Term Life Insurance


A Term Life Insurance policy protects the policyholder for a certain period of time, known as the term. The duration of the term varies depending on the individual’s preferences. Level term insurance is available in terms ranging from 10 to 30 years and increases in 5-year increments. Term life insurance is one of the most common types of life insurance since it is less expensive. They usually give a higher level of coverage at a lower cost than permanent life insurance. Get a personalized term life insurance quotation by speaking with an agent today about a term life policy that’s perfect for you.

How Does Term Life Insurance Work?


Term life insurance can give set premiums for the entire term or life insurance on level terms, depending on the kind of coverage. The death benefits can also be adjusted. Term life insurance plans are popular with young individuals just starting out, families, and those who want protection for a particular length of time. Someone who wishes to secure their income until retirement or while paying off a mortgage, for example.

Term life insurance does not build up cash value like permanent life insurance, but many term plans pay out the full face amount to beneficiaries. For example, if the face value of an insurance is $100,000, the beneficiary will get the whole amount. Even better, under the current tax legislation, the benefits paid on a term policy are tax-free.

Term Life Insurance vs. Permanent Life Insurance


Term Life Insurance Permanent Life Insurance
As long as premiums are paid, coverage is provided for a certain length of time (term). Provides lifetime coverage as long as premiums are paid
There is usually no financial value, but it provides a death benefit. Over time, cash value builds, resulting in an asset that may be utilized during your lifetime.
Initially, this type of life insurance is a little less expensive. Premiums are fixed for the duration of the policy.
It might be either renewable or convertible. It’s possible that premium payments will be flexible.

Contact us for a consultation regarding your insurance needs.