• 19
  Apr
  2010

• No Kidding: Factors To Consider when Buying Term Insurance

  
  Filed Under: Blogging
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Deciding to purchase term life insurance is only one side of the insurance coin. The more important question is, how long should I purchase term life insurance for? Common sense indicates that you should probably buy insurance for as long as it takes you to complete all your financial commitments.

The primary factor you would want to think about (and this has probably influenced your decision to purchase term life insurance in the first place) is the age of your children. You want to calculate how long it might take them to be reasonably independent (the average age is about 22) and purchase insurance for that period of time.

You also want to purchase term life insurance for those periods in life when you anticipate extra expenses, and want to ensure that your children are covered in case of your passing on. Examples of these might be college education and/or some wedding expenses of your daughter/son.

One other thing to remember is that you will be better off paying your insurance premiums before you retire. You want to reap the fruits of labor when you are retired, and not keep watering the trees still!