Once you’ve made the decision that you have a need for life insurance, and term insurance is your best option, Ohio life insurance companies have many options for you to consider.
First you need to determine the term length, that is, how long you want the protection to last. The longer the insurance policy is in force for, the more expensive the policy. Typical options include 10, 20, and 30 year plans, and these are the most popular plans that Ohioans are purchasing. There aren’t nearly as many Ohio life insurance companies offering 15 or 25 year plans. Another choice is an “annual renewal” term policy, where there is no fixed term length, but the premiums increase every year.
Assuming you’ve chosen a “level term plan” of 10, 20 or 30 years, you need to decide if you want the life insurance premiums to be “guaranteed” not to increase each year. Most companies offering life insurance in Ohio, sell life policies with guaranteed premiums. You can also choose a level term plan where the premium are not guaranteed to remain the same.
Many term life plans in Ohio allow you to convert the term policy to a permenent plan of protection, without showing evidence that you’re healthy, or insurable. The convertability option differs between companies, so make sure you understand your rights. Ideally, you’ll be able to convert to a permenent policy at any time during the term policy. If you do convert it, the premiums you pay will be much higher because it will be based on your age, plus you can’t outlive a permenent plan as long as you pay the premium.
Finally, in choosing an Ohio term life insurance plan, you need to make certain that the insurance company is sound financially. If you buy a 20 or 30 year level term policy you need to feel confident that the insurer will be able to pay the claim should you die within that time frame. Financial stability ratings are made available by the AM Best Co, and Standard and Poors, among others.