Term Life Insurance
Affordable, straightforward coverage that protects your family for a specific period. The most popular and cost-effective life insurance option.
What is Term Life Insurance?
Term life insurance provides coverage for a specific period (term) of 10, 15, 20, or 30 years. If you die during the term, your beneficiaries receive a death benefit. If the term expires while you're alive, the coverage ends (though you may be able to renew or convert it).
Term life is the most affordable type of life insurance because it provides pure death benefit protection without any cash value or investment component.
How Term Life Insurance Works
1. Choose Your Term Length
Select a term that covers your financial obligations: 10, 15, 20, or 30 years. Most people choose 20-30 years to cover mortgage and children's expenses.
2. Determine Coverage Amount
Choose a death benefit (typically $250,000-$1,000,000+) based on your income, debts, and family's future needs.
3. Pay Fixed Premiums
Your premium stays the same for the entire term. It never increases during the coverage period.
4. Protection During Term
If you pass away during the term, your beneficiaries receive the full death benefit tax-free.
Who Needs Term Life Insurance?
Young Families
Protect children and spouse affordably
Homeowners with Mortgage
Cover mortgage debt if you pass away
Primary Breadwinners
Replace income for dependents
Business Owners
Cover business loans and obligations
Advantages of Term Life
Most Affordable
10-15 times cheaper than whole life for the same death benefit amount
Straightforward Coverage
Simple to understand with no complex investment components
High Coverage Amounts
Get $500,000-$1,000,000+ in coverage for affordable premiums
Flexible Terms
Choose term length to match your specific needs and timeline
Disadvantages to Consider
- • Coverage expires after the term ends
- • No cash value accumulation or investment component
- • Renewal after term can be very expensive (based on new age)
- • If you outlive the term, you get nothing back
Popular Term Lengths
20-Year Term (Most Popular)
Ideal for: Covering children until adulthood, mortgage protection
Example: $500,000 coverage = $25-35/month (age 35)
30-Year Term
Ideal for: Young parents, long-term mortgage
Example: $500,000 coverage = $30-45/month (age 35)
10-Year Term
Ideal for: Short-term debt coverage, business loans
Example: $500,000 coverage = $15-20/month (age 35)
15-Year Term
Ideal for: Mid-range protection needs
Example: $500,000 coverage = $20-28/month (age 35)
Conversion Options
Important Feature: Many term policies include a conversion option that allows you to convert to permanent life insurance (whole life or universal life) without a medical exam.
This is valuable if your health declines and you want coverage beyond the original term. Conversion is typically available during the first 10-20 years of the policy.
Average Cost
20-Year Term ($500,000 Coverage)
$25-70/month
Varies by age, health, and coverage amount
Age 25
$18-25/month
Age 35
$25-35/month
Age 45
$50-70/month
Age 55
$140-200/month
What coverage level do you need?
Choose the protection that matches your requirements