PolicyChat Life · Policy audit
Life Insurance Policy Audit: Keep It, Fix It, or Replace It (2026)
Find out whether the policy you already have still fits, and hear "keep what you have" when that is the honest answer.
Last updated 2026-09-19 · Tables dated 2026-09-18 · PolicyChat Life, a licensed agency
PolicyChat Life audits an existing policy the way a good agent does: the need first, the price second, the fine print third. Sage prices a replacement for the class you would likely be rated today, from the same dated pricing tables our estimate engine uses (the methodology is below), and compares it with what you pay now. About one in five life insurance questions people ask an assistant is about a policy they already own; most of them do not need a new policy.
How it works
Three steps, about two minutes.
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Tell Sage what you have
The type (term, whole, universal, or group through work), the amount, roughly what you pay, and when it ends or when you bought it. A photo of the statement works too, with an agent.
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Sage runs the three checks
Need: is the amount still right for the people who depend on you? Price: what would the same coverage cost at the class you would likely get today? Fine print: conversion deadlines, surrender charges, loans, and the two-year contestability window on anything new.
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You get one of three answers
Keep what you have. Fix what you have (convert part, reduce paid-up, fund it properly, add a small term policy). Or replace it, in the right order: the new policy is in force before the old one stops.
On this page
Run the price check now
What you pay now against the monthly range for the same coverage at the class you would likely get today. A term policy gets a keep / fix / replace read; a whole, universal, or group policy gets the reference price and the check that actually decides it.
What Sage asks
Plain questions, and why each one matters.
- What kind of policy is it, and how much?
- Term, whole, universal, and group policies fail in different ways, so the checklist is different for each.
- Who depends on you now?
- The need changes: kids grown and mortgage paid can mean less coverage; a new baby or a new house can mean more.
- What do you pay now, and when did you buy it?
- Age and health at purchase set the old price. If you are healthier now, a replacement can be cheaper; if not, keeping or converting usually wins.
- Tobacco, build, and any conditions today?
- The same three questions as a new estimate, so Sage can price a replacement at the class you would likely get. At 50, that gap between classes is real: $56–$88 a month in Preferred Plus versus $80–$126 in Standard for $500,000 of 20-year term (PolicyChat, September 2026).
What you get
What you walk away with.
A keep / fix / replace verdict, with the reason
Not a quote pushed at you. If the honest answer is keep what you have, that is the answer, and Sage says why.
The replacement math, side by side
What you pay now against the monthly range for the same coverage at your likely class today, from dated tables, with the attribution on every number.
The fine-print checklist for your policy type
Term ending: the conversion deadline. Whole life: the in-force illustration and surrender schedule. Universal: whether it lapses at the current premium. Group: what ends with the job.
The right order, if you do replace
New policy approved and in force first; then cancel the old one. A replacement restarts the two-year contestability and suicide windows, and Sage will say so.
What this is, and is not
The plain limits, up front.
- An audit may end with "keep what you have." We would rather tell you that than sell you a policy you do not need.
- Never cancel a policy before its replacement is in force. A gap, or a lapse with a loan outstanding, can cost far more than a month of overlap.
- PolicyChat Life is a licensed life insurance agency. Estimates come from dated industry rate tables; they are not quotes, and the carrier sets the final price when it underwrites.
- Every policy comes with a free-look period, usually 10 to 30 days depending on your state, with a full refund if you change your mind.
- Nothing you enter on this page is stored, and you can see your number without a phone number or email.
The numbers
What each class costs, by age.
| Age | Preferred Plus | Standard | Standard, tobacco |
|---|---|---|---|
| 30 | $14–$24 | $20–$34 | $48–$83 |
| 40 | $24–$38 | $34–$55 | $83–$131 |
| 50 | $56–$88 | $80–$126 | $193–$304 |
| 60 | $160–$240 | $230–$345 | $552–$828 |
20-year level term, non-tobacco. Preferred Plus = best health class; Standard = typical with a controlled condition. Industry estimates from published carrier rate tables, monthly premium, not a quote. The carrier confirms the price when it underwrites. Source: the full rate tables by age and amount (PolicyChat, September 2026).
Methodology
How these estimates are made.
PolicyChat life pricing tables (same estimates Sage uses), calibrated to public term-life and final-expense quoting tools, 2026. Industry estimates from published carrier rate tables, monthly premium, not a quote. The carrier confirms the price when it underwrites.
The on-page check and Sage call the same deterministic engine (POST /api/life/estimate) with your age, tobacco status, build, and conditions. It maps those answers to a likely health class, reads the monthly range for that class from the tables dated 2026-09-18, and returns the range with the improvement paths that apply. No contact details are sent, and nothing is stored. Every figure on this page is drawn from the same tables and carries the attribution (PolicyChat, September 2026). The two-minute version with coverage sizing is at /life-insurance/estimate/.
Questions
The things people ask first.
How do I know if my life insurance is still enough?
Add up what it has to do: replace income for the years your family needs it, clear the mortgage and other debts, and cover final expenses; subtract savings and any group coverage that would actually pay. If the policy covers that number, the amount is fine. Sage does this arithmetic in the first minute of the audit.
Should I replace an old term policy with a cheaper one?
Only if you are at least as healthy as when you bought it and the new premium is lower for the same amount and years remaining. A healthy 40-year-old today pays $24–$38 to $34–$55 a month for $500,000 of 20-year term depending on class (PolicyChat, September 2026). If your old policy was priced at a younger age, keeping it often wins even if you are healthy.
My term policy is ending. What are my options?
Three. Let it end if the need is gone. Convert some or all of it to permanent coverage without health questions before the conversion deadline, if you now have a health problem. Or re-shop a new, smaller term policy if you are still healthy, which is usually cheaper than converting.
Is it a bad idea to cancel whole life insurance?
Sometimes, and the order matters. Ask for an in-force illustration, check the surrender charge, and price a replacement. If the policy does a job you still need, keep it; if not, a reduced paid-up option or a 1035 exchange may beat a straight surrender. Never cancel before a replacement is in force.
Is life insurance through work enough on its own?
Basic group life is most often one times salary, and it usually ends within 31 days of leaving the job. It is a good supplement and a poor foundation. The audit checks what it would actually pay and whether you should own a policy that stays with you.
Does an audit cost anything or commit me to anything?
No. Sage runs it without a phone number, and PolicyChat Life is a licensed agency, not a lead form; your details are not sold. If you do replace a policy through us, it comes with a free-look period, usually 10 to 30 days depending on your state.
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