Term life insurance is essentially the most affordable type of life insurance policy that offers guaranteed level premiums for a set initial period. Depending on your age and health, you can choose from traditional qualifying options or No-Medical exam needed policies. Term insurance is used for common financial obligations such as:
• Protecting a mortgage
• Replacing lost income
• Divorce Decree/Settlement
• SBA Loan agreement
• Replacing expensive Group Life Insurance
• Replacing a Military SGLI policy
• Policy to cover children until they graduate
There are many additional reasons why people choose Term life. Life Exchange Insurance Services will take the time to understand your specific reason for needing coverage and then make the appropriate recommendations.
The most common guarantee periods are:
• 10 years
Your current age and health will dictate how long you can guarantee your premiums. Recently, one of our top carriers released a 35-year guarantee period!
Keep in mind, Term Life does not build cash value. It is simply the least expensive way to qualify for the most amount of coverage needed. Also, almost all term policies are convertible to permanent converge and guaranteed renewable (age depends on carrier). This means that you have the peace of mind knowing that regardless of your future health, you can convert to a smaller, permanent policy when you are older and if you need the coverage beyond the initial guarantee period the insurance company will allow you to keep the policy active, although at much higher premiums. Talk with your agent to discuss these specific policy features.