Term Life Insurance is the most popular type of life insurance policies available today. The main reason for this is because it is cheaper than whole life insurance. However, you need to understand what a term life insurance means and offer for you.
This type of life insurance policy is valid only for the time you ahve taken the policy and it doesn’t acrrue any cash value over time. In simpler words, if you take a term life insurance for ten years and you are still alive(thaks god0 after this period of time, your policy ends and you don’t receive any kind of money back. But, if something happens to you than they will pay your money to cover your debts, off course.
As you can see term life insuarnce is more appropriate for people whose assets don’t cover their debts. The most common debts are mortgage payments, student fees, estate taxes and other liabillities which in case of your death your familly will have a hard time to pay them back by themselves. It kind of protects the roof over their heads in case something goes wrong. Most of this kinds of policy is suitable for young persons with a familly.
This type of life insurance covers the maximum for your money. They offer the most affordable life insurance against death beefits, it is a very simple type of policy, it is very easy to find different life insurance quotes between different providers due to its simplicity and can be convertible and renewed. For example, you can covert it in a whole life isurance policy or simply renoew it at the end of the policy.
You can look for something called “waiver of premiums” which offer you the option of halting your payments for a period when you can not afford to pay the rates. Yet, this it comes usually with an extra charge for you.
Many poeple believe that they are not suitable for short life insurance because they have a poor health, especially those with chronic diseases such as diabetes, cancer, HIV, etc. This is simply not true. You just have to make more reasearch and find companies which offer cheaper life insurance covers for those type of customers.
