Term life policies provide affordable long-term protection, but they don\u2019t last forever. If you\u2019re at the end of that 10, 20, or 30-year plan and aren\u2019t sure what to do next, don\u2019t worry \u2013 you have options. Here\u2019s what you need to know about outliving a term life policy.<\/p>\n
Term life is meant to provide temporary financial protection during the times you need it most, like when you\u2019re working, raising a family, and making big purchases, like a house or car.<\/p>\n
Term lengths typically start at 10 years and go up to 30 years. Unlike permanent plans, which last a lifetime, term life coverage will expire once the policy term has ended<\/a>.<\/p>\n So if you bought term life to cover you while you paid off your house and that final payment is coming up, you may be considering your next step. Here are a few things you can do:<\/p>\n Term life insurance is something you buy just in case, like auto or medical insurance, and hope you won\u2019t need to use. With term life, you won\u2019t be reimbursed for your premiums when your coverage ends. Unlike permanent plans, term life also doesn\u2019t come with a cash value option, so there\u2019s nothing to cash out when this policy type ends.<\/p>\n These factors help explain why term life plans are so affordable. If you\u2019re looking to build wealth<\/a> you can count on later, consider buying term life and putting the extra money you would have spent on permanent life into a savings or investment account that will grow over time.<\/p>\n Renewable term life plans<\/a> are a type of term life insurance that you can renew after a certain period, sometimes every year. This allows you to get the best possible rates for short-term life insurance, with the option to continue coverage if you need it.<\/p>\n When you renew these types of term life insurance plans, your coverage will stay the same. And because you\u2019ve already qualified once, you won\u2019t have to worry about eligibility again, especially if you develop health issues later. Your premiums, however, will increase every time you renew your plan as you get older, so you\u2019ll end up paying more over time for renewable coverage than for a single plan. You can always choose not to extend your coverage if you\u2019d prefer to buy a different policy or if you simply don\u2019t need insurance anymore.<\/p>\n Reaching the end of your term life coverage can be nerve-wracking, but you can prepare ahead of time to ensure that you\u2019re covered, no matter what. Keep the end of your term length in mind, even if it\u2019s a long way off, and talk to a life insurance company about your options at least six months beforehand so you aren\u2019t caught by surprise.<\/p>\n At Fidelity Life, we\u2019re committed to getting you the life insurance coverage you need exactly when you need it. If you plan to renew it or buy a different policy, we can walk you through every step of the process.<\/p>\n Give us a call<\/a> to talk to one of our agents or start your online quote today<\/a>.\n
Do you get your money back at the end of a term life insurance policy?<\/h2>\n
Can term life insurance be extended?<\/h2>\n
Still have questions?<\/h2>\n
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\nAt Fidelity Life, our goal is to make life insurance simple, affordable, and understandable for everyday families. This content is intended for educational purposes only. Each post is carefully fact-checked, reviewed, and updated regularly to ensure the information is as relevant as possible.<\/i>
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