Better Term Life Insurance with Return of Premium

Are you shopping for life insurance? It can be tough to pick one best type of coverage for you, and for the security of your family. While you are considering, here is some more information that may make your choice easier.

We know that term is usually cheaper. That is because it does expire after a time period, and because it does not normally grow any cash value. It is considered pure insurance.

But on the other hand, whole life covers us through our entire lives. As long as we keep the policy in force, it will provide coverage on our lives. It also can build up a cash account or cash value. This can be borrowed against, cashed in, or used in senior life settlements. This makes whole life attractive too.

Now you must consider one more term life rider that may make a policy more attractive. Return of Premium (ROP) means that you can get all of your money back if you survive your policy. If you buy a 10, 20, or 30 year policy, and you live past the end date, you can get a check back at the end!

Think about this simple example. Mrs. Bradshaw took out a twenty year policy with a half million dollars in death benefits. At the end of two decades, she might be happy to be alive. But she cannot get any benefits from her policy.

But she might decide to pay a bit more for the ROP rider. Then she can pay on her policy for twenty years, survive until after it expires, and collect the total amount of her premiums paid inn one check at the end.

Understand that the policy will either pay out a benefit or it will refund premiums. If the insured person would pass away in year 8 of the policy, and a spouse or child collected, then there would be no premium refund.

Still, this makes term with ROP attractive to many people. They get the lower term premiums, but with just a little more added to their premium, they can get their money back at the end. I still cannot tell you if this is the choice you should make. Your own situation is unique. But I think that many people would take this option if they knew about it.

Visit us to look for return of premium term insurance in your city or town. You need to make an informed choice, and find the best types of life insurance for you.