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What is Term Life insurance for 30 years?

If a person wants to buy 30 year term life insurance for $150,000. What happens if the insured is still alive after 30 years when the term is ended? Does he/she lose the money? If he/she wants to continue to have life insurance after the term has ended, does he/she have to buy term life insurance again but for a shorter term?

Public Comments

1. Really? This isn't rocket science. If you don't die, then that's it. You don't get any money back. Term insurance after age 45 is VERY expensive.
2. Look, insurance is NOT an investment, it's NOT a savings account. It's a DEATH planning tool. When you buy insurance, if you think you're going to need it for MORE than 30 years, buy PERMANENT insurance. Term insurance is for a TEMPORARY need, like until your kids are grown. Define the goal, THEN pick the product. So yes, just like when you buy a lottery ticket and your number doesn't come up, you lose your money; when you buy term life insurance and your number doesn't come up, you lose your money. If you want to continue it, just like the lottery, you have to buy another ticket, or another policy.
3. The insurance coverage ends after 30 years. If you didn't die, no one collects anything and there is no refund of premiums. That's what term insurance is. Whether you "need to buy insurance again" is up to you.
4. Yes, they lose the money. If the want to have insurance again, they might be able to buy it for the same term. They also might not be able to buy it at all. I supposed it is theoretically possible that they might have to buy it for a shorter term, but this is unlikely. It is more likely that they either will not be able to buy it again or will be able to buy another 30 years.
5. Hi, there is different carriers for Term with different options that could allow it to go beyond 30 years. contact me and i will go over the options.
6. a term policy only pays if the insured dies. There is no cash value. Most term policies offer a conversion privilege that allows you to convert the policy from term to a cash value policy. The conversion period varies by company. If still in good health at end of 30 years, a new term policy may be best bet.
7. If they get a return of premium term policy they would get all of their premiums back. They could also use those premiums to go towards a new policy should they decide they wanted to continue the policy beyond the 30 years. I just ran one for a friend/client yesterday for a $1,000,000 policy. Without return of premium it was $80/month and with it was $135/month (I think). That additional $55 dollars invested elsewhere over the 30 years would have to net him the equivalent of a 5.25% guaranteed, tax-free rate of return. Though he could take the risk and invest it elsewhere, we both agreed that this was his best option since we couldn't think of another place to get that return. Plus we both liked that he'd have about $48,000 to use for a new policy 30 years from now should he want to continue coverage. They're great planning tools as they give you the low cost of term insurance with the flexibility to continue coverage forever later.
8. If you are looking for an economical way to protect your financial future and you don't necessarily need your insurance plan to accumulate cash value, a 30-Year Level Term life insurance may be a great option. With a 30 Year policy, you can conscientiously keep within your budget while taking the necessary steps to protect the integrity of your family's lifestyle. A 30 Year Term Life Insurance policy offers you premiums that remain level for the first 30 policy years. After this period, you can renew the policy without evidence of insurability at an annually increasing premium scale. This annually increasing renewal premium scale differs from Annual Renewable & Convertible Term rates in that the premiums are much larger. Although 30-Year Guaranteed Level Term does not have cash values, all premium rates are guaranteed. More tedails on national-life-insurance.net
9. yes, you lose your money if you live beyond the term period. term policies have no cash value to draw on during the life of the policy and they lapse without value at the end of the term. renewal rates may be available but they may be 3x the price or more. most people just get a new term policy once the first one expires. but if you know you'll need the policy for the rest of your life and your life expectancy is more than 20 or 30 years, just buy UL.