Term life insurance is one of the must-have protections for every married person! It is a protection for the family. In case of the death of the insured, the family of the insured can receive a certain amount of compensation so that they will not have to live in financial difficulties. People with a sense of family responsibility often pay special attention to term life insurance.
So, how do you purchase term life insurance? How do you choose the insured amount and the insured period? Don’t worry! Today, I will teach you a few simple methods to determine the insured age and insured amount. Read on.
1. How to purchase term life insurance? How to choose the coverage age for term life insurance?
How to choose the age of term life insurance coverage? This is a question that many people are concerned about. In fact, the coverage mainly covers the following points:
1. Ensure that children can work independently
One of the main purposes of term life insurance is to worry about the death of the breadwinner, which will leave the children without the financial ability to complete their studies and live. Therefore, term life insurance must ensure that the children can work independently.
For example, if the insured is 30 years old and the child is 1 year old, and it is expected that the child will graduate from college and start working in more than 20 years , then 30 + 20 = 50 years old. The insured can then choose to insure until age 60 or 30 years, which covers after the age of 50 .
2. The guarantee period needs to cover the time for mortgage and other debts to be paid off
The protection period also needs to cover the time it takes to pay off the mortgage and other debts. For example, if the loan is for 30 years, then the life insurance can be protected for 30 years. This is what we usually say “keep the love but not the debt”.
2. How to purchase term life insurance? How to choose the coverage period?
So, when buying term life insurance, how do you choose the coverage period? Here is a small suggestion for everyone. The coverage of term life insurance should be enough to cover the family’s debts, including mortgages, car loans, etc., and leave some more coverage for children’s education and family life.
For example, if the mortgage and car loan are totaling 500,000 yuan, it is recommended that the insured person purchase at least 1 million yuan in insurance coverage, of which 500,000 yuan would cover the mortgage and car loan, leaving 500,000 yuan for the children to complete their studies and for the family’s living.
3. Final Thoughts
Of course, if it is not enough, you can also shorten the insured period and the insured amount appropriately, depending on the actual situation. If you have any needs for term life insurance, you can directly contact our consultants to provide one-on-one service for you.
