Do you really need urgent insurance? There are other options, is term life insurance right for you? Some people are convinced that there is no other option. Have you ever wondered why this type of life insurance is so popular? Let's take a look at some of the most popular terminology policies and see if they fit your particular situation.
10 year plan
Sometimes people buy this policy because of its low cost, even if it is not exactly what they think they want. This is a short-term solution to a problem that may be long-term. A family with young children may need a 20- or 25-year policy to protect the family until the end of college, but because of the cost, they use a 10-year policy until they can afford the more expensive policies. In some cases, on the other hand, a 10-year policy is appropriate. Your only son is 15 years old and you want to make sure he graduates from college even if you are not here. A 10-year policy may be ideal.
15 year plan
His youngest son is 10 years old. You will feel more relaxed if you have a 15-year policy that provides enough income to care for the family until the last child finishes school. This policy is also economical. Premiums and face value are the same throughout the term.
20 year plan
Perhaps the most popular term insurance policy is the 20-year life insurance policy. People tend to buy this policy when they plan to get married or newlyweds. When a child is born, it is time to buy a policy for 20 years. If you have a business, you can use this type of policy as life insurance for key employees. You can also use it to finance a sales contract for a partnership or corporation.
Plan for 25 or 30 years
Instead, you can buy any of these policies for any of the above if you anticipate that you will need life insurance for a longer period of time. Think about it, we usually assume that newlyweds should live 20 years. This couple may not want to have a baby before age 5 from now. Therefore, you may need a 25 or 30 year old insurance policy to protect this child under 25 years old. What about other family additions later on, and what if you can't qualify for the necessary life insurance when you get there?
You see, if you buy a policy for 25 or 30 years from the beginning, then everything will be settled. It is important to note that purchasing term insurance from the best life term insurance Singapore gives you the option of upgrading to permanent life insurance at a later date. Once you determine how much life insurance you need, term insurance may be ideal for you, even if it is for a temporary period.
