In a nutshell, term life insurance is insurance that covers you for a specific length of time, or term. Say that you buy a 25 year term insurance policy; you can only collect on it, or rather your beneficiary can only collect on it if you should die with in the 25 year term of the policy. It is the most affordable and the easiest type of life insurance to get. Seniors are burning up the phone lines calling for term life insurance quotes.
How Much Term Life Insurance Do I Need?
Determining how much term insurance isn’t too difficult to figure out. Basically you would buy the same amount of term life insurance as you would any other form of life insurance coverage. The thing to think about is the term of the policy.
Which Term is advisable?
Most older Americans opt for term life insurance because it is so much more affordable than other existing forms. Many are not afraid that they will out live the term of the policy and do not have to take a physical exam to get it. For example; if you are 30 years old, a 25 year term policy would not be the best option; however, if you are 65, it would be a better option, because at 30 years of age, you are more likely to live longer than the 25 year term and at 65, you are less likely to live past the term.
If you live past the term of the your insurance, the policy is no longer any good when you do die. The term will have expired. Most insurance companies advertise no medical exam and low rates. Seniors who want to get insurance amd live a comfortable life, may opt for term insurance just so as not to be a burden on their family’s financial future once they’ve passed.
Term life insurance is not an investment vehicle as are other types of life insurance policies.
How to make a choice
Ask yourself these questions:
- How old am I?
- What is the state of my health?
- What is my family health history?
- How long do I intend to live?
- Is term life insurance the right product for my/my family’s needs?
- What is my goal for this insurance?
First determine what you want your life insurance policy to do.
- Pay for funeral expenses
- Pay for outstanding debts
- Cash pay out to survivors
- Income for survivors
If all your goal is is to pay for final expenses, start small, with say $10,000 worth of insurance. If you have bigger goals than that, you’ll need more. It is best to get life insurance quotes online i.e. with our form above and then to consult with a professional before making any decisions.