Coverage guide
Term Life Insurance
Term life insurance provides a death benefit if the insured dies during the policy term, subject to policy conditions. It is often considered for temporary needs such as income replacement, mortgage protection, or dependent support.
What it covers
- Level term periods
- Death benefit
- Conversion options when offered
- Optional riders
Who commonly researches it
- Parents
- Homeowners with a mortgage
- People with temporary income-replacement needs
When people commonly buy
- Before or soon after dependents rely on your income
- When taking on long-term debt
- When coverage is more affordable and available
Coverage considerations
- Choose a term that matches the need
- Estimate debts and income-replacement years
- Subtract existing savings and coverage
Common exclusions
- Expired term
- Lapse for nonpayment
- Misrepresentation
- Some suicide exclusions during early policy years
Cost factors
- Age
- Health
- Term length
- Coverage amount
- Tobacco use
- Underwriting class
Comparison checklist
- Compare level premium period
- Review conversion rights
- Check renewal terms
- Ask about accelerated death benefit riders
FAQ
Does term life build cash value?
Most term life policies are designed for death-benefit protection and do not build cash value.
What happens when the term ends?
Coverage may expire, renew at a higher cost, or convert if the contract includes conversion rights. Review the policy before buying.