ROP Term Life Insurance- Is this what you have been looking for?

Most people are familiar with term life insurance.  Term life is a type of life insurance that is only in place for a specified number of years.  The most popular term lengths are 10, 20, and 30 years.  This is an affordable way to cover an individual that has higher financial obligations now, than they will in the future.   Examples of people that typically use term insurance would be people with younger children, or people who have significant debt (mortgage, loans).  If your financial responsibilities are much greater now than they will be 10, 20, or 30 years in the future, then term coverage may be the most affordable way to make sure your family is fully covered in the event of a loss of life.

The biggest concern for people looking to obtain term coverage is that they feel that if there is no loss of life during the coverage period, that they have wasted all of their payments that they have made into the policy.  Here is where a rider called "return of premium" may be useful.  Simply put, with this type of policy if there is no death benefit paid out, the owner of the policy will receive a full refund of all of the payments they have made.  This refund is tax free, and can be put to use however you choose.

Here is an example:  A 35 year old non-smoking female in excellent health can obtain $300,000 in coverage for a 20 year term with a return of premium rider for $58.46 per month.  If there was a loss of life during the 20 years, the beneficiary of the policy would receive a payment of $300,000.  If there was no loss of life during that period, the owner of the client would receive a refund of $14,030 ($58.46 per month for 20 years).This type of policy makes it very easy for people to feel good about purchasing term life insurance knowing that if you outlive the policy you will receive a full refund of all payments you have made!

There are several different life insurance companies that offer this type of policy.  To compare rates for all of them at once, contact our office at 631-828-1322, and be sure to let us know that you saw us on the Patch!