If you're thinking about getting life insurance for the first time, replacing your existing policy, or expanding coverage, you might want to wait a few months. The Insurance Information Institute says rates for life insurance will be headed down three percent in 2006, thanks to competition, better industry efficiencies, and "significant mortality improvements" (i.e., people are living longer).

Rates have been headed down for years, but when you compare just how far they've come, it can be quite jarring: The III says the annual premium for a 40-year-old male buying a $500,000 20-year level term life insurance policy in 2006 will be $641 if he qualifies as a “standard” risk and $352 if he meets the more stringent requirements of a “preferred” risk. This year, the rates are $660, and $375, respectively. In 1994, the same policy for that age group would have been $1,300 for standard, $996 for preferred, representing drops of more than half over a 12-year period.mortgage calculator