swanfinancial

Permanent Life Insurance does not have an expiry date. It is intended to remain in effect until the insured person dies. However some new policies use the age of 100 as a basis for projections, at which time the policy may pay the benefit even if the insured is alive, or it becomes a paid-up policy (meaning no further payments are required to keep the policy in force).

NOTE: In some cases a policy called "Term to 100" will actually expire with no values at age 100. These should not be confused with a Permanent Insurance contract.

How can I tell if it is Permanent Insurance?

The two outstanding features of Permanent Insurance are:
1) The contract does not specify a expiry or termination date.
2) The cost is based on your age at the beginning of the policy and does not increase with age, and there is no reduction in benefit based on your age.

The main feature is that the benefit does not reduce with age and the premium does not increase with age.

Do I need to renew my policy?

There is no need to renew a Permanent policy because it is issued for your whole life and has no renewal date. However, it should be pointed out that you should review your policy from time to time to determine whether it is still adequate for your needs.

Who buys Permanent Insurance?

Permanent Insurance is used when:
1) the need for insurance is expected to continue for the whole of your life.
2) the reason for the insurance is to pay off loans, credit card bills, and other final expenses, income tax liabilities, replace lost pension income, provide financial support for dependents, make a bequest to a favorite charity, or leave a gift to loved ones.

Your Best Insurance Is An Insurance Broker