Benefits of Term Life Insurance

• The very first advantage of term insurance is that being the purest form of insurance it is available at nominal prices as compared to variable, whole or universal insurances.
• When you opt for a term insurance you opt for a specific say 5, 10, 15, 20, 25 and 30 years which means you are securing those number of years as specific coverage period. Thus, it provides you with the flexibility of choosing your coverage term as per your requirement. Term insurance is also available even for a term of one year.
• When you invest in a term insurance it is like you are buying money for the future of your loved ones after your existence. This means that in the event of your unfortunate demise your loved ones will not have to bear the burden of mortgages, debts, education fees and they will be able to peacefully carry forth their lives.
• A term insurance plan offers you the option of renewing your policies after the lapse of the initial term.
• The other privilege that the term insurance plan gives you is that of conversion of policies in case your life insurance needs changes. You may curtail a span of 25 years of your policy to 10 years or you may convert your plan to any of permanent plan like variable, whole or universal plans.
• When you compare the cash value insurance to the premium of term insurance during the early years of plan then the latter is significantly low.
• You may opt for a term insurance plan even to fulfill a specific future financial obligation for example mortgages.
• Term insurance plans are easy to understand and execute and do not incur many hidden expenses as the amount is not invested anywhere in the market.
• Term insurance plans prove to be very advantageous to those who are young and have dependents. These plans are affordable and thus, you can buy one for yourself without actually burning a hole in your pocket.
• If covering temporary financial obligations is running in your mind then term insurance can surely be your cup of tea. These plans can be tailored to cover specific temporary financial needs. 

• Term Insurance can not be used as a means of growing money. It will in no way provide you with any capital gains or interests.
• The specific term can also serve as a drawback. For example if you have opted for a term of 15 years and then after 15 years you wish to extend your coverage then you will have to present proof of insurability. It is not guaranteed that you will be given the extra coverage, that can be denied or you may be able to get it but may have to pay in higher premiums.
• If your health conditions are on the verge of deteriorating then you may get stuck up with paying higher premiums.
• If you wish to opt for a plan that covers beyond your life expectancy than term insurance may not be a wise solution as term insurance plans are designed to be temporary.
• Some plans that are available in term insurance are the ones that can not be renewed or they become expensive as the time passes thus carrying them forth becomes difficult especially when you are heading towards your golden years.