Determining The Best Term Life Insurance For You

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best term life insurance

If you have anyone that depends on you, then you should definitely consider life insurance. Life insurance can be one of the best ways to protect your family from, God forbid, the financial catastrophe of losing you. When it comes to life insurance options, having the best term life insurance can help to do just that; secure your family's future.

Dealing with tragedy is emotionally difficult and no one likes to imagine it. However, although it can be uncomfortable to think about the need for life insurance, it can provide peace of mind to make sure that your family is provided for in the worst-case scenario.

If the unimaginable happened, it is easy to see how they would likely feel overwhelmed by the idea of handling new financial responsibilities. However, you can take steps to find the right life insurance policy now. In turn, you'll know that your family will be financially secure no matter what happens to you.

Today we will explore what term life insurance is and how it can fit into your financial plans.

What is term life insurance?

Term life insurance is a type of policy tied to a set number of years. If you passed away within the set term, then your family would receive an agreed-upon payout amount. In most cases, you’ll have the opportunity to choose a life insurance term between 10 to 20 years.

For example, let’s say you take out a life insurance policy for $250,000 to cover a 20-year term. If you passed away before the 20-year term was up, then your family would receive the $250,000 payout.

Of course, the payout is contingent on the fact that you’ve kept up with your insurance premiums for the duration of your term.

How is term life insurance different from whole life insurance?

If you’ve been researching your life insurance options, then you’ve likely come across whole life insurance as another option. With whole life insurance, you are signing up for your entire life instead of a specified term. With that, your family will receive a death benefit no matter when you pass away.

In addition to the death benefit, there is usually a cash value of investments associated with whole life insurance. The cash value component is an investment portfolio that the insurance company builds for you as you pay your insurance premiums.

Due to the extended nature of whole life insurance policies, the cash value component and the associated commissions and expenses, this type of coverage is usually more expensive.

In many cases, you may be better off choosing a term life insurance policy and investing the difference between the two premiums. By investing the difference in index funds, for example, you are likely to get a better return on your investment than a whole life policy after you work out the fees.

You'll also have more flexibility over your investment portfolio and enjoy the peace of mind of a payout for your family if you passed away prematurely.

Who can benefit from term life insurance?

If you have anyone that depends on your income at all, then life insurance is a good idea. Of course, the hope is that you’ll live a long and happy life in which the lump sum of your term policy is never paid out. But you likely want to protect the financial stability of your family in the event of your death.

A few people that might consider life insurance include a married couple with a new mortgage or a young mother with children that intend to go to college. If you are currently paying for a major financial commitment such as a mortgage or a child’s education, then life insurance is something that can protect those dreams even if you aren’t there.

The idea of life insurance can be scary to think about. After all, life insurance is preparing against the financial consequences of your death. It is important to look past the uncomfortable need for this insurance and take action to safeguard your family's future.

How to get an insurance quote with a term life insurance calculator

If you are interested in moving forward with term life insurance, then the next step is to determine how much coverage you need. Adding up the financial needs of your family in the event of your passing can be tricky.

Luckily, you can take advantage of Ladder Life Insurance’s free calculator. The free tool will ask for information about your current debts, your children, and your financial desires for their future. If you take the time to think through this calculator, then you’ll receive a very accurate estimate of the amount of coverage that you need.

It only takes a few minutes to run through the calculator and determine exactly what amount of coverage you need for your family.

What is the best term life insurance?

Our best recommendation for term life insurance is Ladder Life Insurance. Of course, there are many companies that offer this type of policy, but in our opinion, this company stands out from the crowd.

Ladder Life Insurance offers a wide range of policy options to suit your needs. After checking out their free calculator, you can decide whether or not the policies offered are the right fit for you.

What is Ladder Life Insurance?

With Ladder, you’ll be able to take advantage of term life insurance policies if you are between the age of 20 to 60. The company launched in 2017 and has taken a streamlined approach to term life insurance. The application is easy to complete online and you’ll have many options to adjust your coverage once you’ve started your policy.

Is Ladder Life Insurance reputable?

Although Ladder was founded in 2017, the policies offered through the company are underwritten by Fidelity Security Life which was founded in 1969. The combination of a sleek young company and an experienced industry player leads to a reputable combination that can provide for your life insurance needs.

The company offers a very modern approach to term life insurance. With many helpful resources on their website, it is a reputable company that is working to protect your family’s financial future.

Pros of Ladder Life Insurance

Ladder Life Insurance offers the opportunity for a quick resolution to your term life insurance needs. When you apply through the website, you should be prepared to provide a wide range of information.

After the application is complete, you may be able to receive coverage in minutes. Most applicants are approved without any medical exam needed. If that's the case, you'll be able to finalize the process completely online.

If you do need a medical exam, the company will send a mobile lab technician to your home to complete the process. In either scenario, you’ll enjoy a quick process. The coverage you receive will vary based on your needs but it could range from $100,000 to several million dollars. Once you've secured the coverage, you have peace of mind for your family's future.

A final feature of Ladder that sets it apart is that you’ll have the option to adjust your coverage as your needs change. Not only will you be able to change the death benefit amount, but also modify the term length. There is no penalty or fee for making these changes.

Cons of Ladder Life Insurance

As with all financial companies, there are a few flaws to Ladder

First, coverage is not available in New York as of April 2020. Although that may change in the future, New York residents are not able to work with this company for now.

Another restriction is that the age limit for applicants is 60 years old. If you are older than 60, then you will not be able to receive coverage through Ladder Life Insurance.

Is term life insurance right for you?

If you don’t have any dependents, then you likely don’t need life insurance at this time. However, if you have any dependents that rely on your income, then term life insurance is a smart financial move. The right life insurance policy can protect them financially even if you are no longer there for them.

Term life insurance is truly a way to bring more peace of mind to your life as you work to build a better life for your family. Take action today and work with Ladder to find out exactly how much coverage you need and move forward with your application today.

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