Term Life Insurance

What Term Life Insurance Is

Term life insurance covers you for a fixed length of time — most commonly 10, 20, or 30 years. If you pass away during that term, the policy pays a benefit directly to the people you name. If the term ends while you are still living, the coverage simply stops unless you renew or convert it.

Because it is temporary, term life is usually the least expensive way to buy a large amount of coverage. That combination of a high benefit and a low premium is why it is the most common choice for families protecting a mortgage, replacing an income, or making sure children are provided for until they are grown.

What to Think About Before You Buy

Two questions drive most term decisions: how much coverage, and for how long. A common starting point is a benefit large enough to clear your debts and replace several years of income, over a term that ends around the time your children become independent or your mortgage is paid off.

It is also worth asking whether a policy is convertible. A convertible term policy can be changed to permanent coverage later without a new medical review, which matters a great deal if your health changes along the way. Premiums, term lengths, and eligibility differ by carrier and by state, so the right structure depends on your circumstances.

This page is general information, not financial, tax, or legal advice. Policy availability, pricing, and terms vary by carrier, state, age, and health. A licensed agent will review your specific situation before recommending any coverage.