy with a 20-year term and £109,889 of cover. Prices and cover amounts can vary depending on personal circumstances.

[1] https://www.amoriabond.com/insights/articles/the-wellbeing-revolution-how-millennials-gen-z-are-redefining-work/

[2] https://www.covermagazine.co.uk/news/4529707/lv-customers-accessing-mental-health-support-aged-26-35

[3] https://www.sunlife.co.uk/over-50-life-insurance/funeral-costs/