What is Term Life Insurance
- Charlotte Burr
- Sep 24, 2025
- 2 min read
There are two main types of life insurance: permanent and term. While both will provide
your family with a financial cushion after your death, there are some major differences
between both term and permanent life insurance. The differences can be confusing
without proper definitions, so for now, we’ll simply define term life insurance. We can
cover permanent life insurance at a later date.
So, what exactly do we mean when we say term life insurance? Well, it’s life insurance
that is active for a period of time, also known as a term. Over a period of about ten to
thirty years, you will pay your premium, and, in the event of your death, the insurance
company will pay the policy amount to your beneficiary, the person you designate to
receive the money after your death. If you don’t die during the term, the policy amount
is not paid out.
What are the pros of term life insurance? One benefit of term life insurance is that it is
generally cheaper, and depending on when you purchase it, can easily cover your
family in the event of your death. What are the cons of term life insurance? There is a
small disadvantage to term life insurance since you may not receive the benefits, but
the peace of mind it provides is certainly worth the cost.
If you’re looking for the right term life insurance policy for you, give AZ Insurance Team
a call. As Phoenix life insurance broker, we can do the shopping for you and find the
best policy for your needs and budget. We hope to hear from you soon!
How AZ Insurance Team Has Your Back
At AZ Insurance Team, we’ve been serving the Valley for over a decade, helping families and individuals protect what matters most. Whether it’s reviewing your home, auto, or life insurance, summer is the perfect time to make sure you’re covered before the celebrations begin. Reach out today to review your policy and see how much you could save. Peace of mind is just a call or click away.
Independent insurance brokerage located in Tempe, AZ. We offer auto insurance, homeowners insurance, life insurance, renters insurance, commercial insurance…
Disclaimer: Coverage will vary based on state, insurance company, and type of policy
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