Term Life Insurance Premiums and Policies

Protecting your loved ones financially in the event of your death is simple when you get a term life insurance policy through IntelliQuote®. Term life insurance policies offer a cost-effective way to leave a cash sum to your family if you pass away while the policy is active. Many people choose term life insurance plans to provide coverage for specific expenses that they know will exist over a set amount of time (most commonly 10, 15, 20 or 30 years) such as mortgage payments, education costs, and funeral expenses. Term Life insurance is the most affordable form of life insurance coverage available.

What is term life insurance?

Term life is a type of life insurance policy that guarantees the premium or payment amount for a fixed duration or term. The policy will continue to be in force after the guaranteed level premium term, if premiums continue to be paid; but this is usually at a higher premium than during the guaranteed level premium.Term life insurance is an economical choice for families and individuals to provide coverage for financial exposures over a specific number of years. Term policies allow you the flexibility to only pay for the coverage you need for the length of time you need it.

How does Term Insurance Work?

Term Life Insurance is actually very simple–you pay a set premium in return for a fixed amount of life insurance coverage. If you pass away during the policy term your insurer will pay the coverage amount to the beneficiary named on your plan; as long as premium payments are current. Here is an example: Daisy Smith pays a $25 monthly premium for a policy with a 30-year term and, as a result, secures a $500,000 policy. Daisy passes away 5 years after taking out the policy. The insurer pays the beneficiary of the policy $500,000. One of the most common questions asked about these policies is: "How much is the premium for life insurance?" The simple answer is that insurance premiums vary depending on your health and age. Term life insurance premiums are the most affordable of all life insurance policies available. This means policyholders are able to maximize their coverage benefit. Put simply you’ll be able to afford a higher level of coverage for your budget. The affordability and simplicity of term life insurance make this type of policy the most popular choice among families.

Term life insurance can provide for more than just end of life expenses

Term life insurance policies are often seen as a way to provide coverage for funeral expenses, they actually provide for many other financial needs. Think about the expenses you and your family will have over the next 10 years, this could be mortgage payments, college fees, day-care costs, and other day-to-day living expenses. A term life insurance policy can provide the finances needed to cover these costs and more,should you pass away unexpectedly.

Some of the common uses of a term life insurance payout:

  • Protect your family’s standard of living with income replacement
  • Pay off debts such as a mortgage, credit cards, etc.
  • Pay for children’s college education
  • Key person or buy/sell agreements for a business
  • Divorce settlement
  • Pay for final expenses including medical costs

Who can buy Term Life Insurance?

There are only a few restrictions that prevent people from buying Term Life insurance. If you haven’t been diagnosed with any life threatening health conditions and are 80 or younger you should be able to purchase a Term Life insurance policy. To find out if you’re eligible for coverage you can use our online quote tool to request quotes from many of the best highest-rated life insurance companies in the US.