Where have you found the best priced life insurance? Have there been any particularly competitive players in the market?
Total Comments: 12
Posted: Tue Nov 24, 2009 09:38 pm Post Subject:
yes it does, but it raises another question:
lets say I'm 30. whats the difference between getting a term life policy for say 70 years and a whole life "perm" policy?
they both provide cover until I'm 100? I take it the main difference would be cost? Is there a max term you can take out "term" cover for?
Posted: Wed Nov 25, 2009 03:54 am Post Subject:
No. Term insurance is bought for a specific period of time, hence the use of the word "term." For example, you can buy term insurance for varying lengths of time (e.g. "1-yr. term," "5-yr. term," "10-yr. term,etc.). At the end of that period of time, the policy may allow renewal for another 1, 5 or 10 year term without evidence of renewability. This differs from the idea of paying premium as asked in your question.
Actually, 5, 10, 15,20, 25, and 30 year term policies are very rarely 5, 10, 15, 20, 25 and 30 year term policies. In reality, most of them are simply annually renewable term insurance, but the premium is level for the first 5, 10, 15, 20, 25, or 30 years. For example, with what most people call "10 year term", the price will stay level for the first 10 years and then start increasing on an annual basis. The policies usually last until somewhere between age 85-100. Of course, they become too expensive to keep.
Posted: Tue Nov 24, 2009 09:38 pm Post Subject:
yes it does, but it raises another question:
lets say I'm 30. whats the difference between getting a term life policy for say 70 years and a whole life "perm" policy?
they both provide cover until I'm 100? I take it the main difference would be cost? Is there a max term you can take out "term" cover for?
Posted: Wed Nov 25, 2009 03:54 am Post Subject:
No. Term insurance is bought for a specific period of time, hence the use of the word "term." For example, you can buy term insurance for varying lengths of time (e.g. "1-yr. term," "5-yr. term," "10-yr. term,etc.). At the end of that period of time, the policy may allow renewal for another 1, 5 or 10 year term without evidence of renewability. This differs from the idea of paying premium as asked in your question.
Actually, 5, 10, 15,20, 25, and 30 year term policies are very rarely 5, 10, 15, 20, 25 and 30 year term policies. In reality, most of them are simply annually renewable term insurance, but the premium is level for the first 5, 10, 15, 20, 25, or 30 years. For example, with what most people call "10 year term", the price will stay level for the first 10 years and then start increasing on an annual basis. The policies usually last until somewhere between age 85-100. Of course, they become too expensive to keep.
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