Key takeaways
-
- A 10 year term policy offers a level premium and a guaranteed death benefit for the duration of the term.
- If you are past certain ages, have some health conditions, or smoke, a 10 year term life insurance policy may provide the coverage and flexibility you need.
- There are options for consumers to customize a 10 year policy, including adding riders.
What is a 10 year term life insurance policy?
A 10 year term life insurance policy has a level (unchanging) premium and a specific death benefit. As long as premiums are paid, your coverage will remain in tact. This helps to ensure your beneficiaries are protected if you pass away.
What happens after the 10 years are up?
Once you reach the end of a 10 year policy term, the coverage ends. Some policies can be renewed with a higher premium. Or, you might choose to purchase a new policy. If you’re approaching the end of a term policy, our agents can help you figure out next steps based on your unique financial situation and needs.
Why choose a 10 year term life insurance policy?
Since term life insurance premiums tend to go up as you get older, most people opt for as long a term as possible to lock in a favorable rate.
However, there are several reasons you might choose a shorter term.
You’re an older adult with financial responsibilities
Perhaps you are in your senior years and a previous policy has matured. Most insurers won’t insure past a certain age limit, and you may not be able to obtain a policy with a longer term limit. A ten year term policy can bridge the remaining years you’d like to ensure coverage.
- Example: Barbara is 70 years old and a primary caregiver for her husband and grandson. Due to her relatively good health and longevity on both sides of her family tree, she selects a 10 year term life policy to provide financial support for ongoing care giving expenses should she die.
You have shorter term life insurance needs
Your unique family circumstances may make a 10 year term policy sound financial protection over a specific, shorter period of time.
- Example: John is 47 years old, divorced and has a 14 year old daughter for whom he wants to cover the cost of a college education. He has no mortgage, student loans, or other outstanding debts. A 10 year policy would provide a death benefit to help cover all or part of his daughter’s education should he die during this important time in her life.
You’ve had a change in career or income
While a life insurance payout is often replacement for lost income, a ten year term can provide other financial protections if you step away from your career to care for family.
- Example: Marley is 35 years old and leaves her high-pressure career to be a stay-at-home parent during the early years of her children’s lives. This means her financial contributions to the family will change as she no longer has an income, and will now be the sole childcare provider and manage a busy household. Her plan is to return to the workforce when her youngest child starts third grade. She applies for a 10 year term policy. Should she die, her partner can hire a nanny and bring in household help. Once she returns to the workforce, she plans to apply for another term or permanent life policy to cover her new income contributions.
You’re a smoker planning to quit
If you are young and in relatively good health but you smoke, you may want a shorter term policy that gives you time to quit and be tobacco free before locking in a long term rate. Smokers typically pay double or triple what non-smokers do for life insurance.
- Example: Jack is 20 and likes to smoke, but he plans to quit by the time he is 25 – after he finishes his advanced degree. Jack chooses a 10 year term life policy. Even even though the premiums are higher than an non-smoker rate, he will likely be able to get a better rate when he is 30 and 5 years tobacco free.
Any of these scenarios (and dozens of others) could prompt an insurance choice of a 10 year term life policy. If you still have questions, a life insurance agent can help you clarify your life insurance needs and make the right choice.
How much does a 10 year term life insurance policy cost?
10 year term policy rates are more affordable than many people think. The table below outlines how much a RAPIDecision Life 10 year term plan from Fidelity Life costs for a non-smoker in good health.
10-year term life insurance rates
Here’s what a person in good health could pay for a RAPID ecision® Life 10-year term life policy.
| Face Amount | $100,000 | $250,000 | $500,000 | |||
|---|---|---|---|---|---|---|
| Age | Male | Female | Male | Female | Male | Female |
| 25 | $13.05 | $12.18 | $16.10 | $14.79 | $23.06 | $20.88 |
| 30 | $13.14 | $12.18 | $16.10 | $15.01 | $23.06 | $21.32 |
| 35 | $13.49 | $12.96 | $16.97 | $16.31 | $25.23 | $23.49 |
| 40 | $13.92 | $13.49 | $18.92 | $17.84 | $28.71 | $26.97 |
Rates as of 2023
Start your fast, free 10 year term life insurance quote to view policy options and rates based on your unique situation.
Do you need to take a medical exam for a 10 year term life insurance policy?
Typically, you will need to take a medical exam for a 10 year term life insurance policy. There are no-exam life insurance policy options available. However, taking a medical exam can help you get the best rates if you’re in good health. A medical exam is a standard practice that costs nothing and can be done at your home, workplace, or medical facility, wherever is most convenient for you.
Explore 10 year term life insurance from Fidelity Life
A 10 year term life policy can give you significant peace of mind. Fidelity Life offers several affordable 10 year term life insurance policies.
- RAPID ecision® Life 10 year term may work for individuals between the ages of 18 and 65 seeking coverage amounts between $50,000 and $1 million.
- RAPID ecision® Senior Life has a 10 year term policy good for those who individuals between 50 to 75 years of age looking for $10,000 to $150,000 in coverage.
