Renewable Term Life Insurance
- Karl Smith
- Mar 10, 2023
- 2 min read
Renewable term life insurance is a type of life insurance that provides coverage for a specific period of time, typically 10, 20, or 30 years. The policyholder has the option to renew the policy at the end of the term, without having to undergo a medical exam. This type of insurance is a great option for those who may not qualify for traditional permanent life insurance due to health issues.
One of the biggest advantages of renewable term life insurance is that it allows policyholders to lock in a lower rate while they are younger and healthier. As they age and their health deteriorates, they can renew their policy at a higher rate, but still have the coverage they need. This is a great option for those who may not be able to afford a permanent policy at the start, but want to have the option to convert to one later on.
Another advantage of renewable term life insurance is that it is typically less expensive than permanent life insurance. This is because the coverage is for a specific period of time, and the insurer does not have to factor in the potential for the policyholder to live for a very long time. Additionally, renewable term life insurance policies often have lower premiums for smokers and those with pre-existing health conditions.
Renewable term life insurance is also a flexible option, as it allows policyholders to adjust the amount of coverage they need as their circumstances change. For example, a policyholder may start out with a $500,000 policy, but as they pay off their mortgage and their children grow older, they may decide to reduce their coverage to $250,000.
Overall, renewable term life insurance is a great option for those looking for a flexible, affordable and a secure insurance coverage that can adjust as their circumstances change over time. It offers peace of mind and protection for the policyholder and their loved ones, while also providing the option to convert to a permanent policy later on. It is important to speak with an insurance agent to determine if renewable term life insurance is the right choice for you call Hardigan Insurance Services today.
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