Term Life Insurance
Term life insurance is exactly as it is called, insurance that lasts for a
specified term, or period of time. The longer the term (5, 10, 20, 30 years) the
more it costs.
Different factors can change the cost of your policy--how old you are, what
is your health condition, and the value of the insurance policy you are looking
for all will figure in on the premium.
If a current 100, 000 policy cost more than a new 250, 000 quote there are a
couple of reasons why that may be.
First, if your current policy was written before you were 21 years old that
will always be a little more expensive. Second, your current policy could be for
a much longer term. Third, you are being quoted the 250K at the best possible
rates before you are even properly rated by the underwriting process. Fourth,
the 250, 000 quote could be an accidental death policy instead of a standard
policy.
These are the most common difference in the cheaper policies.
In short, you need an agent to walk you through the process. If you have an
auto or home agent, he/she would be the first one to talk to as a policy through
them might also discount your auto or home policy by having it bundled in the
same company. There are a lot of variables involved with life insurance this is
just a very quick summary of some basic points.
