How to Get a $5 Million Life Insurance Policy: A Complete Guide

Getting approved for a $5 million life insurance policy isn’t rocket science, but it does require smart planning.

Especially when small mistakes could cost you thousands (or worse — leave you underinsured). In this complete guide, we’ll show you how to get the right $5 million policy at the best price, with the least hassle.

Large policies require a plan to get the right coverage and the best life insurance companies, even if you have a high-risk medical condition.

A $5,000,000 life insurance policy is common for:

• High-income professionals
• Business owners (for buy-sell or key person policies)
• Individuals with large estates
• Families with significant financial obligations (mortgages, education, legacy gifts)
• Foreign nationals needing U.S. coverage.

It used to be that big policies were only universal life insurance or whole life insurance policies.

Today?

Term life insurance is often the most cost-effective solution, provided the policy includes a good conversion privilege, which allows you to exchange your term policy for universal or whole life insurance without undergoing underwriting again.

Term life insurance offers durations ranging from 10 to 40 years, which may suit your needs. Other options include guaranteed universal life (GUL), whole life, and indexed universal life policies.

Here’s real pricing for a male, CA resident – $5 million term life insurance pricing

• Shopping Advice for $5 Million Policies:
  • Use an independent agent to provide pricing for multiple companies.
  • Combine policies of various durations (laddering) to lower overall costs.
  • If you have health issues, use our quick quote process to get the best rates.

Generally, getting your coverage in place while young and healthy is better.

Some companies, such as Banner Life, can offer multiple term lengths within a single policy. With others, we would write multiple $1 million policies of various term lengths.

Larger policies have more stringent underwriting for both medical and financial underwriting.

Medical Underwriting:

• Full paramedical exam (blood, urine, vitals)
• Possible EKG or stress test
• Complete review of medical records (APS reports)

Note: Accelerated underwriting may not be available for $5M+ policies.

Financial Underwriting:

• Companies will ask why you need $5 million.
• What is your annual income?
• Total assets?
• Total liabilities?
• Net worth?
• Details of any estate plan
• Business needs details

For large cases, companies often run an Electronic Inspection Report (EIR) to verify public records.

Pro tip: Setting up a life insurance trust (ILIT) can make managing big policies much easier, especially for estate planning.

Top-Rated Life Insurance Companies for $5 Million Policies

When it comes to $5M policies, the right company makes all the difference.

Here’s how we match clients:

• Underwriting Rate Class First – Your health drives pricing.
• Policy Options – Term, GUL, whole life
• Riders – Living benefits, terminal illness, etc.
• Company Strength – We work with quality life insurance companies.

We’ll make sure you have the policy you need to protect your family or business.

You have questions about $5 million policies, and we have the answers.

When shopping for a $5 million life insurance policy, here’s the golden rule:

Work with an independent agent, not a captive one.

Agents tied to a single company, such as Northwestern Mutual, MassMutual, or State Farm, cannot compare options across the market.

We’re independent. We work for you, not any one company.

Our no-pressure, no-obligation service matches you to the best carriers, based on your health, financial goals, and family needs.

Get a free, risk-free quote today.

You only get one chance to do this right — let’s make it count.