Life Insurance Term Life Insurance Index: New premium growth hits record in 2024 Written by Nupur Gambhir Nupur Gambhir Nupur Gambhir is an insurance expert and managing editor of Insure.com. She specializes in life and health insurance content, and has experience as a marketing consultant. | Reviewed by John McCormick John McCormick John McCormick is an insurance expert and the editorial director for QuinStreet's insurance sites -- CarInsurance.com, Insurance.com and Insure.com. Before joining QuinStreet, he was a deputy editor at The Wall Street Journal and was an editor and reporter at several media outlets where he covered insurance, personal finance and technology. | Updated on: February 21, 2025 Why you can trust Insure.com Quality Verified At Insure.com, we are committed to providing the timely, accurate and expert information consumers need to make smart insurance decisions. All our content is written and reviewed by industry professionals and insurance experts. Our team carefully vets our rate data to ensure we only provide reliable and up-to-date insurance pricing. We follow the highest editorial standards. Our content is based solely on objective research and data gathering. We maintain strict editorial independence to ensure unbiased coverage of the insurance industry. Term life insurance continued its steady growth in 2024, contributing to another record year for the life insurance industry. For the full year, term life new premium topped $3 billion, reflecting a 1% increase compared to 2023. Policy count remained stable, with a slight 1% uptick. In the fourth quarter, term life new premium grew 2% year-over-year to $768 million, according to LIMRA’s preliminary life insurance sales survey. New annualized premium is the yearly income expected from new life insurance policies sold during a specific period, calculated as if all premiums are paid annually. Term life insurance represented 19% of total sales in 2024. Total new annualized premium across all life insurance products rose 4% to $16.2 billion, marking the fourth consecutive year of record-high premium, according to LIMRA, an organization specializing in research, consulting and professional development for the insurance and financial services industries. In other segments: Whole life: Fourth-quarter new premium was $1.6 billion, a 2% increase from the fourth quarter of 2023. Whole life makes up 36% of the U.S. life insurance market. Indexed universal life: Fourth-quarter new premium reached $1.1 billion, a 10% increase from the fourth quarter of 2023, comprising 23% of the U.S. life insurance market. Variable universal life: Fourth-quarter new premium totaled $845 million, 56% higher than the fourth quarter of 2023, and accounted for 15% of the U.S. individual life insurance market. Fixed universal life: Fourth-quarter new premium reached $274 million, a 1% decrease from the fourth quarter of 2023, making up 7% of the U.S. life insurance market. What’s driving term life growth? Though consumers are still feeling the pinch from inflation, a few economic factors have helped keep term life growth stable.“Term life, which typically attracts younger and middle-income consumers, has benefited from continued double-digit equity market growth and low unemployment. [This] has encouraged people to get the coverage they have told us they need to protect their loved ones,” says Karen Terry, assistant vice president and head of LIMRA’s Insurance Product Research. While some insurance products fluctuate with economic conditions, term life continues to be a dependable option with predictable pricing and benefits. Terry also says that insurers that saw the biggest jumps in term life premium credited their growth to improved online platforms, expanded offerings, and more competitive pricing. Additionally, term life remains one of the most budget-friendly life insurance options, making it an attractive choice for families seeking financial security. The outlook for term life insurance in 2025 LIMRA expects that term life sales will experience steady growth in the next year. “Term life is a very consistent product line, which — in a stable or thriving economy with low unemployment — grows, on average, about 2% to 4%. Barring any economic or regulatory shocks, we are forecasting term sales to experience moderate growth in 2025 and 2026,” Terry says. With continued innovation in online platforms and more competitive pricing, term life insurers have a growing opportunity to reach and help more Americans protect their loved ones. × Get Free Life Insurance Quotes Today! Zip Code Please enter valid zip Age Age 16 – 20 21 – 24 25 – 34 35 – 44 45 – 54 55 – 64 65+ Coverage Amount Coverage Amount $50,000 – $100,000 $100,000 – $200,000 $200,000 – $300,000 $400,000 – $500,000 $500,000 – $1,000,000 $1,000,000 – $2,000,000 $2,000,000 – $5,000,000 $5,000,000+ Coverage Type Coverage Type Whole Life Term Life Final Expense Not Sure Gender Gender Male Female Non-Binary Tobacco Use Yes No Compare Quotes Nupur GambhirManaging Editor | . .Nupur Gambhir is an insurance expert and managing editor of Insure.com. She specializes in life and health insurance content, and has experience as a marketing consultant. Related Articles Best wedding insurance companies in 2025 By Danielle Dorchester How to read your life insurance policy By Shivani Gite The 10 largest life insurance companies By Chris Kissell What is cash value life insurance and how does it work? By Desiree Ghazi Life insurance calculator: How much life insurance do you need? 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