What Does 20 Year Term Life Insurance Mean?

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    Peggy MacePRO
    Most of the U.S.
    20 Year Term Life Insurance means that the policy will not go up in price for 20 years. Usually, the premium is guaranteed not to go up for the entire 20 years. However, some companies guarantee the premium to stay level for only part of the term, e.g. 10 years of the 20 year term. Then after that the premium could possibly go up. There are many guaranteed level term policies for the entire 20 years, so worth it to shop around. Also, it is a very popular policy, so prices are competitive.
    Answered on August 27, 2014
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    David G. Pipes, CLU®, RICP®PRO
    Business Development Officer, T.D. McNeil Insurance Services, Fresno, California
    It is a life insurance policy that has a start date and an end date. The length of time between those two dates is 20 years. The policy may have other provisions but the basic form is twenty years of coverage at the premium stated in the policy. It is not permanent insurance. There isn’t any cash accumulation. It is very inexpensive.
    Answered on August 27, 2014
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    Tim WilhoitPRO
    Owner, Your Friend 4 Life, Brentwood TN
    Anytime you see a number in front of term life insurance like 20 year term, this is how long the contract is guaranteed level premiums. You will see 5-10-15-20-25-30-35 year term life policies. The number of years is a contract between the insured and the insurance company that regardless of change of age, health, life style or occupation the contract cannot raise your premiums for that specific period of time. However, at the end of the term, you will experience a significant premium increase.
    Answered on February 12, 2015
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    Stan Cox IIPRO
    Insurance Adviser - Broker, SC Insurance Services, Oahu, Hawaii
    Term life insurance is a policy that will remain in force for the specified number of years stated or until the insured dies - whichever comes first, and as long as the premiums are paid. So a 10 year term life is a policy that expires 10 years from the issue date, a 20 year term life is one that expires 20 years from the issue date.
    Answered on September 21, 2015
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