Term life insurance lasts for a "term" of your life. This can be 10 years, 20 years, or however long a term you choose. Most policies stay the same price for the entire term, but not all are guaranteed to do so. Term life insurance should be used for temporary needs, because you never know, when the term ends, if you will be able to afford the much higher premium from continuing it or converting it. And not everyone can get a new term policy due to health or financial reasons.
Permanent life insurance last for your entire life. Some policies that are referred to as permanent can indeed lapse if premiums are not increased, so take special care to purchase permanent insurance (whole and universal life) from a reputable agent.
A simple explanation is that term insurance is temporary and expires at some point and permanent insurance is designed to be in force when you die, not if you die during the term.
With term insurance the premium charged is guaranteed for a term be it 5, 10, 20 or 30 years. Term coverage can usually be covered to permanent insurance at a age mentioned in the contract, typically prior to age 65.
Permanent insurance premium can be level and may or may not contain a cash value depending on the design of the policy.
I suggest you work with a local independent insurance agent / broker to assist you in finding the right policy at the right price.
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.
Business Development Officer, T.D. McNeil Insurance Services, Fresno, California
Term insurance and permanent insurance are different but in combination can provide an insurance plan that meets your needs as they change. Some obligations have specific durations. Some will last a lifetime. Caring for your spouse might be an obligation that lasts a lifetime. Final expenses, and charitable contributions are also lifetime obligations. A mortgage is a temporary obligation and term insurance would work well. While the cost for term insurance is low, when it doesn’t end in a death benefit its actual cost can be quite high compared to a permanent plan that pays a death benefit.
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Permanent life insurance last for your entire life. Some policies that are referred to as permanent can indeed lapse if premiums are not increased, so take special care to purchase permanent insurance (whole and universal life) from a reputable agent.
With term insurance the premium charged is guaranteed for a term be it 5, 10, 20 or 30 years. Term coverage can usually be covered to permanent insurance at a age mentioned in the contract, typically prior to age 65.
Permanent insurance premium can be level and may or may not contain a cash value depending on the design of the policy.
I suggest you work with a local independent insurance agent / broker to assist you in finding the right policy at the right price.
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.