Is term insurance a reasonable form of coverage since it terminates at some future point in time, not continuing for the whole of life?
Yes, term insurance is brilliant protection and often provides five to six times more coverage per dollars than Universal Life. It is true that term insurance terminates at some future point in time, for example, at the end of ten years, twenty or thirty years; however, your risk exposure may only be for this limited period of time and not required thereafter. Also, a quality term product provides a “Guaranteed Conversion Option” which allows you to change to a permanent form of coverage in the future before your policy terminates without any additional medical evidence of insurability. Often this conversion option can be structured until ages 65, 70 or 75.
Related Questions
- Is term insurance a reasonable form of coverage since it terminates at some future point in time, not continuing for the whole of life?
- Will purchasing a Short Term Medical plan make it harder for me to get coverage in the future for a pre-exisiting medical condition?
- Who is eligible to apply for coverage under the Federal Long Term Care Insurance Program (FLTCIP)?
