What Is Term Life Insurance?
Term life insurance is a simple policy that will protect an individuals family financially in the event of their death. It provides the same amount of protection that a standard whole life policy will only it is structured differently.
In a term policy the policy holder is only insured for a predetermined amount of time then the policy will expire. The length of time that you are insured for is called the term. So a ten year term policy would give you coverage for ten years and not one day longer.
A term life insurance policy carries much lower monthly premiums then a whole life policy does and you can actually get more coverage with term for less money. The reason the rates are so low is that you are basically betting on the fact you may die within your term and the insurance company is betting you will not.
There is also no cash value for a policy of this type so if you do not pass on the insurance company keeps 100% of your paid premium and you will receive nothing.
And statistically more people with term life insurance wind up not needing the coverage so the insurance companies gain more in the end.
Term life insurance is just one Type Of Life Insurance that may or may not be right for your situation. You can learn more about term life and the other forms of life insurance at http://www.lifeinsurancestuff.com
Darin_Sewell
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Tags: life insurance, term life insurance