Who should consider term life insurance?
Term life insurance is designed to fill a very specific need by providing coverage for a limited amount of time. If you have any of the following needs, term life insurance may be a wise choice for you. • Maximum coverage with a minimal budget. Term life insurance is cheaper to establish because it does not accumulate cash value. Also, the risk is concentrated within a specified time period. • Coverage for a specific obligation. Term life insurance can be used to cover the time period while the insured has a specific debt. For example, a policy with a 10-year term purchased just after graduation could be used to guarantee repayment of student loans. • Additional coverage for a limited amount of time. Term life insurance can be used as a rider to supplement a permanent policy. For example, an insured with a permanent life policy worth enough to pay the living expenses of survivors could use term life insurance for the specific cost of satisfying a mortgage. • Securing future insurabilit
