Another versionis Decreasing Term insurance. It is generally sold with a level premium and a decreasing death benefit. A variation of decreasing term is Mortgage Life Insurance. This is designed to decrease at the rate in which a mortgage balance decreases. Mortgage Life is typically offered as a rider in connection with a cash value policy.
Term also works well as a supplement to cash value insurance.
Another common purpose of term insurance is to purchase it as protection against debts such as mortgages, auto loans or education loans. On the negative side, term insurance provides only temporary protection, and there may come a time when an insured has no protection after the term policy ends . Term Life has no accumulating cash value and the older you are when you are accepted the more it will cost, with or without Whole Life conversion options at term end. As a result we highly recommend that you make your Term Life application as soon as you have reviewed the quotes and selected a policy. Delaying can cost you money, and if you are selecting Term Insurance that is likely one of the most important considerations.