Term life insurance in Palm City FL allows policyholders to purchase plans for a set period of time. There are several types of term life policies, though, so it’s important for policyholders to get a good idea of what kind of coverage they need prior to taking out a policy. Read on to find out about a few of the options that are available.
Level Premium
With a level premium plan, the premium will stay the same for the duration of the policy’s life. Those who outlive the terms of their policies should note that while it is often possible to renew coverage without undergoing a second medical exam, the premiums often rise annually after the original policy has expired.
Annual Renewable Term
This type of policy offers coverage for one year at a time with options to renew each year for a prespecified duration of time. Rates tend to go up each year, as they are calculated based on the probability of policyholder dying within the next year.
Return of Premium
These policies are perfect for those who want to have protection in place for their beneficiaries but are confident they will outlive the policies. If no death benefit has been paid out when the insurance term ends, policyholders can get their premiums back. The primary downside of this type of plan is that prices tend to be at least 50% higher than comparable traditional term policies.
Guaranteed Issue Term
This type of policy requires no medical exam but comes with higher premiums. Those who are ill or have an extensive history of medical issues may want to look into these types of plans. Keep in mind, though, that guaranteed issue policies tend to offer graded benefits that only pay out partial payments in the event that the policyholder dies within the first year, or several years, after taking out a policy.
Final Expense
This form of term life insurance in Palm City FL is intended to cover funeral expenses. It will pay a lower benefit than the other forms of term life insurance described above and will usually require higher monthly premiums, but it will not require the answering of extensive questions or a professional medical examination. Browse our website to learn more about how to apply for these insurance policies today to get started.