Term insurance benefits vary greatly, depending on the agency offering the coverage, amount of premium dollars, coverage you have chosen, etc.
Some of the benefits may include, but not necessarily limited to: consumer debt, college education for beneficiaries / dependents, dependent care, funeral costs and mortgages.
If you are looking for insurance coverage for a short period of time, you can make it work to your advantage.
Although there are some policies which will cover you for only a year, there are those which you can avail of in 10, 20, and 30 years.
You can even opt to for a term entailed to a specific age (usually at 65 years or at retirement age.
) People often use it as a guarantee for their children college education or house mortgage.
For example, parents would buy term insurance that would expire only when their children graduate from college, or homeowners would buy the same policy that matches the term of the property's mortgage.
This is simply to assure beneficiaries that if something untimely happens to the insured, educational fees / mortgage will be paid still via the policy.
Also, term insurance is a lot easier to understand than other life policies.
Basically, you choose a low monthly premium depending on the insurance term length and what kind of coverage you have chosen.
If something happens, your coverage may amount to anywhere between $100,000 to millions of dollars.
Term insurance also allows you to choose how to invest your money afterwords.
You can either have it go to your childrens education, their life long care or to the payment of your mortgage, etc.
This liberty is non-existent with other policies (i.
e.
whole life insurance) because the insurance company usually handles these matters themselves, delegating your money as they see fit.
Some of the benefits may include, but not necessarily limited to: consumer debt, college education for beneficiaries / dependents, dependent care, funeral costs and mortgages.
If you are looking for insurance coverage for a short period of time, you can make it work to your advantage.
Although there are some policies which will cover you for only a year, there are those which you can avail of in 10, 20, and 30 years.
You can even opt to for a term entailed to a specific age (usually at 65 years or at retirement age.
) People often use it as a guarantee for their children college education or house mortgage.
For example, parents would buy term insurance that would expire only when their children graduate from college, or homeowners would buy the same policy that matches the term of the property's mortgage.
This is simply to assure beneficiaries that if something untimely happens to the insured, educational fees / mortgage will be paid still via the policy.
Also, term insurance is a lot easier to understand than other life policies.
Basically, you choose a low monthly premium depending on the insurance term length and what kind of coverage you have chosen.
If something happens, your coverage may amount to anywhere between $100,000 to millions of dollars.
Term insurance also allows you to choose how to invest your money afterwords.
You can either have it go to your childrens education, their life long care or to the payment of your mortgage, etc.
This liberty is non-existent with other policies (i.
e.
whole life insurance) because the insurance company usually handles these matters themselves, delegating your money as they see fit.
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