It’s never fun to think about dying; however, in order to protect your family from financial disaster, it is important to purchase life insurance. Funerals are expensive, and you never know when tragedy will strike. You also want life insurance to cover any debts that will need to be paid off, like your mortgage. If you have a family, it is a good idea to buy family life insurance.
You cannot buy one policy for your whole family as each adult will need their own policy. However, some policies will permit you to have a child rider on it. You can find numerous highly rated life insurance companies that offer term life insurance. Some of the factors that influence insurance rates include age, health and medical history. The amount of coverage and type of insurance will also affect your premiums.
When purchasing a term family life insurance policy, you will be asked questions about your medical history. Some insurance companies might require that you take a physical exam to qualify for coverage. Most term life insurance policies range from 10 to 30 years. If you die before your policy expires, your family will receive the death benefits. These types of policies are less expensive than other types of life insurance policies, which is why I usually recommend term life insurance for people that have a family.
After your term expires, you will have the option of renewing your policy; however, your premiums will increase dramatically when the term expires. Rather than continuing the policy, you will be better off buying a new term policy if you still want coverage – as long as you are in fairly good health you can still get an affordable rate. You might also have the option of converting your term life insurance policy into a permanent policy depending on your age – most term life insurance policies have conversion rights in the first 20 years or prior to age 70.
How much does family term life cost?
Term life insurance for families is very affordable. Let’s take an example of a 30 year old male buying a $500,000 20 year term life policy at the best non smoker rates. How much does coverage cost?
- SBLI $20.88 per month
- Banner Life $21.44 per month
- Protective Life $21.58 per month
- American General $22.41 per month
- ING Reliastar $22.75 per month
- Transamerica $23.63 per month
Term life insurance can provide financial stability to your family members after you die. Your mortgage could be paid, and the money could pay the cost of your child’s college tuition. Your family could pay off credit card debts or loans, and they could have a steady source of income.
The rates that insurance companies offer will vary, so it is important to obtain quotes from several different companies. One of the best ways to get the most accurate quotes is to get quotes from an independent agent (Like Us). An agent can shop around for quotes from numerous companies.