What is Term Life Insurance?
Term Life Insurance, is only a death benefit. If you pay the insurance premium, in the event of death while covered by the policy, the insurance company will pay the term life policy death benefit. When considering Term Life , you should first determine the length of time you need the coverage and then look at the total cost over those years.
Term Life Premiums may be based on annual renewable arrangements including:
- 5 year term level
- 10 year term level
- 15 year term level
- 20 year term level
- 25 year term level
- 30 year term level
For short term insurance needs annual renewable, 5 year level premium or 10 year level premium plans are often the cheapest.Some short term examples include:
- Covering a bank loan
- business obligation
For longer periods of time, the following term life plans are often the best buy:
- 15 year term level premium
- 20 year term level premium
- 25 year term level premium
- 30 year term level premium
Consumers with long term needs should be aware that if they keep a level term Life insurance policy longer than the initial level premium guaranteed period, their premiums will increase substantially or may not renew.
Term Life Insurance Note:
In some states level premium term may be limited in the number of years of coverage, or it may not be available above a certain age. If the type of term life plan you request is not available in your state, LifeQuote will provide you with a quote for a term life plan available in your state that is closest to what you requested. |
