Affordable Life Insurance Protection for Your Family

Term Life Insurance

Protect Your Family with Affordable Term Life Insurance


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Term life insurance is the most affordable type of life insurance plan. With term life you are only paying for the life insurance protection. There is no cash value that builds up within the policy.


Term life provides protection for your family for a specific number of years (between 5 and 30 years usually). If you die during the term of the policy, your beneficiary will receive the death benefit of your life insurance policy.


Example: If you own a 20 year $200,000 term policy and you die after 5 years or 19 years into the policy, your beneficiary would receive the $200,000 death benefit.


If you die during the term of the insurance policy your beneficiary receives the death benefit, also known as the face amount, of your policy. If you are still alive at the end of your policy term, your insurance protection expires. You may have the option of renewing your term life policy. However, the premiums will generally be higher at that time.


There is no cash value that builds within the term life insurance policy. Some term life policies offer a return of premium. These policies usually charge much higher premiums than level term life insurance.


Term life insurance is a type of life insurance policy that provides coverage for a specified term, typically ranging from 1 to 30 years. It pays a death benefit to the beneficiaries if the policyholder dies within the term of the policy.


Term life insurance is typically much less expensive than other types of life insurance and is designed to meet temporary insurance needs, such as covering a mortgage or providing income for dependents.


The death benefit is paid only if the policyholder dies during the term of the policy, if the policyholder does not die during the term, the policy will expire with no payout of any benefits.


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Term Life Insurance Explained

How Does a Term Life Insurance Policy Work?


A term life insurance policy works by providing coverage for a specified term, typically ranging from 1 to 30 years. The policyholder pays a premium for the coverage, and in exchange, the insurer agrees to pay a death benefit to the policy's beneficiaries if the policyholder dies during the term of the policy.


The premium for a term life insurance policy is generally lower than for other types of life insurance policies, such as whole life insurance, because it is designed to meet temporary insurance needs.


The policyholder chooses the term and the death benefit amount when purchasing the policy, and the premium is based on factors such as the policyholder's age, health, and the amount of coverage.


If the policyholder dies during the term of the policy, the death benefit is paid to the beneficiaries tax-free. If the policyholder does not die during the term, the policy will typically not have any value, and the premiums paid will be forfeited.


Term life insurance provides coverage for a specified term at a lower cost compared to other types of life insurance, and pays a death benefit to the beneficiaries if the policyholder dies during the term of the policy.


Duration of Term Life Insurance

Term life insurance is temporary coverage lasting for up to thirty years, usually.


However, depending on your age and health, you may be able to choose a Policy Term of 10, 15, 20, 25, 30, 35, or 40 years.


It is suggested to choose a policy duration that matches the longest period of time you will need life insurance to last in order to accomplish your longest financial goal; such as, 30 years until your home mortgage loan is fully paid off.


Types of Term Life Insurance

What are the Types of Term life Insurance and How Do They Work?


There are two main types of term life insurance: level term life insurance and decreasing term life insurance.


  1. Level Term Life Insurance: This type of term life insurance provides a fixed death benefit amount for the entire term of the policy. The premium remains the same throughout the term, regardless of changes in the policyholder's age or health. This type of term life insurance is often used to provide coverage for a specific need, such as paying off a mortgage or providing income for dependents.
  2. Decreasing Term Life Insurance: This type of term life insurance provides a death benefit that decreases over time. The death benefit decreases at a set rate or in set increments over the term of the policy. The premium for this type of policy is typically lower than for level term life insurance because the death benefit decreases over time. This type of term life insurance is often used to provide coverage for a decreasing need, such as paying off a decreasing mortgage balance.


In both types of term life insurance, the policy will typically not have any value if the policyholder does not die during the term of the policy, and the premiums paid will be forfeited.


The policyholder chooses the term and the death benefit amount when purchasing the policy, and the premium is based on factors such as the policyholder's age, health, and the amount of coverage.





Features of Term Life Insurance


Here are some common features of a term life insurance policy:


  1. Duration of CoverageSelect a "Term" of 10, 15, 20, 25, 30, 35, or 40 years of protection.
  2. Level Premiums: Level term policies have level premiums for the duration of your policy.Level Coverage Amount – Level term policies have a death benefit amount that remains the same for the entire duration of your term policy.
  3. Death Benefit: The death benefit is the amount paid to the policy's beneficiaries if the policyholder dies during the term of the policy. The death benefit is typically tax-free and can be used to cover expenses such as funeral costs, outstanding debts, or living expenses.
  4. Term: The term is the length of time that the policy provides coverage. The term can range from 1 to 30 years, and the policyholder chooses the term when purchasing the policy.
  5. Premium: The premium is the amount the policyholder pays for coverage. The premium is typically lower for term life insurance than for other types of life insurance because it provides coverage for a specified term only.
  6. Renewability: Some term life insurance policies are renewable, which means the policyholder has the option to renew the policy at the end of the term without providing evidence of insurability.
  7. Convertibility: Some term life insurance policies are convertible, which means the policyholder has the option to convert the term life insurance policy to a permanent life insurance policy, such as whole life insurance, without providing evidence of insurability.
  8. No Cash Value: Term life insurance does not build cash value like some other types of life insurance, such as whole life insurance. The policyholder pays premiums for coverage only, and if the policyholder does not die during the term of the policy, the policy will typically not have any value, and the premiums paid will be forfeited.
  9. Beneficiaries: The policyholder selects the beneficiaries who will receive the death benefit if the policyholder dies during the term of the policy. The policyholder can change the beneficiaries at any time.


The Pros and Cons of Term Life Insurance

Benefits of Term Life Policies:


  • Cheap – Term coverage costs less than half of what you pay for whole life plans.
  • Easy – Some term life policies offer quick issue policies with no exam required.
  • Flexible – Choose coverage for a period of 10 to 40 years to meet your specific needs.


Drawbacks of Term Life Policies:


  • No Investment Feature – Term life is pure protection, not an investment.
  • Limited Period of Coverage – Coverage for up to 40 years.


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Term Life Insurance vs. Whole Life Insurance

Term Life Insurance


Term life insurance and whole life insurance are two of the most common types of life insurance.


Term life insurance provides coverage for a specified period of time, such as 10, 20, or 30 years.


If the policyholder dies within the term, the death benefit is paid to the beneficiaries. If the policyholder does not die during the term, the policy expires and does not have any value.


Term life insurance is usually less expensive than whole life insurance, making it an attractive option for individuals who are seeking coverage for a specific period of time.

Whole Life Insurance


Whole life insurance, also known as permanent life insurance, provides coverage for the policyholder's entire life.


Unlike term life insurance, whole life insurance policies have a savings component, known as the cash value, which grows over time. This savings component can be used as a source of cash or as a way to accumulate wealth over time.


Whole life insurance is more expensive than term life insurance, but it provides a level of security that term life insurance cannot match.


Ultimately, the choice between term life insurance and whole life insurance will depend on your personal needs and financial goals.


If you are seeking coverage for a specific period of time, term life insurance may be a good option. If you are seeking long-term coverage and a source of savings, whole life insurance may be the better choice. 


Deciding How Much Term Life Insurance to Buy

Here are some steps to help you decide how much term life insurance to buy:


  1. Determine Your Financial Goals: Consider what you want the death benefit to cover, such as paying off debts, providing for your family, or funding a child's education.
  2. Calculate Your Financial Needs: Use an online calculator or work with a financial advisor to estimate the amount of death benefit you will need to achieve your financial goals.
  3. Consider Your Income: Consider your current and future income, as well as the income of your spouse or partner, to determine how much death benefit you will need to replace your income if necessary.
  4. Take into Account Your Debts: Consider any debts you have, such as a mortgage, credit card debt, or student loans, and estimate the amount of death benefit you will need to pay off these debts if necessary.
  5. Consider Your Family's Living Expenses: Consider your family's current and future living expenses, such as food, housing, transportation, and medical expenses, and estimate the amount of death benefit you will need to cover these expenses if necessary.
  6. Review Your Estate Plan: Consider any assets you have, such as real estate, investments, or a business, and estimate the amount of death benefit you will need to ensure that your estate plan is carried out as you intend.
  7. Consider Inflation: Consider the impact of inflation on your future financial needs and adjust the amount of death benefit accordingly.


It is important to keep in mind that the amount of death benefit you need will change over time as your financial situation changes, so it is important to review and update your life insurance coverage regularly. 


Term Life Insurance Needs Calculator

It is recommended to use a needs calculator to assist you in determining how much term life insurance to buy, in order to get the most accurate estimate of your specific need for coverage.


Life Insurance Need Calculator
Life Insurance Need Calculator
This calculator will help you to decide how much life insurance you need if your survivors invest the life insurance benefits they receive.

Funeral cost, estate taxes, etc. ($):
Amount needed to pay of non-mortgage debt ($):
Amount needed in emergency fund ($):
Amount needed in college fund ($):
Expected average annual living expenses ($):
Expected spouse's average annual income after taxes ($):
Annual Social Security Benefits ($):
Spouse's current age (#):
Value of current liquid assets ($ total of savings, investments, etc.):
Expected survivor's investment strategy:
Life insurance needs:

Term Life Insurance for Seniors

Term life insurance is an option for seniors, although it may be more difficult for older individuals to obtain coverage.


As you age, your risk of death increases, which can make it more expensive to purchase term life insurance.


However, there are term life insurance options specifically designed for seniors, such as guaranteed issue life insurance, that can provide coverage without the need for a medical exam.


Factors to consider when purchasing senior term life insurance include:


  • Health Status: Your health status will be a major factor in determining your rate and eligibility for coverage.
  • Coverage Term: Consider the length of the coverage term and make sure it aligns with your needs and goals.
  • Coverage Amount: Consider the amount of coverage you need, taking into account any outstanding debts and the cost of final expenses.
  • Rate Guarantees: Look for a policy with guaranteed level premiums to avoid any rate increases during the coverage term.
  • Policy Riders: Consider adding policy riders, such as accidental death and dismemberment coverage, to enhance your coverage.


It is important to shop around and compare quotes from multiple insurance providers to find the best coverage for your needs and budget. Get a FREE Quote.


Term Life Insurance with No Medical Exams

Term life insurance with no medical exam is a type of term life insurance policy that does not require a medical exam in order to be approved. Instead, insurance providers typically rely on self-reported information about the policyholder's health and lifestyle in order to determine their risk and set the premium.


Some advantages of term life insurance with no medical exam include:


  • Speed: Approval for coverage can often be obtained more quickly, as the medical exam process can be time-consuming.
  • Convenience: There is no need to schedule a medical exam or undergo any invasive tests, making the process more convenient.
  • Eligibility: Term life insurance with no medical exam may be a good option for individuals who have health conditions that make it difficult to obtain traditional life insurance coverage.
  • Cost: In some cases, term life insurance with no medical exam may be less expensive than traditional life insurance, although this is not always the case.


However, it is important to keep in mind that term life insurance with no medical exam may have some limitations. For example, coverage may be limited, and the premium may be higher compared to traditional life insurance.


It is recommended to compare quotes from multiple insurance providers and consult with a licensed insurance professional to determine if term life insurance with no medical exam is the right choice for you. Request your term life insurance no medical exam quote.


Top 5 Term Life Insurance Companies

It can be difficult to identify the "Top" 5 term life insurance companies as the best company for one person may not be the best for another, depending on individual needs and circumstances.


However, here are five insurance companies that are commonly considered to be among the best in the industry:


  1. Northwestern Mutual: Northwestern Mutual is widely regarded as one of the best life insurance companies in the United States. It has a strong financial rating and offers a variety of life insurance products, including term life insurance.
  2. Prudential: Prudential is another highly regarded insurance company, with a long history and a strong reputation. The company offers a range of life insurance options, including term life insurance.
  3. New York Life: New York Life is another well-established insurance company that is widely considered to be one of the best in the industry. It offers a range of life insurance products, including term life insurance, and has a strong financial rating.
  4. State Farm: State Farm is a large, well-known insurance company that is particularly well-regarded for its customer service. The company offers a range of life insurance products, including term life insurance, and has a strong financial rating.
  5. MetLife: MetLife is a large, well-established insurance company that offers a range of life insurance products, including term life insurance. The company is known for its competitive prices and strong financial stability.


It is important to note that these companies are just a few of the many insurance companies offering term life insurance policies, and that the best company for you will depend on your specific needs and circumstances.


It is always a good idea to compare quotes from several companies and to choose the one that best meets your needs and budget.


How Rates are Determined for Term Life Insurance

Term life insurance rates are determined based on several factors including:


  1. Age: Younger people generally pay lower rates than older individuals.
  2. Health: Individuals in good health are considered lower risk and may pay lower rates.
  3. Smoking Status: Smokers pay higher rates than non-smokers.
  4. Coverage Amount: The amount of coverage you want will impact your rate.
  5. Term Length: The length of the coverage term can impact the rate, with longer terms generally costing more.
  6. Occupation and Hobbies: Certain occupations or hobbies, such as piloting an aircraft, may increase your risk and result in higher rates.
  7. Gender: In general, women pay lower rates than men.
  8. Location: Where you live can also impact your rate, as certain areas may have higher risks, such as those prone to natural disasters.
  9. Family Health History: A family history of certain health conditions may increase your risk and result in higher rates.
  10. Lifestyle: Certain lifestyle choices, such as excessive alcohol consumption or dangerous hobbies, may increase your risk and result in higher rates.
  11. Coverage Type: Different types of coverage, such as renewable or convertible policies, can impact your rate.
  12. Insurance Provider: Different insurance companies may have different underwriting guidelines, which can result in different rates for the same individual.
  13. Policy Riders: Adding policy riders, such as accidental death and dismemberment coverage, can increase your rate.
  14. Payment Frequency: Your choice of paying monthly, quarterly, or annually can impact your rate.
  15. Financial History: A good financial history, including a good credit score, can result in lower rates.
  16. Group Coverage: Purchasing group life insurance through an employer can result in lower rates than individual policies.
  17. Medical Exam: Some insurance providers may require a medical exam, and your results can impact your rate.
  18. Age and Gender of Spouse: If you are buying a joint life insurance policy, the age and gender of your spouse can impact your rate.
  19. Coverage Goals: Your coverage goals, such as the amount of coverage needed and the length of the coverage term, can impact your rate.
  20. Pre-Existing Conditions: Pre-existing medical conditions, such as diabetes or heart disease, can result in higher rates or exclusions in coverage.
  21. Medications: Certain medications can increase your risk and result in higher rates.
  22. High-Risk Activities: Engaging in high-risk activities, such as skydiving or rock climbing, can increase your risk and result in higher rates.
  23. Driving Record: A history of driving violations or accidents can increase your risk and result in higher rates.
  24. Income: Your income and occupation can impact your rate, as individuals with higher income or certain occupations may be considered higher risk.
  25. Marital Status: Being married can result in lower rates, as insurance providers may consider married individuals to be a lower risk.
  26. Number of Dependents: The number of dependents you have can impact your rate, as insurance providers may consider individuals with more dependents to be higher risk.
  27. Policy Type: The type of policy you choose, such as a traditional term life policy or a return of premium policy, can impact your rate.
  28. Insurance Company Financial Strength: The financial strength and stability of the insurance company you choose can impact your rate, as insurance providers with strong financial standing may offer lower rates.
  29. State Regulations: State insurance regulations can impact your rate, as some states may have stricter regulations that result in higher rates.


It is important to consider all of these factors when shopping for term life insurance to get an accurate estimate of your potential rate. Additionally, some insurers may also offer discounts for things like good health habits or a non-smoker status.


Insurance companies use these factors to determine the likelihood of death during the coverage term and set rates accordingly. It's important to keep in mind that rates can vary significantly between different insurance providers, so it is recommended to compare quotes from multiple providers before purchasing a policy.


How to Save Money on Term Life Insurance

Here are some ways to save money on term life insurance:


  1. Compare Quotes: Shop around and compare quotes from different insurance companies to find the best rate for the coverage you need.
  2. Choose a Longer Term: Choosing a longer term for your term life insurance policy can help lower your premiums, as the longer the term, the lower the risk to the insurance company.
  3. Maintain Good Health: Maintaining good health can help lower your premiums, as insurance companies often use health as a factor in determining the premium.
  4. Avoid Tobacco Use: Tobacco use can increase your premiums, so quitting or avoiding tobacco use can help lower your premiums.
  5. Increase Your Deductible: Increasing your deductible, or the amount you pay before the insurance company starts covering the costs, can help lower your premiums.
  6. Bundle Policies: Bundling your term life insurance policy with other insurance policies, such as car insurance or homeowners insurance, can help lower your overall insurance costs.
  7. Buy Early: Buying term life insurance when you are younger and in good health can help lower your premiums, as insurance companies use age and health as factors in determining the premium.


It is important to keep in mind that the cost of term life insurance can vary depending on many factors, including the policyholder's age, health, and the amount of coverage.


By comparing quotes and considering the options, you can find the best policy for your needs at a price that fits your budget.

Tips for Comparing Term Life Insurance Quotes

Here are some Steps to Compare Term Life Insurance Quotes:


  1. Determine Your Coverage Needs: Decide how much coverage you need and what features are important to you, such as the term length and whether you want a policy with a conversion option.
  2. Gather Information: Gather information about your age, health, and other relevant personal information that insurance companies will use to determine your premium.
  3. Shop Around: Compare quotes from multiple insurance companies, either online or through a financial advisor.
  4. Compare Benefits: Compare the death benefit, term length, and premium of each policy, and make sure the policy meets your coverage needs.
  5. Read the Fine Print: Review the policy details and exclusions carefully to make sure you understand what is covered and what is not.
  6. Consider the Insurance Company: Consider the financial stability and reputation of the insurance company, as well as the customer service and claims process.
  7. Make a Decision: Choose the policy that offers the best combination of coverage, price, and customer service, and purchase the policy that best meets your needs.


It is important to keep in mind that term life insurance quotes can vary widely depending on many factors, including the policyholder's age, health, and the amount of coverage. By comparing quotes and considering the options, you can find the best policy for your needs at a price that fits your budget.


What are Term Life Insurance Quotes?


Term life insurance quotes are estimates of the cost of a term life insurance policy, based on a potential policyholder's personal and financial information.


Insurance companies use this information to determine the likelihood that a policyholder will die during the term of the policy, and to set the premium accordingly. The quote will include an estimated monthly or annual premium, as well as the amount of death benefit that would be paid in the event of the policyholder's death.


To obtain a quote, a potential policyholder will typically provide information about their age, health, and lifestyle, as well as their coverage needs. This information is used to determine the risk the insurance company would be taking on if they issued a policy, and to calculate the premium accordingly.


It is important to keep in mind that term life insurance quotes are only estimates, and the actual cost of a policy may vary based on a number of factors, including changes in the policyholder's health, lifestyle, or coverage needs. To get an accurate quote, it is important to provide accurate and up-to-date information when obtaining a quote.


Term Life Insurance Quotes

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