6 Things to Know About Buying 10-Year Life Insurance


Friday, June 25, 2021 / 10:00AM /Sponsored post by Clayton Richard /Header Image Credit: Insurance Info Institute

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How to Define 10-Year Term Life Insurance

A 10-year term life insurance policy can be a wonderful choice for many people. Those who need to satisfy a mortgage, finance their dependent's college education, and even those planning for retirement can make 10-year term life insurance work for them. It is a tool they use for financial stability and fiscal health.


To understand 10-year term life insurance, it is important to understand a few basics. For instance, you should know that term insurance is one of the two top-level kinds of life insurance. Whole life insurance-that never expires-is the second. With term insurance which expires at the end of a certain time, you can get policies usually in increments of five years and a 10-year minimum. So, you can choose a 15-year, 20-year, or 25-year term and so forth with or without a medical exam.


It works very simply. In exchange for paying monthly premiums, the insurance company agrees to pay an agreed-upon sum through death benefits (such as $50,000 or $100,000). If you pass away during the 25-year term, for example, your beneficiary will receive this payment if your premiums were paid, and your policy was active. The payment comes free of taxes, and they can use the funds however they wish.


But does it make sense for you? Consider these six situations and statements that might apply to you.


I have Many Daily Expenses.

Many people have an enormous amount of daily expenses they need simply to run a household. Because of this, a good price on life insurance is a high priority. Getting 10-year term life insurance is one of the most affordable life insurance formats given its relatively short duration of coverage.


This policy is a strategy that people use to gain insurance while keeping premiums at a level they can afford to pay each month to keep their life insurance active.


I am Paying Off Student Loans.

If you have student loans that you can possibly afford to pay off in the next 10 years, then it often makes sense to get a 10-year term life insurance policy to cover that expense until it is resolved.


With an affordable monthly payment, it also means that you can worry less about handling all your monthly expenses and rest knowing that in the worst case, no one will have to inherit your loans.


I have a Mortgage Payment.

Many times, people who have a shorter amount of time left on their mortgage schedule can get a cheaper life insurance policy to efficiently protect their loved ones before it's completely paid. It ensures that the legacy you leave is one of positive wealth and financial health so that beneficiaries and children can enjoy what you leave as a final gift to them.


I am Paying for my Child's Tuition.

Paying for an education is expensive. And, while you do that, unfortunately, there's the risk that the whole arrangement can be disrupted and halted for your child if something were to happen to you. However, 10-year life insurance can more than cover the average time spent on advanced education.


That means that a 10-year policy is a wise choice to be certain that your child will have the means to complete their degree no matter what happens.


My Spouse is Approaching Retirement.

If you have an existing policy, but perhaps not the ideal amount of coverage. A 10-year life insurance policy can be a smart way to offset the difference and increase the level of coverage you enjoy with a small, additional monthly premium.


The 10-year policy can mean even more safety if you were not able to get or plan for more coverage with your first policy.


I am Securing a Large Loan.

Finally, if you operate and own a small business, a 10-year life insurance policy can be smart if you decide to take out a loan for the business. Even if you do so personally, the life insurance can cover you for the duration of the loan payment schedule, meaning that you do not run the risk of giving a financial burden to those who survive you.


Choose 10-Year Life Insurance with Sproutt

Getting 10-year term life insurance can be an intelligent financial decision for countless life situations. These are some of the most common concerns, and if you feel that one of them applies to your life, then it makes sense to begin to look for 10-year life insurance quotes with Sproutt.


Sproutt is a life insurance broker powered by advanced technology and life insurance industry insight, securing the best rates for customers searching for life insurance. They can help you get fair terms, low premiums, and the highest possible death benefits in both term and whole life insurance forms. Check them out.  

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