Understanding Term to 100 Life Insurance
If you’re looking for a primer on available types of life insurance, please see our article on Types of Life Insurance. In this article we will discuss Term to 100 life insurance specifically.
Term to 100 life insurance is a uniquely Canadian insurance product. While the name includes ‘term’, Term to 100 in fact is part of the permanent insurance family of insurance products. Permanent life insurance provides life insurance protection for your entire life- it does not expire. What does that mean? It means that you will always have life insurance coverage and it will not expire or end (unlike term life insurance).
T100 is a very straight forward life insurance product. The premiums (cost of the policy) are level for your entire lifetime.
What You Need To Know About T100 Life Insurance
– The premiums always stay consistent, never go up and they never go down.
– Both the premiums and the death benefit are level and unchanging. There are no other base benefits.
– Unlike whole life insurance, Term to 100 does not have any cash surrender values should you decide to cancel your policy.
As term to 100 does not have any cash values, premiums are typically less expensive than other permanent products that do have cash surrender values, such as whole life insurance.
This type of life insurance is commonly used if you are looking for low cost insurance for the rest of your life for such needs as creating an estate or burial expenses.
What happens if you live past the age of 100? Your coverage will continue but you won’t have to pay premiums.