Affordable Life Insurance Protection for Your Family

Term Life Insurance Basics

When you are considering buying a life insurance policy, you will make a number of decisions regarding the right policy.

You will need to choose a type of policy, the amount of coverage and you’ll decide on who will be the beneficiary of your life insurance policy.

Each of these decisions is very important in determining the right protection to meet your needs.


Guide to Term Life Insurance Basics

  • Helps you understand the reasons for buying life insurance.
  • Explains how to choose a beneficiary for your policy.
  • Reviews how to determine the amount of coverage you need.


Why People Buy Life Insurance

Life insurance provides financial security to your loved ones in the event of your death. A life insurance policy helps provide financial support to your family when you are no longer there to provide for them. So they don’t have to worry about losing their home, or not being able to pay their bills and living expenses.


Three Basic Decisions You Make When Buying Life Insurance

  • Choosing the amount of life insurance protection.
  • Choosing a beneficiary for your life insurance policy.
  • Choosing a type of life insurance policy that meets your needs.


Choosing the Amount of Life Insurance Coverage

The amount your loved ones receive from the life insurance proceeds after you die is called the "death benefit". The death benefit is the amount if life insurance coverage provided by your policy.

You determine the amount of coverage needed to provide for your loved ones after you are gone. You'll want to consider your family’s monthly expenses, debts, standard of living financial obligations and how many dependents you have. The higher the coverage amount, the more the life insurance policy will cost.

Here is a life insurance need calculator to help you decide how much life insurance to buy.


Choosing a Beneficiary for your Life Insurance Policy

The beneficiary to your policy is the person, or persons who will receive the death benefit proceeds from your life insurance policy in the event you die. Many people name their spouse, child, children, relatives, or other loved ones as their beneficiary. You decide who will be your beneficiary. You can name anyone you choose as beneficiary of your life insurance policy.


Choosing a Type of Life Insurance Policy that Meets Your Needs

Life insurance comes in two basic forms: term insurance or permanent insurance. Term insurance offers coverage for a specific number of years. Permanent insurance offers coverage for your entire life. The cost of term life insurance is usually much lower than the cost for permanent insurance. Term life insurance is the most popular type of life insurance purchased today. Term life gives you the maximum amount of protection at the lowest cost.


Compare Life Insurance Quotes


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Whole Life Insurance versus Term Life Insurance

Term Life Insurance Basics


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