Term life insurance policies provide a good amount of coverage for the lowest initial cost. They are the best option if you have short-term needs and don’t have much money to spend on insurance. In general, you will pay a premium every month or every year for the duration of your chosen term. Proceeds of your insurance can be used by your beneficiaries to cover financial responsibilities which end or reduce after your untimely death. Ten-year term life insurance is the most popular policy since it is affordable can be obtained easily. So what is 10 year term life insurance?
Cost of 10-Year Term Life Insurance
A10-year term life insurance provides a fixed, guaranteed premium for the first ten policy years. Insurance providers compute your actual rate based on some underwriting criteria such as your health, gender, lifestyles and amount of insurance you want. This affordable form of insurance is your best choice to cover your short-term needs.
Ten-year term life insurance rates are cheaper than 20-year and 30-year terms and even cheaper if you are younger. This should give the reason not to put off your insurance purchase. For instance, at age 40, you need to pay $12 per year for$250,000 coverage and pay $24 at age 50 for the same cover. This should give the reason not to put off your insurance purchase.
How It Works
This policy guarantees a fixed rate for a period of ten years. But, you are not obliged to keep it for the full term. You have the option to drop your coverage whenever you want by just discounting your premium payments. However, your insurer should honor your rate for the first ten policy years. The end of the 10th policy year means comes with an increase in your rate. The majority of 10-year term policies can be renewed to age 95 as long as you meet the higher premiums. If you want longer coverage, then consider a 15- or 20-year term policy. There are a lot of reasons to purchase this insurance; however, it is most useful for your needs which can be covered within a 10-year time frame.
People buy 10-year term life insurance because of its guarantees and affordability. The plan offers flexibility and can cover various needs. If you want to know if you are qualified for this type of insurance, we can help you walk through the process. Also, get quotes from various insurance companies in the country by filling out the instant life quotes form you can find on our website.