How to Compare Term Life Insurance Rates and Plans
Why Choose Term Life Insurance?
Term insurance policies provide the life insurance coverage for the smallest premium. For this reason, it is an effective tool to protect your family or business against financial catastrophe.
A Term life death benefit can help provide money for any purpose, including the repayment of a debt or mortgage, the need to provide for your family’s living expenses, or the need to save for college for your children, or for your spouse’s retirement.
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"Terms" for Term Life Insurance
How Long Does Term Life Insurance Last?
Term life policies provide life insurance protection for a set period of time referred to as the "term". Plans may provide level premiums and coverage amounts for a period of 10, 15, 20, 25 or 30 years.
In addition, erm life protection may last until you reach a specific age, such as, age 65 or 70, or even longer.
Comparison of Term Life Underwriting
Some life insurance companies require a full physical examination in order to issue a term life insurance policy, depending on your age and the amount of life insurance provided by your policy – this is called "full underwriting".
Other insurance companies use a "simplified issue" approach, issuing up to several hundred thousand dollars' worth of life insurance protection based on a questionnaire, a medical records check, and possibly an oral swab.
Generally, if you are in good health, you will get a better deal going through full underwriting, as simplified issue life plans usually have higher rates, but may offer a quicker way to purchase your life insurance policy.
Renewability of Term Life Coverage
All life insurance policies provide protection during the term; it's what happens at the end of your term that sets them apart.
Some term life policies do not allow you to renew your life insurance coverage when the term expires.
If you still need life insurance protection at the end of the term, but your medical condition has changed for the worse, you may not be able to qualify for life insurance when you need it most.
Guaranteed renewability of your term life policy is an important feature, but comes with a higher cost than non-renewable term policies.
Conversion Options – Convert to Permanent Life Insurance
Some term insurance plans allow you to convert your term life coverage to a permanent life insurance policy such as whole life without providing evidence of insurability.
This means you won’t have to take a paramed or physical exam to make this change over time permanent life insurance, which provides lifetime protection.
Other term life plans may not provide a conversion option.
The conversion option can be valuable if you want permanent life insurance coverage but cannot afford the premiums right now.
Some term life companies that do offer guaranteed conversion restrict you to one or two permanent life insurance products.
Others allow you to purchase any product in their line of permanent life insurance policies.
Usually, you have to convert your term life insurance into a permanent life insurance policy by a specific date, or you lose the option of converting to permanent coverage.
Purchase Option for Additional Life Insurance Coverage
Purchase option is the right to purchase additional amounts of term life insurance in the future without you having to take another physical examination.
Some life insurance companies allow you to exercise your guaranteed purchase option at different ages, or at major life events such as the birth or adoption of a child, or upon getting married.
Price for Term Life Insurance
Each life insurance company has it’s own set of pricing guidelines, and the rate for life insurance may vary quote a bit between life insurance carriers.
Some companies are more competitive with standard risks, while others may offer better rates for smokers or diabetics, than most insurers.
That’s why it is so important to compare rates for term life insurance from several highly-rated insurance companies before you choose a policy.
Term Life Comparisons of Rates and Plans
We have partnered with JRC Insurance Group to give you the best term life insurance quotes from 63 of the leading life insurance companies.
JRC Insurance also has access to "A" rated insurers that offer up to $500,00 of term life coverage without any medical exam needed, just some health questions.
It only takes a couple of minutes for you to fill out the quote request form and instantly receive your term life insurance quotes.
By comparing multiple life insurance quotes side-by-side, you can easily find the most affordable term life policy from the highest-rated life insurance company.
Top Pick – JRC Insurance Group
JRC Insurance Group helps you shop, compare and save on life insurance. Regardless of your age or health background, we'll shop our 40+ insurance companies and find you affordable life insurance you need to protect your family and fit your budget. Compare the best life insurance rates for savings up to 73%. Get Your FREE Quote.
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