If you are looking for an affordable and long-term way to protect your family with life insurance, then a 30 year term life insurance policy is an economical way to provide that peace of mind. A 30 year term life insurance policy will protect your loved ones with a premium that remains level for 30 years. At the end of the 30 year term, you can renew your policy at the current rate for your age, or you can opt for a permanent whole life insurance policy.

Why 30 Year Term Life Insurance?

The main reason why so many people choose a 30 year term policy is because it is a great way to get a lot of insurance coverage for a very affordable premium. Many of a family’s largest expenses are expensive, yet temporary. One common example is a home mortgage. Most people purchase their home using a 30 year mortgage and most households would not be able to keep up with the payments on that mortgage if one of the breadwinners were to pass away. A term life insurance policy can pay off the balance of the mortgage and protect your family’s lifestyle. The cost of raising children and sending them to college is another long-term expense that needs to be considered. It takes a child at least 22 to 26 years to finish school, get a job or start a business, and become self-sufficient.

The Application Process for 30 Year Term Life Insurance

Getting a term life insurance policy these days is very easy. The first step is to compare rates online and view the premiums from several carriers. Once you find out which company has the best rate for your particular age / health then you can apply right online. Some companies will require a life insurance physical so that they can evaluate your health. If you are in very good health and you don’t need more than $500,000 worth of term life insurance, then you may be able to qualify for a no exam term life insurance policy.

Get started now by comparing rates. Remember that all insurance companies have different underwriting criteria and the premiums can vary by as much as 40 to 70%. It definitely pays to compare!

Most people don’t realize that life insurance can be an asset. In fact, it’s the best kind of asset or more importantly, a true asset as opposed to your primary residence (with a mortgage attached). As with all assets, there are some important things you can do with it both before and after the benefit is triggered. Let’s take a look at how life insurance should be viewed as an asset.

First, what is an asset? Some people have somewhat of a hazy view while others are just plain wrong. What about your primary house? Is that an asset? Well it depends. If you do not derive any income from your house and only pay out due to a liability (your mortgage debt), then it’s hard to call it an asset. Even when you have full paid off the mortgage, it’s still not ideally what you would want in an asset. An asset should pay income. Your primary home does not pay income. Yes, you’re building value over time but that doesn’t really help you make ends meet if a primary earner in the family passes away. In this regard, it’s more like a liability. It all comes down to cash flow and cash flow is what hits people so hard when the income suddenly vanishes due to the unexpected loss of a family member.

Life insurance on the other hand, can be the source of income if the insured passes away. It’s also the best kind of income because it is typically tax-free. Don’t underestimate the importance of this. If you you earn $50K annually through salary, it’s probably more like $35K after tax as you’re all too aware of. Average tax brackets tend to run from 20 to 30%. Life insurance benefits are generally not taxable. This means $500K is $500K. This becomes even more important since our tax system is “progressive”. This means that the more money “earned”, the higher your average tax rate will be. It can even approach 50% when adding federal, state, and so-called “windfall” tax rates. Congress has tried to go after this tax-free status of life insurance but the push-back has been too great. So we have a tax-free asset in term life insurance. Why, would this be an asset? It can create income. If you take your $500K (to continue our example) and invest it, at 5% you’re looking at $25K annually. That’s income derived from an asset and it’s a critical function of life insurance.

rYou can also just spend down this “asset” if you choose since it’s highly liquid. Selling a house can be a difficult proposition reliant on market conditions and other factors (not to mention the question of where are you going to live?). The life insurance benefit is cash. You do not get a more liquid asset than that. If you spend down the asset, you will not retain a residual asset which earns money but you will have more cash flow in the meantime. For example, if we spend $50K each year (to match our replaced income), we have 10 years at this level. At a minimum, that gives you a decade to get your financial house in order following the passing of a loved one and the lost income. Many people without life insurance find themselves having to make truly life-changing decisions in a very short span since they don’t have the immediately created asset that life protection offers. Again…most people will essentially be bankrupt in a matter of months if the family’s income disappears or is even cut in half. Term life provides the asset and more importantly, the income to avoid this situation at an affordable cost. Get a free quote for term life to compare multiple rates from the nation’s top carriers.

How do you choose among a number of different insurance policies? How would you know which one will benefit you in the best way possible? If you are considering any form of term life insurance, then this may be the best option for you. With a capacity to finance small-degree needs given a short period of time for attainment, the ten-year term life insurance coverage may be your best bet yet. This form of term life insurance can be renewed after the initial ten-year term but of course will entail a gradually increased premium amount for the same benefit payout.

The basics of ten year term life insurance

A ten-year term life insurance policy works this way: During the ten-year period of the term life insurance policy, if the plan holder dies, the full face value of the coverage will be paid to his beneficiary either through lump sum payments or monthly income. If the beneficiary chooses to avail of the monthly income payout, the person should consider several different options with regard to the ten year term life insurance policy. The first one involves an income agreement that applies to a specific period. This means that if the beneficiary may pass away while payments are still being made, the payments will cease to be paid even if  the full face value of the original policy has not yet been released in full. Nothing more will be gained from the initial ten year term life insurance policy.

Then there is the option of availing a ten to twenty-year payout arrangement for a term life insurance policy where you are assured that the full face value will be paid in during the span of that ten to twenty year period. With this option, beneficiaries can be provided with the interest payout option where they receive only an interest payout during the given period of time and after the ten or twenty years, the full principal amount of the term life insurance policy will be released.

Conversion privilege is an option with a ten year term life insurance policy

The conversion privilege for a term life insurance policy usually extends to a maximum of only eight years for it to be converted into a more permanent life plan arrangement butt there are insurance companies which give the plan holder an opportunity to use the entire ten year period and still grant a conversion contract. There are also a number of rider options you can add to your initial coverage to increase the benefits from your term life insurance plan. These are the accidental death rider where the beneficiary payout is doubled if the plan holder dies in an accident and the disability rider wherein your premiums will be paid for you by the insurance company if you ever get into a situation that disables you as a result. The responsibility will be taken upon by the company after the sixth month that you are disabled.

A term life insurance policy may also entail certain minimum and maximum amounts which the company will issue depending on the plan holder’s age and medical condition at the time of application. Get a free quote today to compare rates for a ten year term life insurance policy.