Many people choose life insurance because they want to ensure that those close to them are taken care of when they pass away. It is a valuable tool.
Term Life Insurance
Term life insurance provides a cheaper premium while still getting a high death benefit, making it an excellent choice for most people. Term life insurance covers the policyholder for a specific amount of time, known as the term. The term lengths vary according to what the individual chooses. Terms typically range from 10, 15, 20, 25, and 30 years, and premiums are usually level during this period. Some carriers offer Annual Renewable Term coverage for one year at a time with increased premiums each year. There are no investment options for term life insurance.
Positive Aspects of Term Life Insurance
Term life insurance is good for those looking to pay less than a whole life insurance policy. It is a cheaper option that still has the potential for a high death benefit. Some policies can be extended accordingly and allow for flexibility within term extension.