When To Buy Term Life Insurance?

You can buy a Term Life Insurance policy at almost any age.

It is more difficult to find Term life policies that cover children and the aged, because permanent life insurance policies are the preferred type of coverage for those age groups.

For people age 20-80, you can buy Term Life Insurance whenever the need arises. The younger you are, the less it cost you, all other things being equal.

However, the rate will vary based on the type and amount of term life insurance, and how long the term is for your policy.

The "term" of a term life policy is the period of time that the rate is guaranteed to remain the same. If you wish to continue life insurance coverage when the term ends you may be able to renew your term life policy but for a higher rate which is based on your age at the time of renewal.

The most common "term" for term life policies is 10, 15, 20 or 30 years of coverage.

You may want to buy a term life insurance policy as soon as you believe you have a need for life insurance, or even sooner, so you can lock-in the lower rate for your life insurance coverage.

Many people on a budget choose to buy term life insurance; as well as, young families and people with a life insurance need of 30 years or less.

Also, keep in mind, a term life policy may or may not be able to be converted into a permanent life insurance policy. So, if you have a need for lifetime coverage in the future, you might be able to change your term life into a permanent life insurance policy. Check on this when choosing a term life insurance company and ask if the "Option of Convertibility" is available. It may come in handy in the future as your life insurance needs change along with your financial responsibilities.

Here's how you can learn more about how term life insurance works.