Colonial Penn vs Globe Life: Honest Comparison for Seniors (2026)
Neither Colonial Penn nor Globe Life is the best deal for most seniors. Colonial Penn's $9.95 per unit costs roughly twice what simplified-issue alternatives charge for the same coverage. Globe Life starts lower but premiums increase every five years, and coverage may terminate. Locked-rate carriers like Mutual of Omaha cost less long-term (source: Asurgo multi-carrier comparison, June 2026).
Colonial Penn and Globe Life are the two most heavily advertised burial insurance carriers in the country. If you are comparing them, chances are you saw a TV commercial or received a mailer from one or both. This guide puts both side by side with real rate data and compares them against independent alternatives that most seniors have never heard of. Jump to the rate comparison, the pricing catches, or the FAQ.
The Comparison
Two TV Carriers, Two Different Pricing Traps
Colonial Penn and Globe Life spend more on television advertising than any other burial insurance companies. That advertising budget has to come from somewhere, and it comes from the premiums policyholders pay. Both carriers serve a real purpose for specific situations, but for most seniors, neither is the most cost-effective way to cover final expenses.
Colonial Penn uses a $9.95 unit system with guaranteed acceptance. The rate is simple but the coverage per unit drops sharply with age, and the 2-year waiting period means your family is not fully protected right away. Globe Life leads with a $1 first-month promotion that converts to standard premiums, and their most popular product is step-rate term life where premiums increase every five years.
The question most seniors are really asking is not "which of these two should I choose?" It is "are there better options I do not know about?" In most cases, the answer is yes. Simplified-issue whole life from carriers like Mutual of Omaha costs significantly less, pays from day one, and never increases. This guide compares all four so you can see the full picture.
I am a licensed insurance specialist (NPN #20817039). Asurgo does not sell Colonial Penn or Globe Life, so this comparison has no financial incentive to favor either one. For the individual reviews, see our Colonial Penn review and Globe Life review. For broader context, start with final expense insurance.
The Bottom Line
Quick Answer: Which Is Better?
If you need guaranteed acceptance with locked-in rates: Colonial Penn. Premiums never increase. The trade-off is the 2-year waiting period and roughly double the cost of simplified-issue alternatives.
If you want the lowest initial premium and are comfortable with rate increases: Globe Life. The first-year rate is lower than Colonial Penn, but premiums increase every five years and coverage may terminate before you need it most.
If you are in average health (which most seniors are): Neither. Simplified-issue whole life from Mutual of Omaha or Transamerica costs 30-50% less than Colonial Penn, pays from day one, and premiums never increase.
Read on for the full rate comparison and the pricing catches both carriers advertise around.
Head to Head
Side-by-Side Comparison: Colonial Penn vs Globe Life
| Feature | Colonial Penn | Globe Life |
|---|---|---|
| Product type | Guaranteed acceptance whole life | Term life (most popular) + whole life |
| Pricing model | $9.95/unit (coverage varies by age) | Standard monthly + $1 first-month promo |
| Rate lock | Yes, locked for life | No (term: increases every 5 years) |
| Medical exam | No | No |
| Health questions | None (guaranteed acceptance) | Varies by product |
| Issue ages | 50-85 | 18-85 |
| Max coverage | 15 units (~$9K-$25K by age) | Up to $100,000 (term) |
| Waiting period | 2 years (all policies) | 2 years (some products) |
| AM Best rating | A- (Excellent) | A (Excellent) |
| Coverage type | Permanent (never expires) | Term may expire at 80-90 |
The biggest differences are in pricing structure and coverage permanence. Colonial Penn's premiums are locked but expensive per dollar of coverage. Globe Life's initial premiums are lower but increase over time and coverage may terminate. Both carriers are financially stable and pay claims. The question is whether either carrier's pricing makes sense when alternatives exist.
The Numbers
Rate Comparison: What You Actually Pay
Colonial Penn and Globe Life are rarely shown alongside independent carriers. This table includes Mutual of Omaha and Transamerica so you can see what simplified-issue alternatives cost for the same $10,000 of coverage.
