What are my options for term life insurance coverage?
When it comes to temporary or term life insurance, most insurers offer "terms" ranging from 10 to 30 years. Some insurers may offer annual renewable life insurance that lasts for 1 year and others may offer 5 year renewable term life insurance.
However, most life insurance carriers offer 10, 15, 20 or 30 year term life plans. But that depends on your age. For instance, a 75 year old may only be able to buy up to a 10 or 15 year term life policy depending on the person's age and the insurance company guidelines.
In addition, some term life policies may offer a 10 year renewal of your term life insurance plan. This means, if you buy a 20 or 30 year term life policy for instant, and then you decide you need life insurance for a longer period of time, you may be able to renew your term life insurance for another 10 year term when the first term policy ends.
Also, some term life policies allow you to convert your term life insurance policy to a permanent life insurance policy subject to an increase win premium.
Make sure to consider your life insurance needs now and what you may have in the future before choosing the right "term" of your term life insurance policy. If your needs will change based on increased financial responsibilities, including getting married, starting a family, or buying a home, you may want to get a longer "term" of coverage.