What is Term Life Insurance?
Term Life Insurance has been called the most affordable way to buy maximum insurance protection for your insurance dollar. Term insurance provides a low cost way to get maximum insurance protection for a specified period of time. Many companies offer level term for periods of 10, 15, 20 and 30 years. Term insurance does not build cash value; it pays a death benefit only if you die during the term of the policy. The life insurance benefit will generally pass income tax free to your beneficiaries.
How much Term Life Insurance do I need?
This is a simple calculation: Short Term Needs + Long Term Needs – Resources = How much life insurance you need.
What are the advantages of Term Life Insurance?
Premiums are generally lower than those for permanent insurance such as Universal or Whole Life. Lower premiums allow you to buy higher levels of coverage for your premium dollar. Term insurance is a good choice when you are looking to cover specific needs that will disappear in time, such as mortgages or family expenses for children. Without a doubt, term insurance is the most cost-effective way to get the maximum coverage at the lowest cost, guaranteed for up to 30 years.
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