Monthly Cost for $10,000, Female Non-Tobacco
| Age | Colonial Penn | Globe Life (initial) | Mutual of Omaha | Transamerica |
|---|---|---|---|---|
| 60 | $69.65 (7 units) | ~$22/mo* | $33/mo | $41/mo |
| 65 | $79.60 (8 units) | ~$30/mo* | $41/mo | $51/mo |
| 70 | $99.50 (10 units) | ~$40/mo* | $53/mo | $65/mo |
| 75 | $139.30 (14 units) | varies* | $72/mo | $85/mo |
| 80 | $149.25 (15-unit max, ~$9,120) | varies* | $98/mo | $134/mo |
What the Rates Show
Three things stand out in this table:
- Colonial Penn is the most expensive option at every age when you account for the coverage you actually receive. At age 65, a woman pays $79.60 per month for $10,000 from Colonial Penn, compared to $41 per month for the same amount from Mutual of Omaha. That is 94% more.
- Globe Life looks cheapest in year one, but those rates increase every five years. A $30 monthly premium at 65 can reach $50 to $65 by age 75 and $90 to $120 by age 85. By year 10, Globe Life's cumulative cost has caught up to permanent whole life.
- Mutual of Omaha is the long-term winner for anyone who qualifies. The premium is locked for life, coverage is permanent, the death benefit pays from day one, and the AM Best rating (A+) is the strongest of all four carriers.
See what independent carriers charge instead
Most seniors qualify for simplified-issue coverage that costs less, pays from day one, and never increases.
What the Ads Leave Out
The Pricing Catches Both Carriers Advertise Around
Both Colonial Penn and Globe Life use advertising that highlights a low number. Colonial Penn promotes "$9.95 a month." Globe Life promotes "$1 for the first month." Both numbers are real, but neither tells the full story.
Colonial Penn's $9.95 Unit System
The $9.95 is the cost per unit, not the cost of a policy. Each unit provides a fixed amount of coverage based on your age and gender at the time of purchase. At age 65, one unit buys roughly $1,258 for a woman or $896 for a man. To reach $10,000 in coverage, a 65-year-old woman needs 8 units at $79.60 per month. A 75-year-old woman needs 14 units at $139.30 per month for the same $10,000. At age 80, the 15-unit maximum provides only about $9,120 for a woman and cannot reach $10,000 at all.
The rate per unit is locked for life, which is a genuine benefit. But the coverage per unit drops sharply with age, so the later you buy, the less coverage your money buys. Every Colonial Penn policy also carries a 2-year graded death benefit period: if the policyholder passes from natural causes within the first 2 years, beneficiaries receive a return of premiums paid plus interest, not the full death benefit. For more detail, see our full Colonial Penn review.
Globe Life's $1 First-Month Offer and Rate Increases
Globe Life's $1 first-month offer is a promotional price. Full premiums begin in month two. The actual monthly cost depends on your age, gender, and coverage amount. For a 65-year-old woman on $10,000 of term coverage, the standard premium is typically $25 to $35 per month after the first month.
The bigger issue is that Globe Life's most popular product is five-year renewable term life. Premiums increase every five years as you enter new age bands. A policy that costs roughly $30 per month at age 65 could cost $50 to $65 per month by age 75 and $90 to $120 per month by age 85, if the policy has not already terminated. Many policyholders on fixed incomes eventually cannot afford the increases and drop the policy, losing all premiums paid. Globe Life does offer a whole life product, but the heavily advertised plans are step-rate term. For the full breakdown, see our Globe Life review.
The Long-Term Math
Cumulative Cost Over 15 Years (65-Year-Old Female, $10,000)
Monthly differences compound. This table shows what a 65-year-old non-smoking woman pays in total over time for $10,000 of coverage from each carrier.
| Timeframe | Colonial Penn | Globe Life (est.) | Mutual of Omaha | Transamerica |
|---|---|---|---|---|
| Year 1 | $955 | ~$360 | $492 | $612 |
| Year 5 | $4,776 | ~$1,800 | $2,460 | $3,060 |
| Year 10 | $9,552 | ~$5,100 | $4,920 | $6,120 |
| Year 15 | $14,328 | ~$9,900 | $7,380 | $9,180 |
Globe Life is the cheapest option for the first five years. By year 10, its cumulative cost has passed Mutual of Omaha and is approaching Transamerica. By year 15, Globe Life's total is higher than Transamerica, approaching $10,000 in total premiums paid for a $10,000 death benefit, and the coverage itself may be at risk of terminating.
