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What is life insurance term length


A term life insurance policy is the simplest, purest form of life insurance: You pay a premium for a period of time – typically between 10 and 30 years – and if you die during that time a cash benefit is paid to your family (or anyone else you name as your beneficiary).

What is the best length for term life insurance?

20-year term life insurance: A 20-year term life insurance policy is the most popular term length option, and is great for parents or single income families. 30-year term life insurance: A 30-year term life insurance policy is ideal for people with long term financial obligations like a mortgage or college debt.

What happens after 15 year term life insurance?

What Happens After the 15-Year Term? When you reach the end of the 15-year term, your life insurance policy will expire. However, before it expires, you can either extend it, convert it into a permanent life policy, let it expire or buy a different one.

What happens to a 10 year term life insurance policy after 10 years?

A 10-year term life insurance policy provides guaranteed insurance for a decade. During this time, the insured's premium remains the same. After 10 years, the policy expires. That means you will no longer have coverage.

What is a term life insurance and how does it work?

A term life policy is a contract between you and an insurance company for a defined period, typically between 10 and 30 years. During that term, you promise to pay a premium each month. In return, the company promises to pay a specific amount of money – a death benefit – if you pass away during the term.