what is mean by term insurance?

Answer 1

~ Term is a lengh of time... as determined by the insurance contract. Term insurance is cheaper than whole life insurance, as there is no savings plan involved with term insurance.

Answer 2

Term can mean how long the insurance is good for. If you pay for a 6 mo. car insurance policy in one payment, the policy is good for six months and usually available for automatic renewal as long as you pay the premium. 6 months equals 1 term. So if you've had 20 terms with your auto carrier then you've been with them for 10 years.

Also in life insurance you can get Term life, or a set amount of years the policy is active. A Term life policyis good as long as you pay the price till time of death. Or you can get a policy that is only good for 10, 20, or 30 years. Whichever one you choose.

Answer 3

as in term life insurance - or whole life -

Whole life - you have insurance in case you die along with a
savings account - where you get money back when you reach a certain age - the bad news here - the insurance company will make 3to 4 times what they give you back when you're 70

term insurance only covers the cost of the insurance - and is your better deal - then take the extra money you would have spent and place it in a ROTH IRA

best deal - term insurance

best to get it while you are young - lowest rates

Answer 4

Insurance policies are designed difeerent ways to suit several group of people. These different policies aslo have different period of insurance catered for individual needs. Such policies are known as term insurance.

Answer 5

It`s nothing but a compensation against your person or property etc...you will get that compensation when you loose or damage of that person or property etc.