What is Term Insurance?
Term life insurance is life insurance that applies only for a specific period of time, or term. This term could be anywhere from one year to as many as 40, and can be an affordable option for healthy adults looking to guarantee their loved ones a stable source of income in the event of their untimely passing. Term life insurance generally retains the same payout and premiums throughout the duration of the term.
Is Term Insurance for Me?
Term insurance is the most affordable kind of life insurance. It is a simple way to prevent hardship for your loved ones in case of your untimely death. Term life insurance policies have a fixed monthly cost, often starting between $35 and $50 per month for a healthy individual in their 30’s. The payout is also fixed; while policy payouts can start as low as $100,000, most policies would be $250,000 to $500,000, though you can purchase more coverage. Term life insurance is good for young families and those unable or unwilling to make the significant financial commitment that a permanent insurance policy comes with.
Renewing Term Insurance
Term life insurance doesn’t necessarily end outright at the end of the originally agreed-upon timeframe. Many policies allow for automatic renewal once the term is near completion, generally with an increase in premiums. If you have term life insurance that’s nearing renewal, it’s a good time to shop around. Serviss wealth can help you negotiate the best premiums for your age and health.
Are you in the process of renewing your term insurance, or looking to purchase life insurance for the first time? We can help you get the best value and most protection for your family.