Term Life insurance is temporary, and it ends at a pre-determined term. Cash is paid-out from a term life policy only if the person covered passes away during the term (or if they have special riders like Return of Premium). So why should you invest in Term Life Insurance? Is it really worth it?

Yes. Yes it is.

This guy ponders if dying during his life insurance term is worth it to have the policy pay out. How silly...

BUT WAIT-you say; term life doesn’t build cash value like a Whole Life policy does. So, if I don’t die, it’s kind of not worth it, right?

Maybe you should re-read that last sentence. Don’t forget; you don’t want to die! You want to outlive your policy. And that’s what it really comes down to. Term Life is designed to provide peace-of-mind, and you’re not expected to die under its protection. If you do, then your family will be safe from financial ruin. In short, if you outlive it, then it was worth it. Because you spent that entire term with safety and comfort knowing that, if the worst were to happen, your family would be okay.

Life Insurance wasn’t designed as a means-to-gain. You don’t purchase it to eventually profit. It’s a shield, a protective barrier, a tool to handle a tragedy; whatever defensive metaphor you’d like to assign to it.

And yes, Whole Life not only protects you, but it also acts as a type of savings account. But industry experts will almost always verify that the benefits of Whole Life do not outweigh the tremendous cost. Because with Whole Life, you’re expected to die, so obviously the cost will be tremendous.

Term Life is a much more attractive option because it provides you the protection you need at the cost you can afford during the time you need it the most. And the younger and healthier you are when you obtain a policy, the less expensive it will be. Term Life premiums can end up being a fraction of the costs of Whole Life premiums.

Feeling ready to protect yet? What other questions do you have about life insurance, or what other myths would you like dispelled? Learn even more about life insurance, as well as check out other funny videos and cool stories, in the rest of our blog!