Term Life Insurance Plan Selection

Variety is certainly not lacking among term life insurance plans. Carriers offer policies that can accommodate almost any individual need or preference. The number and breadth of term coverage available ensures that you will be able to find a plan customized to your needs. When selecting a plan, you might begin by looking at the three most common ways term life policies differ: cost or value, term length, and the insured party. Each of these classifications is explained below, and links are also provided to policies that fall within each grouping.

Policy Cost or Value

• No load term life insurance. A policy that dispenses with the extraneous fees, like commission, that drive up term life premiums.
• Decreasing term life insurance. Decreasing term life plans have premiums that gradually diminish over time to ease the long-term strain on your budget.
• Guaranteed term life insurance. Certain consumers may be able to qualify for a guaranteed term insurance plan without having to pass a medical exam.
• Increasing term life insurance. If your insurance budget is fairly modest right now, consider increasing term life, a plan that offers very low initial premiums.
• Return of premium term life insurance. ROP term life refunds all of your premiums plus interest at the end of the policy's term if you are still alive.
• Level term life insurance. If you do not want drastic fluctuations in your term life insurance premiums, consider a level term life policy with premiums that never change.
• Modified term life insurance. Modified term life offers a number of options, including increasing or decreasing premiums as well as automatic renewal possibilities.

Term Length

• Short term life insurance. When you need a small amount of term life protection immediately, short term life is a quick and economical option.
• Fixed term life insurance. Fixed term plans offer protection for a finite period of time, such as 15 or 30 years. The length of a fixed term policy is up to you.
• Renewable term life insurance. Renewable plans allow you to continue your coverage at higher premiums when the policy's term expires without offering further proof of insurability.
• Convertible term life insurance. Convertible plans offer all the standard benefits of term life, but leave the option of making the coverage permanent open at any time during the policy's term.

Who Is Insured?

• Group term insurance. Normally offered by employers, group term life plans offer reduced premiums in exchange for insuring a large number of people.
• High risk term insurance. These plans are ideal for people of advanced age or with preexisting health conditions who cannot qualify for traditional coverage.
• Term insurance for children. Term life plans that insure those under the age of 18 typically cover things like funeral and burial expenses.
• Term insurance for families. Parents can add their children to their plans at a minimal cost with term life insurance for families.
• Joint term life insurance. Rather than paying more to insure each spouse or partner separately, a joint term life insurance policy insures both spouses with a single, affordable policy.
• Term life insurance for individuals. Individual term policies offer protection for those who are self-insured, or those who do not have employer-sponsored coverage.
• Term life insurance for people in the military. Service members often need life insurance urgently before deployments, and military term life can meet their unique needs.
• Term life insurance for seniors. Advanced age does not necessarily rule out the possibility of term life protection. Term life plans for seniors can offer substantial coverage to those over the age of 50.