RESOURCES - Life - TERM
Overview

Term Life is the most simple form of life insurance. The coverage is for a specified time (term) and provides only a death benefit upon maturity.

• Policy does not accumulate cash.
• If the insured dies during the specified period, a death benefit is paid to the beneficiary.
• Premiums generally remain level or increase throughout the specified period.

Potential Advantages

• You can select coverage from 2 to 30 years.
• If your insurance need is projected for a certain time period, you can select the appropriate coverage.

Potential Disadvantages

• Term Life doesn't provide a cash value.
• Term Life doesn't provide permanent life insurance protection and premium costs can rise  substantially as policy renewal or insurability risk rises.

Possible Riders

• Return of Premium
• Living Benefits Rider
• Disability Premium Waiver Rider
• Children’s Term Insurance Rider
  

Possible Riders

• Return of Premium
• Living Benefits Rider
• Disability Premium Waiver Rider
• Children’s Term Insurance Rider

Return of Premium Term "ROP"

Return of Premium (ROP) term life insurance combines the advantages of a traditional term policy such as affordable guaranteed level premium periods with a return of premium feature.

How it works: If you keep your policy for the desired term period (15, 20 or 30 years) the insurance company will return 100% of the premiums paid. Some of these policies also offer partial refunds or guaranteed cash values which increase annually until the term period is up for early surrenders.