Term Life Insurance Overview

term life insurance | Freeman Insurance Solutions

Life insurance mainly comes in two categories, term insurance, and whole life insurance. While whole life insurance offers protection that lasts a lifetime, term life insurance protects for a limited, selected period. With term life insurance, beneficiaries will receive the benefits as long as the term is in force.

What Happens When the Term Ends?

When term insurance expires, you have two options to extend your coverage. You can either renew your term insurance or convert it into a permanent policy. Renewable policies allow you to take on another period of coverage. If you use an insurance company that doesn’t require a medical exam, there is no worry of having to be reexamined. Alternatively, you can convert your term insurance to whole life insurance. The rates may change, but the benefits remain the same.

How Much Does it Cost?

Life insurance costs depend on numerous factors. The main factors are health and age. At age 30, you may be able to get term insurance at around $6 per month. However, the cost will hit around $35 for individuals who are about age 50 or older. Your health affects the insurance cost depending on the level of risk you present to the insurer. If you suffer from a medical condition, you may have to pay more. This is because the condition will reflect an increased risk the company has to payout.

The Difference Between Level Term and Decreasing Term Life Insurance

Selecting term insurance will present two more options to pick from; level term or decreasing term insurance. Level term insurance means your premiums and benefits remain the same throughout the policy. On the other hand, decreasing policy means your premiums and benefits will vary at specific intervals.

If you want to take care of your family with substantial finance while decreasing term insurance level-term insurance is the most suitable option. It may also be the best choice if you are just looking to settle a few debts.

How to Select the Most Suitable Term Life Insurance

Term life insurance and whole life insurance both have many benefits. To make an informed decision, it is a good idea to get an expert opinion. Get in touch with Freeman Insurance Solutions today. Learn more about term life insurance and our other products and services.

Are you looking to apply for life insurance? Do you want a policy that doesn’t require a medical exam or blood test? Then click here to get started by answering just a few health questions.

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