Term life insurance is a type of life insurance policy that provides coverage for a certain period of time, or a specified “term” of years. It is a relatively inexpensive way to provide a lump sum to your dependents if something happens to you. Here are some key features of term life insurance:

• Coverage: Term life insurance provides coverage for a set period, such as 10, 20, or 30 years. If the insured dies during the time period specified in a term policy and the policy is active, then a death benefit will be paid.

• Premiums: Most term policies offer level premiums for the duration of the policy. This means that the premium amount remains the same throughout the term of the policy.

• Conversion: Many term policies offer the option to convert from term to permanent insurance. This means that the policyholder can switch to a permanent life insurance policy at some point during the term of the policy.

• Guaranteed insurability: Some policies offer a feature called guaranteed insurability, which lets the policyholder buy additional life insurance coverage without having to provide new evidence of insurability.

Term life insurance is not generally used for estate planning needs or charitable giving strategies but is used for pure income replacement needs for an individual. It is a simpler and less expensive option than permanent life insurance policies such as whole life, universal life, and variable universal life.