Term life insurance is a type of insurance policy that provides temporary protection against the loss of a person's income. Term life insurance usually has a term of 10 to 20 years, and premiums are based on the age of the policyholder and the amount of coverage desired. You can also click on https://www.apluswealth.com/life-insurance/term-life-insurance/ to get more information about term life insurance in Canada.
The policyholder can select from a variety of coverages, including death benefits, income replacement benefits, and extended benefit plans.
There are two types of term life insurance: universal life and whole life. Universal life insurance pays out a set amount regardless of when you die. Whole life insurance pays out only if you die within a pre-determined period of time (usually 10 or 20 years).
The main benefits of term life insurance are that it is relatively inexpensive and provides a guaranteed payout in the event of your death. However, there are some disadvantages as well. Term life insurance does not provide protection against estate taxes or personal creditors. And, since it has no cash value, it cannot be used to pay off debts or contribute to retirement accounts.
To be eligible for term life insurance, you must be at least 18 years old and have a valid credit score. You also must have a stable job and no major health concerns. If you do not meet all of these requirements, you may be able to still qualify for term life insurance if you can prove an extended financial commitment to your family.