WHAT IT IS
Coverage for a set period of time
Term life insurance covers you for a specific number of years. If you pass away during the term, your beneficiaries receive a lump-sum death benefit.
If the term ends while you're living, coverage stops unless you renew or convert it to permanent coverage, if your policy allows.
CHOOSING A TERM
Common term lengths
Pick a length that matches how long your family would need the financial support.
10
10-year term
Often used to cover a shorter obligation, such as the last years of a mortgage or a loan.
20
20-year term
A popular middle ground for families with children at home or several years left on a mortgage.
30
30-year term
Longer protection, often chosen by younger families or people with a new mortgage.
THE DETAILS
Benefits and limitations
Good coverage decisions start with the full picture.
Benefits
✓ Usually the most affordable way to get a larger amount of coverage
✓ Level premiums for the length of the term on most policies
✓ Simple and easy to understand
✓ Some policies can be converted to permanent coverage
Limitations
– Coverage ends when the term ends
– Premiums are higher if you renew at an older age
– Term policies do not build cash value
– Health questions or a medical exam may be required, depending on the carrier and amount
Life Saver Credit is not an insurance company and does not issue policies. Coverage is provided by licensed insurance carriers and offered through licensed agents. Availability, eligibility and rates vary by state, age and health. Quotes are not guaranteed until the carrier approves your application.