Consider a Term Policy for Affordable Life Insurance

Many consumers are now considering a term life insurance policy because it is affordable life insurance. In addition, with term life insurance you have the flexibility to purchase the necessary amount of insurance for your specific needs for a predetermined time frame; such as, the duration of your mortgage or while your children are young.  Not only is term life affordable life insurance, it is also a great value in general. There are many features that consumers like about term life insurance as well that go past the initial affordability of the plan.

Adjustable Premiums

In addition to being affordable life insurance initially, term life insurance also offers adjustable premiums, renewability and conversion options. Term life insurance has adjustable rates that fluctuate depending upon many factors that can raise or lower monthly premiums. Some of the factors that can cause the rates to fluctuate are projected changes of investment earnings, mortality experience, persistency and other expenses. Not to worry though, there is a maximum amount stated within the policy that your premiums can never exceed. Another great feature of term life is renewability.

Renewability Advantages

Renewability guidelines found in term life insurance can vary within each policy so it is important to understand what your plan outlines for your renewal options. Some plan provisions will allow you to renew your plan without having to prove insurability which is very important to individuals who have suffered a major medical situation during the term of the life insurance plan. If, for example, you have a 20 year term life insurance policy and during that time you have a massive heart attack, when that plan matures you want to be able to get another life insurance plan without having to qualify or prove that you are in good health.

Conversion Options

Another nice feature that term life offers is conversion options. With term life insurance, you have the flexibility to choose to convert your term life plan to a permanent policy before reaching a specified age, in most cases 65 years old, without having to prove insurability. Again, this can be so important because the policy holder can switch from term life to a permanent policy without having to pass any medical exams and without having to prove good health. It is important to understand that for both the renewability and conversion options, the plan cannot have lapsed, and premiums must be current; otherwise you may have to prove your insurability and you could run the risk of being denied coverage.

A term life policy definitely offers affordable life insurance. Term life offers affordable death protection for a specified time frame from 1 year to 30 years. Term life insurance was developed to provide temporary life insurance to individuals living on a budget and it really provides policy holders with a flexible and sound way to protect their families. At the same time it provides the peace of mind of renewability options and conversion options. Whether you need a short term life policy or a longer term life policy and for a small amount of coverage or for a large amount of protection, term life options provide consumers with affordable life insurance.

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