Term Life Insurance
Term Life is one of the simplest, most cost-effective types of life insurance. Generally, it provides the largest immediate amount of protection for the lowest cost. With Term Life, your beneficiaries are paid the entire amount of your policy (subject to your policy’s provisions) if you die during the term, which is typically from five to 30 years.
People who purchase Term Life generally have a substantial need for insurance protection during a specific period of time. They may be young and have growing families and need temporary protection now, with the option to convert to permanent coverage later.
The “ROP” in ROP Term Insurance stands for Return-Of-Premium
ROP Term is a newly introduced term life insurance product that provides a death benefit protection and a return of premium feature. This product is revolutionary do to the fact that it bridges the gap between low-cost term insurance and permanent insurance.
Return-Of-Premium (ROP Term) addresses one of the greatest consumer objections to regular term life insurance: “I am probably not going to die, and my money will have been wasted.” Unlike regular term, ROP Term rewards you for living by offering a guaranteed return of your total cumulative premium paid on the policy during the level term period, not including any substandard and rider charges. The remainder will be paid to the policy owner at the end of the level term period if the policy is then in force.
Here is an Example:
Male, 35 preferred plus, 500K 30 year term:
Annual premium = $810, Return of Premium after 30 years = $24,300
($810 x 30yr = $24,300) Income Tax Free, because the premiums you paid are after-tax dollars.