Term life means you get insurance coverage for a certain term, after that you will get your insured amount. If you have not bought a term life insurance plan yet, you should immediately buy a term life
You should buy term life for the following three reasons:
You will get financial compensation if you become terminally ill or encounter accidents.
You will be able to build sizeable savings by paying premiums every year for 20-25 years or a number of years you have chosen for your term life. You might not be able to save money regularly but by paying premiums regularly, you will be able to save money.
You receive the insured amount when your policy matures.
The money you receive after the policy matures is residual income. Residual income means an income that you generate from something you have done in the past and without any ongoing work. Let’s say you worked for 20 years and received pension or retirement funds. That’s residual income. Your insured amount is also residual income because you made that amount from something you have done in the past.
The money you receive from your term life policy is a residual income that you can use to manage your life when you are not able to earn active income because of old age or failing health.
You should buy term life for the following three reasons:
You will get financial compensation if you become terminally ill or encounter accidents.
You will be able to build sizeable savings by paying premiums every year for 20-25 years or a number of years you have chosen for your term life. You might not be able to save money regularly but by paying premiums regularly, you will be able to save money.
You receive the insured amount when your policy matures.
The money you receive after the policy matures is residual income. Residual income means an income that you generate from something you have done in the past and without any ongoing work. Let’s say you worked for 20 years and received pension or retirement funds. That’s residual income. Your insured amount is also residual income because you made that amount from something you have done in the past.
The money you receive from your term life policy is a residual income that you can use to manage your life when you are not able to earn active income because of old age or failing health.
