Annual Renewal Term Insurance PDF Print E-mail


Annual Renewal Term Insurance

Annual Renewal Term life insurance provides protection for an initial low premium with the rates generally increasing each subsequent year. Term insurance pays a benefit only if you die during the term of the insuring agreement. Most term insurance policies can be renewed annually until you reach the end of a specific period (say until age 95). However, after a period of years, most policies require evidence of insurability in order to qualify for the lowest available rates. If you need life insurance for shorter periods (4 years and less), it is advisable to purchase Annual Renewal Term or YRT (Yearly Renewal Term). Examining many different types of life insurance plans available, YRT usually provides the least expensive life insurance for the first few years.

When considering term life insurance, Alliant staff will advise buyers to search rather than just selecting the policy with the lowest first year premium. The lowest priced policies will frequently cause rates to escalate rapidly in later years, which ends up costing more. Some companies with higher first year premiums end up saving the buyer money. We invite Term Life buyers, or prospective buyers, to phone our office to consult about an insurance program. Our staff will spend the time to help find exactly the best fit for you. We discuss how long you want to keep the insurance policy, and what your current and future cash flow might be.