Regional Marketing Director, Capital Choice Financial Group,
A 10 year life level term life insurance policy gives the individual 10 years of protection with the premium remaining the same for those years. At the end of the period if you feel you still need coverage then it can be renewed for another 10 years with either the same face amount or a lesser face amount. The premium, of course would be higher for the second 10 years. Most of the term insurance that I write is for 20 to 30 years, the average being 20 years. But, if it is a budgetary issue then I will write a 10 year or a 15 year at the needed face amount in lieu of cutting the face amount.
Pure Term Life insurance has premiums that increase every year as you get older. Most people don't like a premium that goes up every year so they decide how long they need the insurance and level out the premiums by buying level premium term.
When you do this you are paying extra in the earlier years in order to level out the premium in the later years of your level premium period. That is why 1-year term is much cheaper than 20-year term.
When you buy term life insurance, you should determine how long you want the premium to be level and buy it for that length. For instance if your mortgage is paid off in 18-more years, you should buy a 20-year level term policy if the mortgage payoff is the reason for the insurance.
Agent Owner, Gilmore Insurance Services, Marysville, Washington State
What does a ten year level premium life insurance policy mean? It means that for the first 10 years (or 15,20,25 or 30 years) the premium charged will remain the same guaranteed for the amount of time stated. After that, most level term policies can be continued out to age 90 or 95 depending on the company. The premium after the level period howver, becomes annual increasing premium term.
As the name suggest 10 year level term is a policy that provides level coverage for a level premium for 10 years. In many cases it renewable at a higher premium for a further 10 years. This type of policy usually expires at a given age for example 85.
In many cases the policy is convertible to a level premium permanent insurance policy.
If you have further questions, or feel that I could be of assistance, please do not hesitate to contact me.
If you would like to work with a local life insurance broker, you could start with a Google search. For example, if you search for: life insurance broker Halifax or life insurance agent Halifax, my name, along with several others, will come up. You can use the same method to find a life insurance broker in your community.
10 year level term life insurance is simply a life insurance policy which provides coverage for 10 years. After 10 years the guarantee goes away and the premium WILL go up. I always like to ask why are you interested in 10 years unless you are in your 60's. Most people will look at 20 years of lever term coverage.
Business Development Officer, T.D. McNeil Insurance Services, Fresno, California
A ten year term policy provides a level death benefit in exchange for a level premium for ten years. Some of these policies are renewable but at a considerably higher premium. Few of these policies result in a death claim, most expire and disappear. They provide appropriate coverage when the obligation they are designed to meet lasts ten years.
Co-Founder, TermInsuranceBrokers.com, Goldenzweig Financial Group, Las Vegas, Nevada
A 10-year term life insurance policy is a level benefit term life insurance policy that states that the premiums will remain fixed and guaranteed for 10 years.
Term life insurance guarantees the premiums will remain fixed for a specific number of years (10, 15, 20, 25, or 30 years). After the initial period of premium guarantee expires (the term period), the policy will be annually renewable and premiums will increase each year (based on age).
10-year term policies seem like a great deal because they typically offer the lowest possible premiums for a given amount of coverage. One of the main reasons to buy longer is to protect your insurability and pay a small amount for a longer time instead of securing a new policy when you're 10 years older and your health has changed. Creating a combination of benefits can often be a great idea (e.g. having part term and part permanent coverage or having part 10 year term, part 20 year term, etc.)
Please let me know if I can be of further assistance. Thanks very much.
This refers to a term life insurance policy and the time period that the policy at the quoted rates would remain in effect. As its name implies, term life insurance, runs for a stated period of time (usually 10, 20 or 30 year terms). If at the end of that time period the policy holder has not died then the policy ends and the insurance carrier keeps all premiums paid during the life of the policy.
A 10-Year Term Life policy means a policy that will cover the policyholder for a period of 10-years at the rates quoted or subject to whatever rate terms as associated with the policy. For example, a person might purchase a $50,000 10-year Term Life Insurance policy which would mean that if the policyholder kept their policy paid up and died during that 10-year coverage period the life insurance company would pay $50,000 to the person's beneficiary.
Term life insurance is the least expensive form of life insurance and builds up no cash value as opposed to permanent life insurance which is more expensive. Many people use a combination of term and permanent life insurance to protect them and their families for the financial risk of the death of the policyholder at different stages in their life. For example, a man in his 40's with a mortgage and children getting ready for college may have need for more life insurance than he will when he is 65, retired and an empty nester. Proper structuring of a life insurance portfolio over the course of a person's life can help achieve this goal most cost effectively.
President, Lane Independent Agency, Southern California
This is term, or temporary insurance. It keeps the same premium (thus Level) for a specified number of years. In this case for ten years the premium will stay the same. After that period, most companies will let you keep the policy, but the premium will escalate. Sometimes very rapidly. The only way to keep the premium the same longer is for a longer term then ten years, ie 20 or 30 year level term, or to get permanent, whole or universal life insurance. Thank you. GARY LANE.
10 year level term life insurance is life insurance that charges the same premium, and pays the same death benefit, for 10 years. The insurance company levels out the premium by averaging the cost of insurance over the 10 years. The advantage is that, even if you develop a health condition, you are still paying the rates for whatever health you had when you took out the policy. That is also the advantage of taking out longer terms.
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When you do this you are paying extra in the earlier years in order to level out the premium in the later years of your level premium period. That is why 1-year term is much cheaper than 20-year term.
When you buy term life insurance, you should determine how long you want the premium to be level and buy it for that length. For instance if your mortgage is paid off in 18-more years, you should buy a 20-year level term policy if the mortgage payoff is the reason for the insurance.
In many cases the policy is convertible to a level premium permanent insurance policy.
If you have further questions, or feel that I could be of assistance, please do not hesitate to contact me.
If you would like to work with a local life insurance broker, you could start with a Google search. For example, if you search for: life insurance broker Halifax or life insurance agent Halifax, my name, along with several others, will come up. You can use the same method to find a life insurance broker in your community.
Term life insurance guarantees the premiums will remain fixed for a specific number of years (10, 15, 20, 25, or 30 years). After the initial period of premium guarantee expires (the term period), the policy will be annually renewable and premiums will increase each year (based on age).
10-year term policies seem like a great deal because they typically offer the lowest possible premiums for a given amount of coverage. One of the main reasons to buy longer is to protect your insurability and pay a small amount for a longer time instead of securing a new policy when you're 10 years older and your health has changed. Creating a combination of benefits can often be a great idea (e.g. having part term and part permanent coverage or having part 10 year term, part 20 year term, etc.)
Please let me know if I can be of further assistance. Thanks very much.
A 10-Year Term Life policy means a policy that will cover the policyholder for a period of 10-years at the rates quoted or subject to whatever rate terms as associated with the policy. For example, a person might purchase a $50,000 10-year Term Life Insurance policy which would mean that if the policyholder kept their policy paid up and died during that 10-year coverage period the life insurance company would pay $50,000 to the person's beneficiary.
Term life insurance is the least expensive form of life insurance and builds up no cash value as opposed to permanent life insurance which is more expensive. Many people use a combination of term and permanent life insurance to protect them and their families for the financial risk of the death of the policyholder at different stages in their life. For example, a man in his 40's with a mortgage and children getting ready for college may have need for more life insurance than he will when he is 65, retired and an empty nester. Proper structuring of a life insurance portfolio over the course of a person's life can help achieve this goal most cost effectively.