Premium for a Term Life Insurance Policy

What is the premium on a term life insurance policy?

The premium, which is the price you pay on a regular basis for your life insurance, depends on several factors including the amount of insurance you need and the rate charged per $1,000 of coverage.

Your rate for life insurance is based on several factors including your age, gender, health, occupation, hobbies, lifestyle, tobacco use, driving record, and height-to-weight ratio, among other things.

The healthier and younger you are when you purchase your life insurance, the lower your rate for coverage.

Here's how to learn more about premiums for term life insurance policies.

Can I Buy More Than One Term Life Insurance Policy?

Yes, life insurance carriers may allow you to own more than one term life policy.

Over time your need for life insurance may grow, and life insurers understand that one life insurance policy may not provide for all of your financial security needs for your family.

Since term life insurance offers coverage for 10, 15, 20 or 30 years, owning more than one policy can provide you with the protection you need for various lengths of time.

To learn more, here's an article for further review - "Can I Buy More Than One Term Life Insurance Policy?"

Term Life Insurance Policy Quotes

What are term life insurance policy quotes?

Term life quotes are indication of the cost for you to purchase term life insurance coverage for a specific period of time, which is the "term" of your policy.

How can I get term life policy quotes?

You can visit a life insurance website online, most offer term life quote comparisons from a network of leading life insurance carriers.

You just answer some basic questions about your life insurance needs, click on a button, and instantly receive your quotes for term life insurance.

The term life quotes are based on your gender, age, health, amount of coverage, length of term and some other key factors.

By comparing term life insurance policy quotes from several insurers you may save hundreds of dollars per year on the cost of your life insurance policy.

Term Life Insurance Policy Features

What are the features of a term life insurance policy?

There are several common features of term life insurance policies, including the duration of your policy, and the options of convertibility and renewability.

The most common features of term life insurance include:

1. Term of Policy - the length of time you have life insurance coverage.
2. Term Options - Choose term life coverage for a period of 10, 15, 20 or 30 years with most term plans.
3. Level Premiums - Level term life insurance has premiums that stay the same each year for the entire duration of your term life policy.

Here are some more common features of term life insurance

What is a Life Insurance Policy?

A life insurance policy is an agreement between the insurance company and the insured person who owns the life insurance policy.

The insurance company agrees to pay out a death benefit upon your death, to the person you choose to receive the money (your beneficiary), and in return, you agree to pay a regular premium payment to the insurance company for the life insurance coverage.

Many people choose to buy life insurance as a way to replace their income for their family in case they die.

For instance, a father who works to provide for his family may purchase life insurance to leave to his wife in case he dies while the children are young and still at home. The money from the life insurance policy usually goes to your beneficiary free from any federal income tax. And, your beneficiary can use the money for any reason, which may include to pay the monthly bills, pay for your funeral, pay off the home mortgage, or provide for your child's education, among other things.

Find out why term life insurance is the most affordable type of life insurance.

Is Term Life Insurance a Good Idea?

Whether or not term life insurance is a good idea depends on your own personal situation and life insurance needs.

What do you want your term life insurance policy to accomplish?

Term life insurance provides temporary protection for up to 30 years. Most term life plans allow you to choose coverage for a period of 10, 15, 20 or 30 years when you purchase your policy.

Since term life costs a lot less than any other type of life insurance you can get a lot more life insurance for your money. However, the longest term available is 30 years.

So, if you need life insurance for 30 years or less, then term life may be a good idea. Remember, if you outlive the "term" of your term life policy, your life insurance coverage expires.

Click here to learn more about term life insurance

What "Term" Lengths are Available for a Term Life Insurance Policy?

I want to purchase term life insurance, but how long does a term policy last, and what are my options?

There are several options available for the length of time you can get coverage with a term life insurance policy.

Usually, a life insurance company will offer term life insurance for a term of 5, 10, 15, 20 or 30 years of protection.

And, when the "term" of your policy ends, you may be able to "renew" your coverage for another term, which is usually 1, 5 or 10 years, at a higher rate based on your age at that time.

However, the maximum length of term available will depend on your age. For instance, someone age 70 may only be able to get term life insurance for a term of up to 20 years, usually.

Level term life insurance is the most common type of term insurance plan available, and it offers guaranteed level premiums for the duration of your term, while the amount of life insurance coverage provided stays level, too.