Term Life Explained
Term Life Insurance Gives You Affordable Protection For Your Family
Your loved ones depend on you, and if you were gone, term life insurance can help you to continue providing financial protection and security for your family. While it may be difficult to think about, term life insurance can help provide you with peace of mind because it can help provide an income that can cover expenses like housing, childcare and groceries.
Talk to a Campbell Agency representative to learn more about the two types of term life insurance we offer:
Allstate's Basic Term Life Insurance Policy
- Can cover you for 15 years
- While it doesn't require a medical exam, coverage and the cost of your monthly payments will depend on your answers to a health questionnaire
- Choose from coverage benefit amounts of $50,000, $100,000 or $150,000
Allstate's TrueFit® Term Life Insurance
- Choose a coverage time period between 10 and 30 years
- Offers customized coverage that can be layered to address the unique needs of your family
What's The Difference Between Term Life and Permanent Life?
There are many options to consider when purchasing a life insurance policy. Understanding the following differences between term life insurance and permanent life insurance can help you make an informed decision:
- Term life insurance offers protection for a finite period of time (10 to 30 years), and permanent life insurance policies offer lifetime protection.
- Permanent life insurance builds cash value and term life insurance does not. A Campbell Agency representative can help you understand the difference between different types of life insurance and answer questions to help you decide what's right for your family.
Get To Know Term Life Insurance
Understanding the fundamentals of term life insurance can help you make more informed decisions about what your family will need. Taking a little time to learn now can help you protect your family in the future. The terms below can help you get to know more about term life insurance:
- What does it cost? Term life insurance is often the most affordable type of life insurance. Your monthly payment is mostly based upon personal health history, age, term and amount of coverage.
- How long is the term? Your policy's "term" is the set amount of time you have life insurance coverage at the same premium level. Typically, a term life insurance policy's term ranges from 10 to 30 years.
- What is term coverage? This is the payment amount your beneficiary will receive if you pass away while the policy is active. Your beneficiary can use this payment to help with housing and childcare costs or other expenses. Typically, this payment is tax exempt.
A term life insurance policy can often be renewed, or you can purchase a new policy, at the end of its term. You can convert your term life insurance to a permanent life insurance policy without needing a medical exam prior to the end of the conversion period.
Keep in mind that the longer you wait to convert your policy from term to permanent, the more expensive it may be. Because you become more expensive to insure as you age, if you purchase a policy in your twenties, your monthly premium will most likely be lower than those who purchase a policy in their fifties.
There are a variety of options available to help you customize your term life policy to fit your specific needs. Talk to an Campbell Agency representative to learn more.
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