Reader’s Question:

My job here in Illinois frequently requires me to travel so I’ve decided to get a life insurance policy. I am wondering if you can tell me more about term life insurance? Thanks!

Sam

Naperville, IL

Term life insurance is a form of life insurance meant to be maintained only for a certain period of time. This type of life insurance policy awards the agreed upon payment, benefits or income to the beneficiaries listed under the life insurance policy only upon the demise of the insured individual while inside or within the duration of the policy. Term Insurance will actually cost you less, as compared to whole life or universal life insurance policies so it is highly recommended that people looking to get life insurance for the next five, ten, twenty, even thirty years, those raising a small family or paying mortgage.

If you do decide to get a term life insurance there in Illinois don’t expect to be paid any lump sum amount after the duration of your insurance. This is one of the drawbacks of term insurance since the money you put into it does not go into any investments, nor are there any savings or loan features usually available. Also, not all term life insurance will require you to undergo any sort of medical screenings. Term Insurance policies may also be renewable and may even be convertible, meaning you can opt to switch into a permanent or whole life insurance policy should you become interested in the future. For people whose careers or job pose some risk to life and who is not looking into spending too much on life insurance premiums, term life insurance is a very good option.