Yes term insurance ends at a certain age as stated in the policy contract.
The age that term policies expire has risen over the years. I have observed over that the age most term insurance policies expire is a couple of years before projected life expectancy. For example when life expectancy was 67, policies expired at 65, 76 then 75, Now most expire at age 85.
Term policies do contain a conversion to permanent insurance before a specified date.
If you have further questions, or feel that I could be of assistance, please do not hesitate to contact me.
If you would like to work with a local life insurance broker, you could start with a Google search. For example, if you search for: life insurance broker Halifax or life insurance agent Halifax, my name, along with several others, will come up. You can use the same method to find a life insurance broker in your community.
President, Lane Independent Agency, Southern California
Depends on the policy. It may just have a level payment premium fixed for a certain number of years, and then continue indefinitely, but with premiums increasing each year, skyrocketing, in many cases. Or it may state it will end completely after a specific number of years. This is one reason folks consider whole life policies, which last a lifetime, with fixed premiums. Although they start higher, they end up being cheaper in many cases, while building cash value. Thank you. GARY LANE.
Yes generally term insurance policies end or expire at a certain age. The exact age depends on the particular policy, but age 85 is common.
Term insurance polices are often renewable and convertible. That means that they renew for a higher premium at the end of each term 10,20,or 30 for example. It also means that up tp a specified age you can convert them to a level premium permanent insurance plan that does not expire before you do.
An independent life insurance broker representing several companies can help you find the right policy at the right price.
Term life insurance may end at the end of the term, or it may go up in price at the end of the term. The end of the term is the period when the guaranteed premium ends. E.g. If you buy a ten year term policy, the policy will end or the premium will go up at the start of year 11. Because the premiums go up so high, most people do end their term policies when the term ends.
However, if there is a provision for the premium to go up (called annually renewable), it can go up to whatever age the policy dictates. Some are annually renewable as high as age 90.
Another option offered for many term policies is to convert the policy to permanent insurance. This must be done before the term ends. Again, the price per thousand dollars of coverage is much higher for the new policy than it was for the term policy. However, it is a good option if you cannot qualify for new insurance, and you may be able to take a smaller face amount to keep the premium affordable.
Business Development Officer, T.D. McNeil Insurance Services, Fresno, California
Most term life policies expire at a given age. In practice most expire much earlier because the term of the policy has been reached (10 yr., 20 yr. etc.) or the increasing premium makes the coverage too expensive. If you were to look on line at a graph showing the death rate per 100,000 at various ages you will understand the problem of term insurance on older people.
That is a great question! I'm personally glad that you asked, as I think this is an area where a lot of people get misled, and too often with tragic results. A normal term policy will have a very defined time period that covers you. It is typically between 5-20 years. Where the trouble lies is in some of the ones that are direct mailed to you, or are marketed on TV. Often those term life policies are marketed to Senior Citizens, and can be misleading. They will tell you in small print, or in passing ( my 'favorite' is the tv one where they flash a big red $19.95 a month on the screen as the announcer says "term to age 80" - in most cases, you focus on the money, and miss the age limit) that these policies end when you turn 80. The average life expectancy is 82. What happens when you live to be 80 and a day? Coverage is now impossible to afford, let alone get, and there is no cash or coverage from the expired term policy. Please contact an agent or advisor who is knowledgeable about insurance before buying anything, ok? Thanks for asking!
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The age that term policies expire has risen over the years. I have observed over that the age most term insurance policies expire is a couple of years before projected life expectancy. For example when life expectancy was 67, policies expired at 65, 76 then 75, Now most expire at age 85.
Term policies do contain a conversion to permanent insurance before a specified date.
If you have further questions, or feel that I could be of assistance, please do not hesitate to contact me.
If you would like to work with a local life insurance broker, you could start with a Google search. For example, if you search for: life insurance broker Halifax or life insurance agent Halifax, my name, along with several others, will come up. You can use the same method to find a life insurance broker in your community.
Term insurance polices are often renewable and convertible. That means that they renew for a higher premium at the end of each term 10,20,or 30 for example. It also means that up tp a specified age you can convert them to a level premium permanent insurance plan that does not expire before you do.
An independent life insurance broker representing several companies can help you find the right policy at the right price.
However, if there is a provision for the premium to go up (called annually renewable), it can go up to whatever age the policy dictates. Some are annually renewable as high as age 90.
Another option offered for many term policies is to convert the policy to permanent insurance. This must be done before the term ends. Again, the price per thousand dollars of coverage is much higher for the new policy than it was for the term policy. However, it is a good option if you cannot qualify for new insurance, and you may be able to take a smaller face amount to keep the premium affordable.