Term Life Insurance: Secure Your Loved Ones' Future
Kenny Jensen
Your Life Changes. Your Coverage Should Too.
Life changes can prompt a reassessment of financial priorities. Whether you’ve recently bought a home, welcomed a new child, or switched jobs, securing your family's future with the proper insurance is critical. Term life insurance is a straightforward, affordable way to protect your loved ones financially.Understanding Term Life Insurance
Term life insurance is one of the simplest and most budget-friendly forms of life insurance. Here's how it works: as the policyholder, you select a term length—10, 20, or 30 years—and a coverage amount. If you pass away during this term, your beneficiaries receive a tax-free payout.Why You Might Need It
Many opt for term life insurance because its benefits can cover significant expenses. This might include paying off a mortgage, covering funeral costs, managing living expenses, or funding college tuition.Types of Term Policies
There are several varieties of term policies:- Level Term: Both premiums and the death benefit remain constant throughout the policy's duration.
- Yearly Renewable Term: Premiums increase with age, but the coverage renews annually.
- Decreasing Term: Often paired with mortgages, the death benefit decreases over time, but premiums stay the same.
Features Worth Considering
Return-of-Premium Rider: While this rider involves higher costs, it refunds your premiums if you outlive your policy term.Convertible Term: At any point, you can convert a term policy to a permanent one—often without needing a medical exam.