Term life insurance is a coverage plan that provides a guaranteed payout to the beneficiaries of the deceased policy-holder. These plans have a number of advantages, and it’s important that you understand each, so you enjoy the benefits. Below are just a few reasons you should secure this coverage, regardless of your age.

What Are the Advantages of a Term Life Insurance Plan?

1. It’s Easy to Understand

Many people forego life insurance plans because they don’t understand them. Term life insurance is the easiest type of policy to grasp. For this policy, you only need to determine the monetary coverage amount, the length of your term, and an insurance provider. This makes it easy to shop around for plans and to work with an agent to find something that’s right for you.

2. Great Value for Low Payments

Some life insurance plans require you to build value over an extended period while you’re also paying your monthly premiums. Term plans offer great value right away, where you can establish a large payout for a convenient monthly premium.

When the term is up, you can renew. While the premium may increase upon renewal, you’ll have saved plenty of money from paying lower premiums during the first coverage period. It can be especially affordable for young customers that are in good health.

3. There’s No Payment Delay

When a person passes unexpectedly, it can leave their family in a financial bind. Funds left in an estate have to go through probate before being issued, which can take up to 12 weeks. Term life insurance payments are issued immediately to the beneficiaries with no probate process required.

This is invaluable if a family is struggling in the wake of a loved one’s passing. Proceeds are also not taxable, which will save beneficiaries a lot of trouble and money come tax time.

4. You Can Use It for Life Phases

Many families use term life insurance to cover periods of time or large financial expenses. Sending a child to college, for example, is a time many people secure coverage. Should you pass, your family will have enough money to cover the tuition debt. Once that debt is paid off, you may no longer need life insurance because there are no large, outstanding debts that could trouble your family upon your passing.

If you’re interested in securing term life insurance coverage, trust David R Johnson Insurance Agency Inc. of Indianapolis, IN. David and his team will work closely with you to find a plan that meets all your needs. They also provide convenient car insurance, renters insurance, and homeowners insurance policies. Call (317) 782-8858 to schedule a consultation or visit the website for more information. Connect on Facebook to receive updates from this State Farm insurance agent.