What term life insurance do I need to protect my family?
When choosing the proper life insurance policy providing coverage for a specific duration (term), you’ll want to consider several things.
Decide how long you need coverage, what you want your policy to accomplish, how much insurance to buy, and what your budget is for your life insurance.
When it comes to term life policies there are a few different types of plans that may be available.
Types of Term Life Insurance Policies
Level Term Life Insurance – Level premiums each year for the entire duration of your policy.
Level term insurance is the most popular type of term life policy because it’s easy-to-understand, and offers the maximum coverage at the lowest cost, for a period of up to 30 years.
Decreasing Term Insurance – Level premiums annually, but the coverage amount decreases each year.
Decreasing term life is not very common but some people use it to provide mortgage protection to help pay off their loan upon their passing.
Return of Premium Term Life – If you outlive the duration of your policy term, you get your premiums back from the insurance company.
If you don’t mind paying more for your life insurance upfront, this plan will return your money if you are alive when the coverage expires.
No Exam Term Insurance – Purchase term insurance without taking any health exam, for healthy applicants only.
Term life without any exam usually costs at least 10% more compared to coverage requiring a medical check-up. But, these plans are available online and you may be able to start your life insurance in as little as 15 minutes, if you qualify.
Annual Renewable Term Insurance – You have coverage for one year, and each year you may renew your policy for another year but your premium increases at renewal.
Annual term life insurance plans are good if you only need protection for a period of 1-2 years.
Since rates increase each year, coverage can become unaffordable after renewing your policy a few times. In that case, it may be more affordable to get a level term insurance policy for a duration of 5 years, and cancel the policy when you no longer need it.
Questions to Determine Your Term Life Insurance Needs
How much term life insurance do I need?
When buying your policy make sure you use a needs calculator to assist you in determining how much coverage you really need.
How long do I need term life insurance to last?
Consider what period of time is the longest duration to help you accomplish your goal for your term life policy.
What are my options for length of term insurance?
Usually, most insurers offer term life for a period from 10 to 30 years. You may be able to choose coverage for 10, 15, 20 or 30 years.
Can I get my money back on my term life policy?
Yes, if you choose a term policy with return of premium.
Do I have to take a physical examination to buy term insurance?
Most insurers will require the applicant to take a paramed exam; however, there are life insurance plans with no physical exam, just some health questions to answer.
Can I apply for term life coverage online?
Yes, some insurers offer you the option of applying online (safe and secure) for your term insurance policy. It usually takes about 15 to 20 minutes to fully complete the online application process.
How long does it take to start my term policy?
If you qualify, you may be able to start your life insurance policy the same day you apply online for coverage. Otherwise, it may take weeks to complete the underwriting process.
Term Life Insurance Quotes
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Haven Life uses the information provided in your application to make an instant decision on your application. Healthy, qualified applicants (based on the information provided in your life insurance application) can be insured immediately with no medical exam while other applicants can receive immediate coverage pending a medical exam.
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