Level term life insurance is the most common type of term life policy sold in America today. Term life policies are competitively priced, with many individuals pleasantly surprised at just how affordable a policy can be. The price most people think term life insurance will cost compared to actual cost is typically three times the actual premium. 48% of American adults do not have life insurance, and 73 million adults say they need life insurance.
Coverage is offered through the North American Company for Life and Health Insurance, an A.M. Best A+ rated company. Your monthly premium amount remains the same throughout the policy term.
Term Life Insurance
Term life insurance provides death benefit protection for a set period of time such as 5, 10, 20, or 30 years. The death benefit is paid only if the policyholder dies during the term selected, and no benefits are paid outside the term. Typically, there is no cash or loan values associated with term life insurance. Term insurance is purchased when the need for death benefit protection is temporary. Purchasing a level term life policy will help pay for a dependent’s college education expenses, family debts, final expenses, or used as income replacement. Level term life policies have also been used in divorce agreements, guarantying settlement amounts to be paid over a period of time. In most cases the beneficiary pays no taxes on a life insurance settlement.
Possible Insurable Scenarios:
Individuals with certain pre-existing conditions may still qualify for term life insurance coverage, though a final decision will be based on each specific case once an online application is submitted. Those with chest pain (non-cardiac related,) depression, anxiety, ADD, OCD, Type 2 diabetes, seizure disorder, skin disorder, Hepatitis, Sickle cell, mild marijuana use, or upcoming surgery may qualify for coverage.
Premium rates are locked in for the life of the policy.
Decreasing Term Life
Decreasing term life policies are typically purchased in relation to a mortgage loan or tuition loan. Each year the death benefit decreases as you pay down the loan. Often referred to as Decreasing Term Assurance (DTA) or mortgage insurance, decreasing term life may be less expensive than level term life insurance.