Term Life Insurance Explained

term life insuranceTerm Life Insurance is the simplest and purest of all life insurance products. Below is a great video from Transamerica explaining how Term Life works. If you’d like to know more about term life, send us a message, and we will get you fixed right up. It’s what we do!!

Term Life Insurance

Term life insurance provides coverage for a limited period of time, the relevant term. After the term is over, coverage is no longer guaranteed and the client either loses coverage or must obtain coverage with higher premiums or lower face amount. Term insurance is the least expensive way to purchase life insurance, but it is limited to a specific period of time.

Term vs Whole Life

Okay, I get what Term Life is, but what about Whole Life.  What’s the difference?  Well, the big difference is that term life insurance serves as pure insurance only, whereas whole life insurance is actually insurance plus investment.  So, over time, whole life policies build up a ‘cash value’ that is actually your money.

Another major difference is that Term Life is limited to a specific period of time, or a term, whereas Whole Life is frequently called ‘permanent’, because it doesn’t expire as long as you are alive and keep paying your premiums.

Do we sell term?

Absolutely.  And we represent some great companies such as Transamerica (ya know, the company in the pointy building in San Francisco), North American Life, Banner Life / Colonial Penn, Genworth, & Mutual of Omaha, just to name a few.  Drop us a note if you’d like to know more.

 

About Scott Bradshaw

Scott Bradshaw is a long time Texas resident and native. He grew up in Fort Worth and received his MBA from Baylor University. In addition to his insurance practice, he enjoys playing tennis, hiking in River Legacy park, and volunteering.
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