What Is 5 Year Term Life Insurance? 
The insurance company has an actuary who studies death statistics . This actuary will determine the likelihood that someone of your age will die in the next five years . With the addition of some expenses this then becomes the premium charged . The premium and the death benefit remain level . When the term ends the policy expires completely . Many short term policies have a provision to continue coverage , however , the premium tends to move dramatically upwards , because the older you get the more likely that you will die in the coming year . 