What is Level Term Insurance?
Level Term Insurance is actually another name for the standard form of Life Insurance. Level Term Life Insurance is the type of insurance that pays a tax-free lump sum to you or your family if you die whilst the policy is in force. The important point is that, on this type of policy, the sum insured remains the constant (i.e. level) whilst the policy is in force. Level Term Insurance is used for supporting interest only mortgages where the sum owed to the mortgage lender remains constant. It is also used for many family protection situations. (If you have a repayment mortgage where your monthly mortgage payments pay the interest and, ultimately, all the money you borrowed, then you need Mortgage Life Insurance.) It is important to note that a Level Term Insurance policy never has any investment value. If you are looking for a policy that has an element of investment within it, you want Life Assurance as opposed to Life Insurance. The following Frequently Asked Questions are related to
Level term insurance is a type of life insurance that provides consistent coverage over a specified amount of time. The face value of a level term policy remains the same for the duration of the period selected. Life insurance terms can range from as little as one year to 30 years or more. Most commonly, however, level term coverage lasts for 10, 15, or 20 years. Level term insurance provides temporary protection and does not build cash value. Many level term insurance policies are sold with guaranteed premiums that never increase during the coverage period. However, some policies don’t provide premium-rate guarantees and the insurance company can raise the premium during the specified term of coverage. Premium increases are intended to account for the rising probability of the insured’s death in any given year. The premium amount charged for a level term insurance policy will vary, depending upon the particular insurance company and the applicant’s unique circumstances. Certain lifest
This life policy is for a fixed premium period of up to twenty years for a fixed amount. By having this type of policy, you premiums are locked in for a specific amount of time for possible inflation in the future and any potential health problems you may have. What is an annual renewable term policy? This policy allows you to renew your policy on a regular basis at a higher insurance rate. Decreasing term policy what is this? The death benefit for this policy continues to decrease as you get older. What is whole life insurance? Whole life insurance covers you for your entire life. You pay a fixed insurance premium for this policy. How much life insurance do I need? This is a good question. However, you can only answer this question based on your own personal situation. If you have a family that relies on your income, you will want to take into account the amount of money your family will need if you are no longer living. Cheap Insurance Secrets!
