What is Term Life Insurance?
If you’ve been researching financial protection for your family, you’re probably wondering what term life insurance is all about. A term life policy covers you for a specific amount of time, anywhere from 10 to 30 years.
Term life Insurance differs from a whole life insurance policy in that it does not last for your “whole” life and does not build cash value. Because of this, term life premium rates are lower.
So how does term life insurance work and when is it the best solution for you?
Choosing the Duration of Your Term
The great thing about this type of policy is that you get the flexibility to choose how long you’ll want coverage.
If you have dependents, you’ll want to select a term length that ensures they’re taken care of, even if you’re no longer here. Have a young family? A 20-year policy can cover the kids until they reach adulthood. Do you care for aging parents? A shorter-term policy, such as 10 years, may be a better fit. Whatever your situation, Gerber Life is here to work with you to customize a plan to meet your needs.
Calculating Coverage Needs
The amount of coverage you select is the amount of payout money that your beneficiary will receive in the event of your passing. Not sure how to determine that amount?
For a ballpark figure, calculate the amount of money your dependents would need to be financially secure without you (include coverage for any debts you have, such as mortgage, other loans, and other bills). Then subtract what can be covered by the survivor’s income. The difference between that income and the expenses that need to be paid is a great starting point to finding a policy that aligns with your family’s needs.
Determining Premium Rate
Your fixed monthly payment is determined by factors that include your age, gender, health, and where you live, among others. The length of your term life insurance policy will also impact your premium. For the same coverage amount, a 10-year term policy will cost less than a 30-year policy.
Remember, premiums often are at their lowest cost when you’re young and healthy. Apply now – and you could save money over the duration of your policy.
Securing Coverage the Easy Way
If term life insurance sounds like a smart fit for your family and their future, we can customize a quote for you. Questions? We’re here to answer them. Just give us a call at 1-866-503-4480.
Apply online today, secure a custom term life policy, and get back to enjoying life with your loved ones.
