Term Life Insurance

Term life insurance is a straightforward, cost-effective option for protecting your family’s financial future. It is meant to provide reassurance and help keep your loved ones financially stable in case of your unexpected death.

What Is Term Life Insurance?

Term life insurance is a type of life insurance policy that can provide coverage for a specified period, or “term.” If the insured dies during this term, the policy may pay out a death benefit to the designated beneficiaries. It’s a pure financial protection plan without an investment component, making it a simple and affordable way to secure your family’s financial needs.

How Does Term Life Insurance Work?

A term life insurance policy works similarly to your other insurance policies. You pay premiums to an insurer, typically monthly or annually, and in return, the insurer may provide a death benefit if you die within the policy’s term. Many insurance companies offer terms ranging from 10 to 30 years, with level premiums (fixed monthly payments) throughout the duration. If you outlive the policy, coverage ends unless you renew it or convert it to a permanent plan; however, these options aren’t always available.

Why Should I Choose Term Life Insurance?

Term life insurance is generally the most affordable option for life insurance. It’s ideal for those looking to cover specific financial responsibilities, such as the following:

• Mortgage

• Children’s education

• Debts that might burden your family (e.g., car loans, credit card debts)

With term life insurance, you don’t pay for an investment feature, which keeps the premiums lower than for permanent life insurance policies.

Learn More

Find out how term life insurance can fit into your financial plan. Speak with a licensed insurance agent by calling Active Insurance Agency today or contacting us online.