Term Life Insurance

A term life insurance policy covers a policyholder for a pre-defined period of time. I.e. 10 or 20 years (Term 10, Term 20). This is pure insurance without a cash accumulation or savings component. Term insurance works in the most straight-forward way, if the policyholder dies during the term, their beneficiaries get paid out the covered amount.

Term insurance solution’s are beneficial when:

• You need protection for a pre-defined period i.e. paying off a mortgage or a loan.

• You want to make sure you have coverage for young, dependent children.

• You need to budget life insurance premiums.

• You prefer to invest in options that cannot be included within your insurance plan. I.e. stocks, REIT’s, real estate investments.

• You have no interest in leveraging the cash value accumulation component of a permanent life insurance.

Typically, term life insurance costs are lower than permanent life insurance, whether that is permanent term life, universal life or whole life insurance plan options.

Please note, as premiums are always based on the age at the time you apply, you could be looking at higher premiums to continue life insurance coverage after a short term plan is completed. Permanent life insurance plans may have a higher cost at the beginning, however they typically stay the same over the course of your life.