The short answer, yes.

It’s affordable.  It’s customizable.  It’s easy to understand.

What is term life insurance?

Term life insurance is a type of life insurance that allows you to have coverage for a specific period of time (that’s why it’s called term).  That period of time could be one year, 10 years, 20 years or even 30 years.  If you die during that term, your beneficiaries receive a payout (known as the death benefit).  If you die after the term, there is no death benefit. You choose your beneficiaries.  It can be your spouse, parents, other family members, your favorite charity, etc.  The purpose of life insurance is to provide financial protection for those you leave behind.  If you have people that depend on you financially, then you have a need for life insurance.

Why choose a term life insurance policy?

Term insurance is affordable.

Term life insurance is much more affordable than types of life insurance because it is temporary.  It’s even more affordable when you buy your policy when you’re young and healthy.  As you age, you may have more health concerns, which can raise the premiums.

Example:  Susie Sunshine is a healthy non-smoking 30 year-old.  She can buy a 20-year, $500,000 term life policy for $20 per month.  If she dies anytime during that 20-year time frame, her beneficiaries will receive $500,000.

You choose the length of the term.

You can customize the length of the term to fit your unique needs.  The most common type of coverage is called level-premium term life; this type of policy allows you to lock in a specific rate for the entire length of the term.

Not everyone’s needs are the same when it comes to protecting their loved ones with life insurance.  You need to consider your debts, household expenses, your children, future college expenses, etc. when you are deciding the amount of coverage and length of term you need.

Example:  If you have young children, you want to choose a term length with them in mind.  In this case, a 20 or 25-year term policy would provide support to them if you were to die.  Raising children is very expensive and college tuition isn’t going down anytime soon.

Many term policies offer the flexibility to convert to a permanent life insurance policy (whole life insurance) during your term regardless of your current health situation.  This is a great option to have in the event you have life changes and you think a permanent policy would fit your situation better.  Be sure to check when your term policy’s conversion expiration date is.  Some carriers only allow conversions within the first few years while other carriers will allow it any point during the policy’s duration.  We cover more about how term conversions work in another blog post.

Term life policies are easy to understand.

The simplicity of a term policy is another advantage.  You purchase the term policy in the length you want.  If you die during that term, your beneficiaries receive the death benefit.  If you don’t die during that term, then there is no payout.  When the term ends, the policy ends and you no longer pay a premium.  Simple.

Term life policies can be conveniently purchased online on your own time.

These days consumers love convenience.  We shop for everything online (thanks, Amazon).  We can window shop, compare prices and make decisions when we are ready to do so.  Here at Quotacy, we offer you just that; the convenience of shopping for term life insurance online, at your own pace (even in your pajamas).  With our easy-to-use and, dare we say it, fun quoting tool you can see how much life insurance would cost you.  We work with multiple insurance carriers to make sure you get the best price for your situation.  Give it a try and see how easy it is to offer your loved ones the financial protection they deserve.


Photo credit to: Anna Tsimpidi


Related Posts:

How Does Quotacy Find You the Best Priced Term Life Insurance?

10 Things Not to Do When Choosing Your Life Insurance Policy Beneficiaries

How Much Life Insurance Coverage Do You Need?

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