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The popularity of 20-year term life insurance

The coverage periods of life insurance policies can vary, they often include a 20-year term option. What are the potential advantages of a 20-year term life insurance policy and where can you find one that’s affordable for you?


We’ll start by answering the second question first. You can apply for term life insurance policies at AIG Life Insurers that are available in 18 different coverage lengths ranging from 10 to 35 years.


Contact us today at 800-390-3019 to speak with an AIG-appointed life insurance agent about how a 20-year term life insurance policy might fit in with your needs.


5 potential benefits of having a 20-year term life insurance policy

Choosing the length of a term life insurance policy is just as important as deciding what coverage dollar amount to buy. Consider a 20-year term life insurance policy if some of the following situations apply to you.

  • You expect your youngest child to be financially independent within 20 years
    One common use for buying term life insurance can be to secure a monetary backup plan for your children, in case you were to die before they can stand on their own feet financially. A 20-year term might be an optimal policy length if you anticipate your children might have more independent financial security once they reach adulthood.

  • Your youngest child will be out of college in 20 years
    Life insurance can also be used to help ensure your child has financial coverage for some of their future education costs. If your youngest child will likely be finished with their education in 20 years, this length of coverage could help make sure they have additional financial protection if you were to pass away before they graduate.

  • You want an affordable option
    A 20-year term life insurance policy can typically offer lower premiums than a 25- or 30-year term policy because the premium is only guaranteed level for 20 years. In comparison to a 25 or 30 year term policy, a 20-year term is more affordable for many applicants.

  • Your mortgage will be paid off in 20 years
    Life insurance can be used to help protect a mortgage and help your surviving family members afford to remain in your home after your passing. If you have 20 years or less remaining on your mortgage, you can help protect your family’s ability to make mortgage payments until it’s paid off by buying a 20-year term policy.
  • Your spouse will have ample retirement and investment income in 20 years
    Life insurance can also be used as income replacement when one spouse depends heavily on the other’s income. If retirement savings and other investments are in place and will be accessible by your spouse within 20 years, you may not need life insurance beyond that period of time.

Choosing the appropriate term length for your policy can be important to setting up the life insurance coverage that will best fit the needs of your dependents as well as your budget. Call us today at 800-390-3019 to find the policy that’s right for you.

Agency services provided by AIG Direct Insurance Services, Inc. ("AIG Direct"), CA license # 0B57619 and AR license # 0100105378, a subsidiary of American General Life Insurance Company ("AGL"), Houston, TX and an affiliate of The United States Life Insurance Company in the City of New York ("US Life"), New York, NY, all members of American International Group ("AIG").

Policies issued by: American General Life Insurance Company (AGL), Houston, TX. Policy Form Numbers ICC16-16901, 16901, ICC16-16900 and 16900 except in New York, where issued by The United States Life Insurance Company in the City of New York (US Life), Policy Form Numbers 16901N and 16900N. Issuing companies AGL and US Life are responsible for financial obligations of insurance products and are members of American International Group, Inc. (AIG). Products may not be available in all states and product features including rates may vary by state. All guarantees and benefits of the insurance policy are backed by the claims-paying ability of the issuing insurance company. They are not backed by the broker/dealer and/or insurance agency selling the policy, nor by any of their affiliates, and none of them makes any representations or guarantees regarding the claims-paying ability of the issuing insurance company. © 2018 AIG. All rights reserved.

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