5 Year Term Life Insurance

Because of it's low premium costs the 5 year term life insurance policy is one of the easiest policies to understand.

It maintains a guaranteed level premium for 5 years. With many companies, if you don't convert this policy, you will have no more insurance after the 5 year period has passed.

In other cases, however, the 5 year term insurance premium increases at the end of the first 5 years and may increase every 5 years thereafter.

This kind of life insurance policy is considered temporary life insurance. 5 year term life insurance is designed to fulfill temporary insurance needs.

Don't pay too much for life insurance! Shop and compare Quality Quotes from Quality Carriers first. Just answer a few quick questions then get your Quotes. The process is Easy and FREE. Click Here For Free Quotes

Advantages Of 5 Year Term Life Insurance

  • This policy has one of the lowest premiums you can find in a life insurance policy. The death benefit remains level for the duration and is guaranteed.
  • The death benefit is paid to your beneficiary free of income taxes in most cases.
  • The owner has the option of converting his or her 5 year term policy to a permanent life insurance policy... cash value life insurance policy ...without having to qualify for it all over again.
  • Some life insurance companies offer the owners of this policy the option of renewing it every 5 years...usually at a higher premium.

Uses Of The 5 Tear Term Life Policy

  • This 5 year term life policy is usually used for temporary life insurance needs like covering an outstanding loan.
  • It may be used to guarantee funds to pay for a college education for a child in the event of your death.
  • Because of the low cost of the premiums it is used to cover family needs on a temporary basis. In this case it is usually converted to permanent insurance when the owner is able.
  • If they are short of cash business people use the 5 year term policy to fund buy-sell agreements if one of the partners or shareholders should prematurely die.

    Whenever the business is doing better they either convert the 5 year term insurance policy to a permanent policy or they buy a term life policy for a longer period of time...if they can qualify for the new policy.
  • 5 year term is used for key employee insurance on a temporary basis.

Available Riders

These riders are available and can be added to your 5 year term insurance policy at a minimal extra cost.

  • The waiver of premium rider takes away the burden of premium payments during disability. You must be disabled usually for a minimum of 6 months.
  • The accidental death benefit rider ...or double indemnity rider allows for the payment of double the face amount of the 5 year term policy if you should die in an accident.

There are other available riders that can be added to this policy but they vary from company to company.

The 5 year life insurance policy can be bought as a rider also. It is usually added to a permanent life insurance policy providing additional life insurance for the insured.

Some companies offer 5 year term life insurance as a rider on the lives of a spouse or children.

Shop and compare Insurance Rates from 100's of the Top Carriers. Get the Best Quotes possible. Save up to 70%. Click Here

Home 5 Year Term Life Insurance Affordable Life Insurance Term Life Insurance Mutual Funds Affordable Life Insurance Policy Financial Planning Estate Planning Affordable Term Life Insurance 10 Year Term 15 Year Term Life Insurance 20 Year Term 25 Year Term Life Insurance 30 Year Term Insurance Decreasing Term Life Insurance Quotes Low Cost Term Life Insurance Term Life Insurance Quotation Whole Life Insurance Online Quotation Life Insurance Income Life Insurance Buying Tips Best Life Insurance Quote Life Insurance And Family Protection Non Medical Life Insurance Medical Examinations Insurance Commissioners Websites Advantages Of Whole Life Insurance Annuity Graded Premium Life Insurance Lapsed Life Insurance Policies Limited Payment Life Insurance Mortgage Life And Disability Insurance No-Load Life Insurance Annuity

Tools And Resources

Life Insurance Need Calculator

Recent Articles

  • follow us in feedly
  • Add to My Yahoo!
  • Add to My MSN
  • Subscribe with Bloglines
  1. Life Insurance - Reasons Why You Should Buy Now

    Should life insurance buying be seen as an urgent matter? There is something about some people that at times may cause them to procrastinate about matters that could end up being quite costly...

    Read More

  2. Affordable Term Insurance - Affordable Term Life Insurance Policy

    Let us talk affordable term insurance. You want a policy that can fit into your budget, right?

    Read More

  3. Advantages Of Whole Life Insurance - Advantages To Owning Whole Life Insurance

    It can be a very satisfying feeling when you become aware of the advantages of whole life insurance for the first time.

    Read More

  4. Best Term Life Insurance Rate - Learn Which Is The Best Term Insurance Rate

    The best term life insurance rate can be quite easily found on the internet today because web insurance companies have done intense research on behalf of the consumer.

    Read More

  5. Great 30 Year Term Insurance Policies Explained - 30 Year Term Life Insurance

    I recently did some research on the development of the 30 year term insurance policy over the years. What I learned was quite interesting.

    Read More