Term Life Insurance
Description
Term life insurance is temporary life insurance that provides a lump sum tax-free benefit to beneficiaries on the death of the life insured. Premiums are guaranteed but will increase at renewal, such as every ten years.
Objective
To provide life insurance coverage as economically as possible for a specified period of time.
Suitability
Term life insurance is primarily suited for investors with short-term life insurance needs (such as 20 years or less) or those with a long-term need but whose budget won't allow for higher premiums. Ideally, the term insurance buyer will eventually cancel the policy or convert to permanent coverage.
Features
- Low cost: Term life insurance is inexpensive. This is especially attractive to younger investors who have a smaller net worth.
- Convertibility: Term life insurance may be convertible to a permanent policy without insurability.
- Fewer Long-Term Benefits: Term insurance provides no retirement benefits or cash value later on.
- Rising Premiums: Premiums rise with age and may eventually become unaffordable.
For more information, please contact your Edward Jones financial advisor*.
Insurance and annuities are offered by Edward Jones Insurance Agency (except in Quebec). In Quebec, insurance and annuities are offered by Edward Jones Insurance Agency (Quebec) Inc.
