With the process of insurance being confusing enough already, and the many many options available everywhere I looked, I didn’t know what to do. Thank you so much for helping me choose the right kind of insurance for me and my family.
It can be understood as term insurance that decreases at a preset date and rate over the duration of the policy. Although the premiums are consistent, the reduction of the policy happens every few months or yearly, i.e., the money owed decreases by the year.
Decreasing term life insurance is generally not recommendable for people who have no other insurance, but is suitable for insuring a liability that is gradually being paid off, for example mortgage, education, etc.
Benefits:
» Initially, the death benefit is the face amount of the policy.
» The death benefit decreases on a periodic basis.
» Relatively less expensive than the whole life insurance.
