Term life insurance was created as an affordable solution to addressing an unexpected death during a limited number of years. For a fixed number of years, term life insurance can provide your dependents or lenders with a substantial safety net.
While the need for term life insurance varies, it’s frequently used by practicing dental professionals to protect family, provide an estate in the event of premature death, and serve as collateral for business and other loans.
Important Policies for Initial Protection
Common considerations when purchasing these policies are the number of years you expect to earn an income and the amount your family needs to sustain their lifestyle without you (mortgage, tuition, car payments, monthly bills).
Explore life insurance policy options and customize the right fit for your family, with our help.
Term life insurance at a glance:
- Compared to some other options, term life insurance is often used to provide a large benefit to young families for relatively low premiums.
- Common coverage terms are between 10 and 30 years.
- Benefit amounts are typically static.
- Policy premiums can be level or begin at a lower rate and increase annually.
- Term life may be combined with permanent life to meet coverage needs.
- Once the set term has been reached, some policies can be renewed at increased cost, terminated or converted into a permanent life policy (you may be required to go through additional underwriting).
- Common uses include:
- Providing living expenses for dependents
- Paying off mortgages and loans
- Small business loan collateral
- Funding buyout agreements between partners