Term Life Insurance

Term life insurance provides coverage for a specified period of time, which usually ranges from 10-30 years, in 5-year increments, depending on your need for coverage. A death benefit (face amount) is established when the term life insurance policy is applied for. The beneficiary receives the death benefit amount if the insured passes while the policy is in-force.

Policy premiums are available on a guaranteed and non-guaranteed basis. Guaranteed policy premiums remain level throughout the policy's term. Non-guaranteed policy premiums usually remain level for a pre-determined period of time and then begin increasing.

There are a variety of options available on most term life insurance policies, including convertibility options, child riders and accelerated benefit riders. Policies are designed to meet a specific need for a stated period of time and can be particularly useful to anyone who has a financial liability, such as a home mortgage.

Term life insurance provides the lowest priced coverage available in the marketplace. It buys the greatest amount of coverage for the least amount of premium, relative to other forms of life insurance such as whole life or universal life.

Several significant life changing events merit a closer look at the need for term life insurance. Those include marriage, parental status, home ownership, job changes and retirement. In the event of death, term life insurance can be used to help a spouse or children maintain a steady lifestyle or standard of living. Term life insurance can be used to pay down debt, final expenses and other costs associated with the passing of a loved one. These are all factors that should be considered when looking for term life insurance.