Term life insurance provides coverage for a specific period of time, or term (for example,10 or 20 years or to a specific age, such as 80).
Because it’s designed to be temporary, most people buy term insurance to cover financial obligations that will disappear over time, such as a mortgage, business debt or the cost of raising children through their college years.
Term insurance is also the most affordable type of insurance. It allows you to get the greatest amount of coverage for the lowest initial premium. And that’s what often makes term insurance a more desirable option for people who are just starting out or who need it only for a defined period of time.
We offer two types of term insurance policies:
- Level premium policies offer protection with payments that remain level for the duration of the term.
- Annually renewable policies guarantee coverage for a set period of time with a premium that resets every year.
Most term policies also contain a conversion period, which allows you to convert to a permanent policy at a later date.
Guarantees are based on the claims-paying ability of the issuing company.