Most of us are familiar with the basic concept of life insurance: It provides your beneficiary with a payment if you pass away during the time you are covered.
But as you may know, there are different kinds of life insurance. For example, there is term life insurance and whole, or permanent, life insurance.
Members May Prefer Term Life
Term life insurance is straightforward and simple in its cost, coverage, and design. Whole life insurance, on the other hand, can be more complex – and costly – because there is an income-producing element and ongoing management fees associated with this type of plan.
In our decades-long experience with Texas physicians, we believe that most of our members who purchase life insurance, may prefer the simplicity and cost-effectiveness of term life insurance.
We Offer Two Types of Term Life
At TMA Insurance Trust we offer two types of term life insurance – Annual Renewable Term Life and Level Premium Term Life. Each provides financial protection for your family. Which one you choose will depend on your needs and situation.
Level Premium Term Life requires you to choose a “term” – or length of time – for your coverage. That is typically from 10 to 30 years. The key to this type of term life plan is that your premiums remain the same – or “level” – throughout the term.
Some physicians choose this type of plan because they like the idea of consistent premium payments, which helps with their budget planning.
However, this kind of coverage can be limiting. No one has a crystal ball to predict the future. It’s impossible to know what lies ahead for us 15, 20 or 25 years down the road. If something were to happen to you after the term on your policy ends – your loved ones could lose the life insurance safety net you put in place for them.
This is why many physicians prefer the other type of term life coverage – Annual Renewable Term Life.
Term Life Insurance On Your Terms
Annual Renewable Term Life is guaranteed to renew every year for as long as you want your coverage to continue. Unlike Level Premium Term Life, you do not have to set the term at the start of the policy. You can decide as time goes by and your life progresses how long to keep the coverage.
You can choose the amount of time that works for you – 17 years, 26 years, etc. You have that flexibility and are not hindered or limited by a set term or pre-determined period of time.
So, let’s say you have a child and they choose to follow in your footsteps and go to medical school. You can keep your life insurance coverage to ensure the funds will be there if a time comes when you’re no longer here. You’ll have peace of mind knowing that he/she will be able to complete their education.
Flexibility That Works In Your Favor
With Annual Renewable Term Life, your rates are in accordance with pre-established five-year age ranges, such as 30-34, 35-39, etc., increasing when you move into successive age groups.
This can work well for physicians whose income is lower at the beginning of their career, but will likely increase over the years.
No Pressure, No “Wrong” Decisions
TMA Insurance Trust offers both types of term life insurance. One plan offered exclusively to TMA members is the TMA Member Term Life Insurance Plan issued by The Prudential Insurance Company of America.
For the Annual Renewable Term Life plan offered, you do not have to decide how long to keep your coverage at the outset. So the pressure of making a “wrong” decision about your term has been eliminated. You can keep your coverage as long as you need it. It’s term life insurance on your terms.
Speak With An Advisor Or Apply Online Now
If you’re not sure which type of term life insurance will work best for your personal situation, a TMA Insurance Trust advisor can help. Choosing a life insurance plan is an important decision and we’re committed to ensuring that you don’t have to go through the process alone.
However, if you’re ready right now, you can get started online.
- Members age 44 and under can apply quickly online for up to $500,000 of TMA Member Term Life Insurance – and get a decision in minutes (see link below).
- Members over age 45 can conveniently apply online for up to $1 million of TMA Member Term Life Insurance (see link below).
Please note: This online platform is an exclusive benefit for TMA members. If you need more coverage, members can apply for up to $2,000,000 of coverage of TMA Member Term Life insurance by contacting one of our advisors.
So click on a link below or feel free to call us at 1-800-880-8181, 7:30 am – 5:30 pm CST Monday to Friday.
For over 60 years, TMA Insurance Trust advisors have been serving Texas physicians, their families and staff. TMA Insurance Trust prides itself on offering unbiased information and strategies to members, along with exclusive group rates on a range of the highest-rated plans in the industry.