When a 10-Year Term Insurance Policy Makes Sense

Term life insurance could be looked at as income replacement for your spouse if you were to die unexpectedly.  The coverage is very affordable and also customizable.  One of the approaches you might take to customize your term life insurance is when you select the length of the policy term. It may be in your best interest to consider purchasing 10-Year Term Insurance.

The term length of a policy establishes the number of years you will be covered by the policy. A permanent life insurance policy lasts for a lifetime – thus the reason for labeling it “permanent.”  A term life policy will last a specified number of years – the “term.”  The regular term length choices are 10, 15, 20, 25 or 30 years.  Therefore, if you are 25 years old and you bought a 25-year term policy, you would be covered until you were 50 years old. Make sense?

A 10-year term policy is definitely one of the most inexpensive life insurance policies you can purchase, which makes perfect sense because the protection it offers lasts the fewest number of years.

The following chart shows how inexpensive 10-year Term Life Insurance can be:

Estimated Monthly Premium for a $250,000 10-Year Term Policy for a Non-Smoker





$11 $10










60 $63



Although the 10-year term policy will not last very long, there are many situations where it will make very good financial sense to purchase one.

When It’s All You Can Afford

You may have a considerable amount of short-term debt.  Perhaps you have substantial credit card debt.  You may be thinking you couldn’t possibly manage to purchase life insurance now because of your monthly expenses. Well, it’s in these kinds of situations when you probably need life insurance the most, and you simply can’t afford not to have it.  If your income source were to all of a sudden disappear, what would happen with your family?

If you were presently struggling financially, your passing will certainly not make anything easier for your surviving loved ones.  Your final expenses – such as any outstanding debt you had and your funeral and burial costs – would be left to your family who must figure a way to pay. A 10-year term policy can cover your income and your family’s financial future while you are working toward paying your debts.  A small and inexpensive life insurance policy is definitely better than none at all.

Once your financial situation is more stable, if you choose to purchase more life insurance this will always be an option.  You could either convert your 10-year policy into a permanent one (if your policy is convertible) or you can just buy a new term policy (as long as you’re still healthy).

Buy 10-Year Term If you are nearing Retirement

The majority of the time term life policies are bought to address the most financially-exposed years, such as when your kids are young, and you have a considerable amount of years remaining on your home mortgage. Some other times term life insurance coverage is purchased to take care of financial responsibilities that may come up later in life, like when you purchase a vacation home or the cost your adult child’s graduate school expenses.

As an illustration, let’s suppose you are 55 years-old and you and your wife finally decide to buy that dream condo on the lake. It will be a wonderful place for the children and grandchildren to pay a visit to.  Unfortunately, one of your kids isn’t quite finished with graduate school, and the tuition won’t be going down anytime soon.  You have personal savings, Social Security benefits will be starting to come in very soon, and even though you’re still healthy, you want to be certain that if the unpredicted happened, your husband or wife wouldn’t need to sell that lakeside condo and your son or daughter could finish up school.

The Estimated Monthly Premium of a 10-Year Term Policy for a

55-year-old who is Healthy and a Non-Smoker

Coverage Amount







$42 $32










$1,000,000 $135


Use 10-Year Term to Supplement Your Other Life Insurance

Maybe you were smart enough to plan ahead while you were much younger and purchased life insurance just after your first child was born.  You locked up a very good cheap payment for a 30-year $250,000 term policy. That is awesome.  Your son or daughter will be financially covered through his or her college years, and your husband or wife can pay for your funeral expenses and rent each month.

Today, fifteen years later you are 40 years old and recognize that your $250,000 policy will definitely not cover your $400,000 home mortgage. Rather than applying for a new 30-year policy with a $500,000 face amount, you can always elect to add to your existing insurance policy with a new 10-year policy $250,000 policy.  This will make sure you have a suitable amount of insurance for the following ten years as you’re paying off your home and managing the tuition for your daughter’s college education – without being over-insured.

Purchase 10-Year Term Insurance Now

If you’re considering a 10-year term life insurance policy, finding out how little a policy might cost is unbelievably easy.  Check out our instant quoting tool – run as many quotes as you need without being required to enter contact information and without obligation to purchase.

For more information about inexpensive term insurance, contact the insurance professionals at Realtor Life Insurance at (800) 712-8519 during normal business hours, or contact us through our website at your convenience.