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Term Life Insurance
Simple and affordable, providing a fixed amount of insurance for a specific period of time.
What is term life insurance?
Term life insurance is temporary coverage that provides a one-time, tax-free, cash benefit to your chosen beneficiaries when you die.
It is often a suitable solution for times when financial risk is high, but available funds are limited, or a low-cost solution is all that is needed.
Most term life policies are both renewable and convertible - meaning you can renew coverage at the end of the chosen term, and/or convert to permanent insurance regardless of any changes to your health, occupation, or lifestyle.
Budget friendly
Relatively low cost, and fixed payments for the duration you choose.
Temporary protection
Choose the period of coverage that best suits your unique circumstances.
Tax-free benefit
Your insurance benefit is paid to the beneficiary of your choosing.
How does term life work?
Choose coverage amount and term length: Term coverage provides protection for a fixed amount and duration. Duration is typically 10, 15, or 20 or more years. You can choose the amount of time you need.
Pay the premiums: The coverage will remain active so long as premiums continue to be paid. You can choose to pay monthly or annually.
Benefit is paid: If you pass away while your policy is active, the person(s) or charity you named as beneficiary receive a tax-free cash benefit.
- Policy renewal: When the term is up, your advisor will contact you to review your coverage. By default your policy will automatically renew at a higher premium. Alternatively, you can convert it to permanent life insurance, or terminate if the coverage is no longer required.
Get help with your life insurance planning.
Speak with a professional advisor who can help.
How much does term life insurance cost?
Generally, term life insurance is more affordable than permanent life insurance. There are a number of factors that can affect policy pricing, including:
Age
Generally, insurance cost less for younger age groups, and more for older age groups
Gender
Women live longer than men on average, so insurance may cost less than for males.
Health
Your unique health history, family history, chronic diseases and lifestyle can impact costs.
Occupation
High-risk occupations can increase cost. Conversely, low-risk occupations can reduce cost.
How much term life insurance coverage do you need?
This will depend on your unique personal circumstances. Best practices are to ensure your debts are covered, as well as the financial security of your dependents. Here are a few things to consider:
Your income
Your assets & net worth
Your expenses and family needs
Your debt
Other insurance you may have
A professional advisor can assist you with calculating your insurance needs.
Get in touch
Talk to an advisor who can understand your situation, answer your questions and help you build an insurance plan appropriate for you and your family.
Frequently asked questions
Answers to key questions about Term Life Insurance
Term Life Insurance is a policy that provides coverage for a specific period or "term". If the policyholder passes away during this term, beneficiaries receive a death benefit. It's a straightforward, often affordable way to provide financial security for your loved ones.
Select a term length that covers your major financial responsibilities. Common terms are 10, 20, or 30 years. Consider factors like age, financial obligations, and when dependents will be financially independent. A professional advisor can help tailor the term to your specific needs.
Yes, most Term Life Insurance policies allow renewal at the end of the term. However, premiums typically increase upon renewal due to age and possible changes in health status.
If you outlive your policy, the coverage ends and there is no payout. Term Life Insurance doesn't accumulate cash value like permanent life insurance. Some policies offer a return of premium option or the ability to convert to a permanent life insurance policy.
Generally, Term Life Insurance is more affordable than Permanent Life Insurance. It provides coverage for a specific term without the additional investment component found in Whole Life and/or Universal Life policies. This makes it a cost-effective choice for those seeking basic life insurance coverage.
Still have questions?
Please contact our office and we'll be happy to address any questions you may have.
