Hello, this is Chad McMahon, Chief Executive Officer at Protect with Insurance, and I’m here in beautiful Prescott, Arizona, right by the County Courthouse. I’m going to be talking about Term Life Insurance that has to return a premium, so it’s a return of premium term life insurance.
Now, this is a term policy – it lasts for 10, 20 or 30 years – and it is a return of premium; its normal term which covers everything and by the end of the term, you get all of your money back! That is, the premiums that you pay into it, whether they’re monthly, quarterly, half-yearly, or yearly; you will get that entire amount back at the end of the term.
So, for instance, let’s say that you have a 30-year life insurance term. Now, the policy providers at the end of those 30 years, as long as it’s a return of premium term, are bound to send you a check for every penny that you’ve paid into the policy. So, a lot of people view it as a win/win, even though life insurance is always a little morbid.
Why is it a win-win situation, though? Well, let’s say that during your return of premium term life insurance policy, you’re covered for a large amount – let’s assume somewhere around 300,000 or 400,000 dollars. And then, you survive the term, which is what everyone’s rooting for when they opt for such a policy. Now, they have to send you a check for all the premiums that you paid throughout the term!
So, term with return of premium costs more than life insurance policies without the return of premium – since you are going to get all your money back at the end of the term. Hence, it’s a wonderful policy, and if you can afford it, you should definitely go for it!
If you are located in the Cottonwood, Sedona, Flagstaff or Prescott area and are looking for more information on affordable Life Insurance please don’t hesitate to contact us. Use the links below or call us directly at – (928) 323-0933.