Sentences with phrase «initially than term coverage»

Not exact matches

Initially, the premiums paid on cash value insurance, such as whole life insurance rates, are higher than those associated with term insurance, given that term insurance payments are used just to pay for current insurance coverage and not to build up cash value in the policy.

These policies have a higher premium initially than a term policy, but the coverage is for your lifetime.

While the premium for permanent life insurance may initially be higher than that of term life coverage, in most cases, the amount due will not increase over time — regardless of how long the insured keeps the policy.

It is for this reason that the premium for term coverage is typically less than that of permanent life insurance plans with a comparable amount of death benefit coverage — at least initially.

Therefore, while the amount of a permanent life insurance policy's premium may start out higher than that of a comparable amount of term coverage initially, over time a permanent policy's premium could end up to be less.

Permanent life insurance naturally costs more (because it provides coverage up until you die with no term expiration), but why would renewing a term life policy cost more than what you pay initially?

Whole Life: Initially higher premiums than term coverage, however later or in older age it pays off.