Term Life Insurance
Life insurance provides financial protection for your loved ones, helping cover everyday expenses, debts, and long-term goals if the unexpected happens. It is a practical way to protect your family’s future and create peace of mind today.
Types of Life Insurance
- Term Life Insurance
- Whole Life Insurance
- Universal Life Insurance
What Is Term Life Insurance?
Term life insurance offers coverage for a set period (for example, 10, 20, or 30 years). It is often the most affordable way to get meaningful coverage for a specific time frame, such as while paying a mortgage or raising children.
Key Features
Fixed Term Coverage: Coverage runs for a defined term, with options to customize term length based on your goals.
Affordable Premiums: Typically lower premiums than permanent insurance, often fixed for the duration of the term.
Death Benefit: If the insured passes away during the term, beneficiaries receive a lump‑sum payout that is generally tax‑free in Canada.
Renewable Policies: Many policies allow renewal without a medical exam, though premiums typically increase with age.
Convertible Option: Some plans let you convert to permanent insurance without a medical exam within a set period.
Flexible Coverage Amounts: Coverage can range from modest to multi‑million‑dollar amounts.
Optional Riders: Options may include critical illness, accidental death, and disability waiver of premium.
Level vs. Decreasing Term: Level keeps the payout steady; decreasing reduces coverage over time (often for mortgage protection).
Joint Term Insurance: Covers two people under one policy (first‑to‑die or last‑to‑die structures).
Underwriting Options: Fully underwritten, simplified issue, or guaranteed issue depending on needs and eligibility.
Laddering: Some clients stack policies with different terms to match changing obligations.
Mortgage Protection Use: Often used to protect mortgages and other debts for dependents.
Who Should Consider Term Life Insurance?
- Young families who need affordable coverage
- Homeowners looking to protect a mortgage
- Business owners with financial obligations
- Anyone with dependents relying on their income
Frequently Asked Questions
Please reach us at insurancewithram@gmail.com if you cannot find an answer to your question.
What are the benefits of term insurance? Lower cost, flexible term lengths, and higher coverage amounts for the premium.
What happens if I outlive the term? Coverage ends with no payout, though many policies can be renewed at a higher premium.
Can I convert to permanent insurance? Many policies allow conversion within a set time frame without a medical exam.
What affects the cost? Age, health, smoking status, term length, coverage amount, and gender.
What if I miss a payment? Most insurers offer a grace period (often around 30 days) before lapse.
Can I have multiple policies? Yes, but total coverage is assessed during underwriting.