Get an affordable term life insurance plan designed for you
Term life insurance is one of the many options for you to protect your family and finances. It ensures that you will have something to pass down to beneficiaries during a specific time or term. It is one of the easier forms of life insurance to invest in and understand. ThinkInsure works with the leading term life insurance providers in Canada. Our advisors can compare the best term life insurance quotes and plans to get you a policy that meets your protection needs and budget.
Here, you’ll learn about how term life insurance works, how it compares to other types of coverage, how to get quotes and get answers to common questions.
What is term life insurance?
Term life insurance is the most straightforward and simple to understand life insurance option – also a reason why it is one of the most popular types of life insurance. As the name suggests, you purchase this life insurance for a defined time (5 years, 10 years, etc.). If the insured passes away during this time, benefits will be paid out.
It provide short-term protection at the lowest cost for a set period of time. It is a very affordable option and suited to young families on a tight budget or homeowners holding a large mortgage.
How term life insurance works
Term life insurance is a product with a defined time period. It is valid for the duration of your policy. For example, if you take out a term 10 policy, it will be valid for 10 years. If you take out a term 20 policy, it is valid for 20 years.
The plan comes with a guaranteed death benefit. This will be paid out if the policyholder passes away while the plan is active. There are no savings or cash value components to this product.
Often you can extend your term insurance at the time of renewal – at a rate that is suitable for your age. The new rate could be much higher than your original policy, a reason why many people opt for longer policies – which locks in your premium. At a certain point, you won’t be able to renew due to your age or state of health. You’ll pay premiums on a monthly or annual basis, and there is no cash value in the policy.