Protecting Those You Love for the Short and Long Term
Term life insurance provides a death benefit if the person who is insured dies. Unlike variable life insurance, which combines a death benefit with a tax-deferred savings element, term life insurance does not accumulate any cash value. Term insurance also ends after a set number of years, or at a certain age.

If you’re still alive when your term policy ends, you receive no benefit. The insurance was just that: protection in the event of your untimely demise. However, if you should die before the term policy is up, your beneficiaries will collect the death benefit.

Term Determines Rates
You can purchase a term life insurance policy for as little as one year, or as long as 30 years. Usually, Term Life Insurance Rates are calculated in 5-year increments. Alternately, you can choose a policy that covers you until a specific age, such as 65 or 70, or whenever you plan to retire. Your age, health, gender, expenses, and dependents’ needs will all factor into your term life insurance policy decision.

By the same token, your age, medical status, where you live and the type of policy you choose will determine your term life insurance rates. If you research life insurance quotes online, you’ll discover a wealth of information, including different lifestyle scenarios that can help you determine how much coverage you need.

You’ll generally be required to have a medical exam before a life insurance company will write you a policy. The outcome of the exam will affect your term life insurance rates. You may receive a discount for being in peak health. Also, the younger you are when you buy a policy, the better the rates, because the insurance company expects you to live a long time.

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