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Old 07-11-2007, 11:12 PM
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Join Date: Mar 2007
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What are the advantages and disadvantages of term insurance?

I was wondering why people buy term insurance instead of whole life insurance, especially in the light of the fact that there are several compelling reasons to purchase term insurance.

As a matter of fact, I am about to purchase some insurance for me so your answer would greatly assist me in making my decision.

Thx!



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Old 07-11-2007, 11:29 PM
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Term insurance is very cheap whereas Whole life is expensive! I think most people cannot afford Whole Life and instead buy Term Insurance.



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Old 02-21-2011, 09:18 AM
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Hi,
As the Term life insurance introduced, people are most likely to move towards this policy coz low premium have to pay in this plan.
As a lot of people are more conscious to pay less against such policies thats why term insurance policy seems better.



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Old 02-22-2011, 06:49 PM
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Don't forget Term insurance is as good as what it says, that is offers protection for a limited period of time. During this time, the insured has perceived a potential risk for a limited period of time and he or she that purchases this type of insurance now secures a protection that covers this risk period of time.

Thus, the discussion should never focus on which type of insurance is best. The main point here is whether the type of insurance purchased covers the risk for the intended period.



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Old 05-18-2011, 11:19 AM
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“I was wondering why people buy term insurance instead of whole life insurance, especially in the light of the fact that there are several compelling reasons to purchase term insurance.”--> I guess there are people that recommend that you buy term insurance rather than whole or universal life; Many people only have a temporary need for life insurance, not a permanent need; the purpose of term life insurance is to provide a death benefit to your beneficiaries within a limited time context by providing temporary insurance coverage for you and your family, and also the temporary nature of term life insurance means that you should be focused on what exactly you are insuring and why. Another reason may be that premiums are inexpensive; you can be twice as much coverage for less premium if you buy term insurance the lower cost of term insurance helps them achieve other financial goals quicker in the short term, even if they do or will have a permanent need. However, many recommend buying the longest term policy you can afford. While this might increase costs, you'll be protected for a longer period of time.I guess you may get some help from a life insurance agent/ expert.



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Old 05-19-2011, 04:29 AM
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Due to low premiums the term policy has more popularity than whole life insurance but the limitation is the specific time period under which you will have the protection not the whole life.


Last edited by TaxGuru : 05-21-2011 at 11:32 AM.


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Old 11-30-2012, 02:14 AM
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Term and permanent policy

What is a term? There are 10 year 20 and 30 years. After it reach the term year the policy will automatic end. There are advantage and disadvantage in term policy. Any question don't hesitate email me



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Old 02-07-2013, 01:35 AM
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Peoples are moving towards term insurance because it is very cheap. But people forget one things while choosing term insurance policy that the maturity of this policy will be also very low. So whole life insurance is the best.


Gold Coast business coach


Last edited by st david : 02-18-2013 at 03:57 AM.


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Old 09-06-2013, 09:06 AM
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Join Date: May 2013
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Hello Members,

Insurance serves many purposes and has many benefits for both individuals and business.Policies are purchased to provide protection against the potential of unexpected future losses and can help make sure assets,income,property and lifestyles are kept whole.

I hope this information is helpful for all the members.

Thanks.



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Old 12-16-2013, 05:34 AM
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Join Date: Dec 2013
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Work Compensation

The Main Advantage of Term Insurance of Particular Individual is that if a insured person dies with the insurance period then nominee of that insured person will get full sum assured.
And the disadvantage of term insurance is that if insured person does not dies within the insurance period then no any amount will get from insurance company to insured person or nominee .
But in my view everyone should have take term insurance in his or her life in first priority.



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