Term life insurance
Term life insurance provides low cost insurance protection for a set time – 10, 20, 30 years or until you turn 65. Payments stay the same over your set term and depending on your policy, you can renew your policy, change to another type of insurance or end your coverage.
When you die, the amount of money you're covered for goes to who you choose – your spouse, kids, parents, a friend or a cause you're passionate about. The money is tax-free for the person or charity of your choice. Your loved ones can then use the money to pay bills, the mortgage, pay for kids' education or keep your business running.
Term life insurance provides the option to convert to a permanent life insurance policy without providing proof of health. However, this ability to convert to permanent life insurance has an expiry date. When purchasing term life insurance, you need to understand your conversion options.