Mutual of Omaha remains the cheapest total cost at every timeframe after year 5, and the coverage is permanent. There is no termination date, no rate increase, and the full death benefit pays from day one. Colonial Penn is the most expensive option at every single timeframe, and it also carries the 2-year waiting period.
The takeaway: if you are choosing between Colonial Penn and Globe Life, Globe Life costs less in the short term but Mutual of Omaha costs less than both in the long term. And all three are beaten by Mutual of Omaha's level-premium whole life for applicants who qualify. To estimate how much coverage your family needs, use our burial cost calculator.
When Colonial Penn Fits
Who Should Choose Colonial Penn
Colonial Penn is a reasonable choice only in a specific situation:
- You have been declined by every simplified-issue carrier due to serious health conditions
- You need guaranteed acceptance with absolutely no health questions
- You want premiums that are locked in for life, even at the higher cost
- You understand and accept the 2-year graded death benefit waiting period
Before choosing Colonial Penn, check whether you qualify for simplified-issue coverage first. Many seniors assume their health disqualifies them when it does not. Common conditions like Type 2 diabetes, high blood pressure, and managed heart conditions are accepted by simplified-issue carriers. An independent broker checks eligibility across 25+ carriers at no cost.
When Globe Life Fits
Who Should Choose Globe Life
Globe Life may be worth considering if:
- You specifically want term coverage with high face amounts (up to $100,000) that exceed what most final expense carriers offer
- You are under 50 and need temporary coverage at a low initial cost
- You understand that premiums will increase every five years and plan to replace the policy with permanent coverage before the term expires
- You are using it as a bridge policy while your health improves for simplified-issue qualification
For most seniors over 60 who need burial coverage that lasts the rest of their lives, Globe Life's step-rate term is not the right product. Permanent whole life with level premiums is designed for exactly that purpose. See our full Globe Life review for the detailed breakdown.
The Third Option
The Better Option Most Seniors Do Not Know About
Most seniors comparing Colonial Penn and Globe Life do not know that simplified-issue whole life exists. These are permanent policies from carriers like Mutual of Omaha and Transamerica that cost significantly less, pay from day one, and never increase. They require answering a few health questions over the phone, but no medical exam.
The majority of seniors qualify for simplified issue. Conditions like Type 2 diabetes on oral medication, high blood pressure, and a history of cancer in remission are routinely accepted. The health questions filter out a small percentage of applicants, and that filtering is what keeps the premiums low for everyone who passes.
Here is what the comparison looks like for a 65-year-old non-smoking woman buying $10,000 of coverage:
- Colonial Penn: $79.60/month, locked, 2-year waiting period, coverage never expires
- Globe Life: ~$30/month initially, increases every 5 years, coverage may terminate
- Mutual of Omaha: $41/month, locked forever, day-one full coverage, never expires
- Transamerica: $51/month, locked forever, day-one full coverage, never expires
Mutual of Omaha costs 48% less than Colonial Penn and roughly $10 more per month than Globe Life's initial rate, but that $10 per month buys permanent coverage that never increases and pays from day one. By year 10, Mutual of Omaha has saved more than $4,600 compared to Colonial Penn and is nearly even with Globe Life's cumulative cost. By year 15, Mutual of Omaha is the cheapest option by a wide margin. For the full Mutual of Omaha breakdown, see our Mutual of Omaha review or our Mutual of Omaha vs Colonial Penn comparison.
Check if you qualify for lower rates
Most seniors qualify for simplified-issue coverage that beats both Colonial Penn and Globe Life. One call, 25+ carriers, no obligation.
Common Questions
Frequently Asked Questions
Is Colonial Penn or Globe Life better for seniors?
Neither is the best option for most seniors. Colonial Penn offers guaranteed acceptance with locked-in rates but costs roughly twice what simplified-issue alternatives charge. Globe Life starts cheaper but premiums increase every five years and coverage may terminate. Most seniors qualify for simplified-issue whole life from carriers like Mutual of Omaha, which costs less and never expires.
Does Colonial Penn have locked-in rates?
Yes. Colonial Penn premiums are locked in for life at $9.95 per unit. The rate never increases. However, the coverage amount per unit decreases with age at the time of purchase. A 65-year-old woman gets $1,258 per unit, while a 75-year-old woman gets only $762 per unit. So the rate is locked, but the value of what you are buying is not.
