The disappearing 30 year life insurance term is a topic we’ve discussed in recent posts. Because it promises to have wide-spread effects on our industry, we feel that it’s important to once again address the topic and remind you that now is the time to compare 30 year term life insurance rates!
The 30 Year Term and Current Interest Rates
From refinancing to debt consolidation opportunities, we have certainly been hearing a lot about the benefits of low interest rates. There are however plenty of downsides to these historically low rates. The insurance industry is taking a particularly hard hit at the moment. How so?
The success of an insurance company is tied directly to the bond market. For a carrier to remain solvent, they must be well invested. As interest rates fall, profits follow suit; leaving insurance companies forced to reduce risk. In order to do so, many carriers are reducing and even eliminating 30 year term products. Genworth and AXA Equitable completely stopped offering 30 year term policies last year. Other insurance giants are expected to take similar measures in the coming months. In fact, a recent survey completed by Towers Watson found that most insurance CFOs have implemented a multitude of new product strategies in the past year. These strategies including: exiting product markets (25%), adjusting premiums rates (56%), reducing living benefits guarantees (56%) and significantly curtailing product sales (54%).*
Compare 30 Year Term Life Insurance Rates Today!
As more and more providers are forced to roll out new product strategies, now is the time review your live insurance coverage. If your family is in need of long, level term coverage, now is the time to compare 30 year term life insurance rates! Securing a 30 year term policy is one of the best and most cost effective ways to protect your loved ones for years to come. Not sure that you’re in need of a 30 year term? We encourage you to keep in mind that you have no obligation to maintain the policy for the entire term. You don’t however want to find yourself in need of a 5 or 10 year policy 20 years from now. At that point you will likely face much higher rates and might not even be able to secure coverage.
At IntelliQuote we have a staff of highly experienced, license life insurance agents on hand to answer your questions and help you understand your options. Ready to get started? Contact us today.
Interested in learning about your term insurance options? We encourage you to follow our Life Insurance Blog; keep up with the industry trend and topics that impact you and your family. While you’re here, check out these recent related posts: