If you are considering the purchase of a term life insurance policy, you may be wondering what happens if you do not pass away during the policy term of your term life coverage.
It’s an important question, and something you should definitely be aware of prior to buying term insurance.
If you die during the term, a death benefit is paid out to the beneficiary of your life insurance policy.
If you don't die during the term, the policy terminates at the end of the policy term.
If you outlive the duration of your term life insurance policy there is no payout of any benefits, your coverage ends.
Term life insurance lasts for a Policy Term of up to 30 years. The most common options are 10, 15, 20, 25 or 30 years of coverage.
Term policies are a great choice if you are concerned about your family having to pay off large debts (think mortgage loans, auto loans or credit card debt) if you die unexpectedly.
Term life is the cheapest type of life insurance because it provides temporary coverage, builds no cash value inside the policy, and you may outlive the duration of your coverage.
However, if you need life insurance protection for a period of thirty years or less, term life will help you accomplish your goals, and fit your budget, at a more affordable price than other types of life insurance plans.
What Happens If You Don't Die During Term Life Insurance?
Disclosure: Compensated Affiliate