Do Globe Life premiums increase?
Yes, on their most popular term product. Globe Life's step-rate term premiums increase every five years as you enter new age bands. A policy that costs $30 per month at age 65 could cost $50 to $65 per month by age 75 and $90 to $120 per month by age 85, if coverage has not already terminated. Globe Life does offer a whole life product with level premiums, but the heavily advertised plans are step-rate term.
What is the Colonial Penn $9.95 unit plan?
Colonial Penn sells coverage in units of $9.95 per month. Each unit provides a fixed amount of death benefit based on your age and gender at the time of purchase. At age 65, one unit buys roughly $1,258 for a woman or $896 for a man. To reach $10,000 in coverage, a 65-year-old woman needs about 8 units at $79.60 per month. The maximum is 15 units at $149.25 per month.
What is Globe Life's $1 first-month offer?
Globe Life's $1 first-month offer is a promotional price. You pay $1 for the first month of coverage, then full premiums begin in month two. The actual monthly cost depends on your age, gender, and coverage amount. For a 65-year-old woman seeking $10,000 of term coverage, the standard premium is typically $25 to $35 per month after the first month.
Does Colonial Penn require health questions?
No. Colonial Penn is guaranteed acceptance, meaning no health questions and no medical exam. Everyone ages 50 to 85 is accepted regardless of health. The trade-off for this guarantee is higher premiums per dollar of coverage and a 2-year graded death benefit waiting period.
Does Globe Life require a medical exam?
No. Globe Life does not require a medical exam for their direct-to-consumer plans. Some products ask health questions and some are simplified issue, while others are guaranteed acceptance with a graded benefit period. The specific requirements depend on the product and coverage amount.
What are cheaper alternatives to Colonial Penn and Globe Life?
Simplified-issue whole life carriers like Mutual of Omaha and Transamerica offer significantly lower rates with day-one coverage and premiums that never increase. At age 65, a woman pays $41 per month for $10,000 from Mutual of Omaha versus $79.60 from Colonial Penn. Most seniors qualify for simplified issue, which means they do not need guaranteed acceptance pricing.
Is Colonial Penn guaranteed acceptance?
Yes. Colonial Penn accepts all applicants ages 50 to 85 with no health questions and no medical exam. This makes it an option for seniors who have been declined by every simplified-issue carrier. The trade-off is higher premiums and a 2-year graded death benefit period where beneficiaries receive a return of premiums paid plus interest rather than the full death benefit.
Which has a better financial rating, Colonial Penn or Globe Life?
Globe Life has a higher AM Best rating of A (Excellent) compared to Colonial Penn's A- (Excellent). Both ratings indicate financial stability and claims-paying ability. Globe Life's NAIC complaint index runs above the national median, while Colonial Penn holds a B rating from the BBB. Both companies are financially stable and pay claims.
Related Reading
There is a better option than both.
Colonial Penn and Globe Life are the most advertised carriers, not the most affordable ones. Most seniors qualify for simplified-issue whole life that costs less, pays from day one, and never increases. Asurgo shops 25+ carriers, including Mutual of Omaha, Transamerica, Aflac, Aetna, and AIG, to find the lowest rate for your specific health profile. Getting a quote takes a few minutes and does not obligate you to buy.
Compare 25+ Carriers Or call (855) 380-9555 · Mon-Fri 8am-8pm, Sat 9am-5pm ET
Nicholas Norminton, Licensed Insurance Specialist
Nicholas is a nationally licensed insurance specialist who has personally helped thousands of clients secure life insurance coverage. He built Asurgo into a trusted, tech-forward brokerage serving clients in all 50 states with access to 25+ carriers. Asurgo does not sell Colonial Penn or Globe Life policies. This comparison is based on publicly available rate data and Asurgo's carrier illustrations for the independent alternatives shown.
Sources
AM Best (financial strength ratings) · NAIC Consumer Insurance Search (complaint index data) · Better Business Bureau (BBB ratings). Colonial Penn unit values from the company's published per-unit benefit table (colonialpenn.com, captured March 2026). Globe Life rates are approximate, based on the company's published plan details. Mutual of Omaha and Transamerica rates from current Asurgo carrier illustrations, 2026.