Five Features of Term Life Insurance

Convertibility: In term life insurance policy the policy offers convertibility from the term life insurance to individual whole life term or annual renewable term policy. It will be apply in all States. The convertibility provides facilities to the insurer to changing from term insurance policy to the individual whole life term or annual renewable term policy.

Decreased Term: The term insurance is always available in the decreasing term. In the decreasing term the premium remain same but the face value get reduce every year. It is good choice than the other term. But the reducing of the dropping value will affect you because it does not get death benefits as you expected if you live long.

Changes in Premium: The premium may be increase or decrease based on the proposed earning, mortality, tenancy or disbursals. The state authority has increase or decreases the premium upto define level. It is good that the premium amount may not be increase as utmost level stated in the policy.

Renewable: The term insurance policy is renewable. It permits the insurer to carry on with the present term policy with the all benefits. The insurer must have to follow the rules and he/she must perform the medical examination to extend the date of renewal.

Term Rider Facilities: The term insurance provides term rider facilities for the child and the spouse. It is important to give term rider facility for child up to 18 years. The term rider facilities are available with some additional premium. It will convert it to individual whole life incase of spouse and child.