What is term life insurance? Is defined as pure life insurance, it is the type of life insurance that guarantees payment of a purchased tax-free death benefit if the insured person dies during the term they are covered for. Simply put it is like renting life insurance instead of owning it. Most Financial Entertainers (Dave Ramsey, Suze Orman) recommend it over over permanent life insurance due to cost savings. It does expire of course but there are riders to assist you in extending your term life insurance.
What are typical term life insurance rates?
This of course is dependent on age and health conditions and related to each insurer’s mortality tables. Below is example of our smart life insurance rates below.
|10 Year policy||17.00||18.00||44.00|
|20 Year policy||30.00||33.00||87.00|
|30 Year policy||48.00||64.00||151.00|
Obviously you can tell even with perfect health it makes sense when you are young to get your policy to lock in that preferred rate. Life Insurance rates get higher with age. As you can see term life rates for seniors can be costly.
|10 Year policy||27.00||67.00||191.00|
|20 Year policy||46.00||114.00||385.00|
|30 Year policy||79.00||232.00||Only 25 Year Policy 668.00|
What are some popular term life insurance riders?
There is the spousal rider that allows you to add a small amount of coverage for your spouse. This is usually discouraged these days as it makes sense for both parents to have separate policies. Guaranteed Insurability Rider allows you to purchase more coverage without having to repeat a physical exam. Long Term Care Rider will help if you need coverage in a nursing home or recieve home care. Return of premium rider your premiums are returned to you in full. A waiver of premium rider become important if you were to become permanently disabled or no longer able to provide income.
What is a popular term to cover yourself with term life insurance?
Most people like to do it layers owning various policies for various purposes. One term life policy to cover the mortgage. Another policy to cover them for living benefits, Yet another one to turn in to income for when the income provider passes. This is where a family income benefit rider could come in useful which basically turns the life insurance policy into an annuity. Of course, we have access to multiple term life insurance calculators to properly plan term life insurance for you. We also always plan your term life insurance coverage to meet your budget.
How extensive is the medical exam and and underwriting process?
First, we would like to mention there are term life insurance rates with no medical exam. If you would like a term life insurance quote (no medical exam), they tend to be a couple of dollars more a month. Having a physical exam does decrease the cost of your life insurance. We don’t feel that the physical exam questionnaire is that exhausting or extensive for you to get those saving. We also encourage you to be honest on life insurance health questionnaires to maintain the great rate you are quoted. Of course, we have partnered with Ethos Life Insurance to bring you some of the least intrusive life insurance policies in that area with almost all policies having no physical exam.
Remember the Utah Department of Insurance has an easy-to-read handbook called the Life Insurance Buyers’s Guide for people looking to gain some more information about term life insurance in Utah. We’re not going to get into the term life insurance vs whole life conversation today because each has their purpose and advantage. One item we will mention is you can always find our term life insurance quotes online but we would prefer to meet with you and plan your coverage. You can get term life insurance quotes online without personal information except for your name and birth date on our online quoter.
I am a term life, infinity banking concept, indexed universal life insurance, and annuities advisor. I am looking to give Utahans a choice in life insurance as an independent advisor. I represent over 25 different insurance carriers on your behalf so we can find which one will approve you for the best policy. I started this company (Wasatch Smart Finance) so people like you could finally get honest answers & advice from advisors who have a comprehensive knowledge of finance and estate issues. Also as a Veteran, I want to assist other Veterans in their financial journeys.