How to secure life with investment

 Term insurance provide financial security to depend family member in case death happened of policyholder in that period or term.

Here are some key features of term insurance:

Coverage period: 

Term insurance provides coverage for a specific period, especially from 5 to 30 years. The policyholder pays regular premiums during this term, and if they pass away within the term, the death benefit is paid out to the beneficiaries.

Death benefit:

The death benefit is the amount of money that is paid to depend family member upon the death of the insured. The policyholder chooses the desired death benefit amount at the time of purchasing the policy. The beneficiaries can use this payout to cover expenses, such as funeral costs, debts, mortgage payments, or to replace the insured person's income.

Premiums:

Term insurance premiums are generally lower compared to permanent life insurance policies. The premium amount is determined based on factors such as the insured person's age, health, lifestyle, and the desired death benefit amount.

Renewable and convertible options:

Some term insurance policies offer renewable and convertible options. Renewable term policies allow the policyholder to renew the coverage at the end of the term without the need for a medical exam. Convertible term policies provide the option to convert the policy into a permanent life insurance policy without undergoing a medical exam or providing proof of insurability.

No cash value:

Unlike permanent life insurance policies, term insurance does not accumulate cash value over time. This means that if the policyholder outlives the term, there is no payout or return of premiums paid.

Term insurance is often chosen by individuals who have specific financial obligations or dependents during a certain period, such as paying off a mortgage, supporting children until they become financially independent, or covering debts. It provides affordable coverage and flexibility, allowing policyholders to tailor the coverage term to their needs.