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4 Top Reasons for Buying 10 Year Term Life Insurance

10 year term life insurance
Insurance Quotes 2 Day Team

Written By Doug Mitchell

Doug Mitchell, CLU holds a BA degree in Finance from Auburn University as well as having obtained a Chartered Life Underwriter (CLU) designation from The American College in Bryn Mahr, PA.  Doug has spent close to 30 years in the insurance and financial planning industry and has held licenses to sell securities, long-term care insurance, health.  Doug is also a financial blogger addressing the topics of life insurance, annuities and retirement income planning.

Holly Mitchell  &

Holly Mitchell’s background in life insurance insurance goes back to 1985 when she worked for her father who was a New York Life agent. Holly has a marketing degree from Auburn University and has had a life insurance license since 2008. In addition to advising life insurance for customers all around the country, Holly is our website fact checker.

Rob Pinner   &

Rob Pinner is the founder and CEO of Pinner Financial Services servicing all 50 states. Rob started his insurance career in 2002.

Louis LaBash

Results-driven and innovative life insurance professional with 30 plus years of life insurance industry sales and marketing experience. Recognized as a pioneer in the field, leveraging phone and internet channels to exceed personal sales of over $100 million during the first decade of the 21st century. Creator of a highly effective intuitive IUL life insurance sales software that facilitated the sale of millions of dollars of indexed universal policies by numerous life insurance agents. Proven track record as a Managing General Agent (MGA), Life Agent, IUL Life Insurance Sales Software developer, and leading-edge creator of insurance marketing tools, educational content, and delivery systems.

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Most consumers know that term insurance is the most affordable life insurance coverage available in the life insurance marketplace. Term Life Insurance has become the go-to life insurance product for consumers who wish to replace the income for their family members in case they died unexpectedly.

Term Life Insurance is the most common life insurance product selected by young adults who wish to purchase a large amount of life insurance that is used to do some or all of the following:

One of the more popular features of Term Life Insurance is that the applicant can choose the length of the policy’s coverage which is typically 10, 15, 20, 25, or 30 years. The policy’s term is typically based on the applicant’s need for coverage. In this article, we’ll discuss the 4 top reasons for buying 10-year term life insurance.

Since the rates for term insurance are affected by the length of the term, it makes good financial sense to select the most appropriate term required to provide the life insurance protection you need.

 Here are actual rates showing the difference in the cost of the most popular policy terms. These rates are based on a $500,000 Term Life Insurance policy for a healthy male non-smoker: 

Age of Applicant

10-year Term15-year Term20-year Term25-year Term

30-year Term













As you can see by reviewing the different rates for different age groups and policy terms, it makes good financial sense to purchase the policy term that is most appropriate for the insurance need you are covering. For example, if your intent is to cover the costs of paying off a 15-year mortgage and providing funds for tuition, a 15 year term or 20-year term policy makes a lot more sense financially than choosing a 30-year term life insurance policy.

Our Top 4 Reasons to buy 10-Year Term Life Insurance

1.  When 10-year term life insurance is the most you can afford. If your financial situation is very tight but you know you need to have some type of life insurance in place to protect your surviving loved ones, purchasing an inexpensive 10-year Term Life Insurance policy can be a great solution. You will have the protection you need for at least 10 years and you will have the option of converting your policy to a permanent policy without having to be concerned about health issues that may have come up over the 10 year period you’ve been covered.

2. Purchase 10-Year Term Life Insurance if You are Close to Retirement. In most cases, term life insurance policies are purchased to provide financial protection during the years when the applicant is the most financially exposed, such as when your children are very young and you have years of payments left on your home mortgage.

However, a 10-year term life insurance policy can also be used as a bridge from when your insurance needs are substantially reduced and you are close to retiring. This is the part of your life that you’ve been planning for many years when you will begin drawing from your retirement fund and Social Security benefits but still need additional life insurance protection in case the worse thing happens.

3. Use 10-year Term Life Insurance to Supplement other Permanent Life Insurance. Many consumers purchase permanent insurance like whole life or universal life when they are younger and the rates are affordable. Often times these permanent policies do not have the death benefit you’ll need when you begin accumulating additional debt. Here, a 10-year term life insurance policy would act as a very affordable supplement to insurance you already have but is insufficient to meet your needs. This is considered a form of “laddering” which many insurance professionals recommend for getting the coverage you need at the most affordable rate. You can convert the 10-year term policy to a permanent policy at expiration or just let that policy cancel and continue on with the permanent coverage you already have for the rest of your life.

4. Use 10-year Term Life Insurance to cover a loan. It’s certainly not unusual for adults to make major purchases and finance them for up to 10 years. A good example might be a home remodel when you add an additional room or a swimming pool and use outside financing to cover the new expense. Many times, especially when we get older, married couples will decide to travel across America in a beautiful new motor home or travel trailer. RVs can be expensive and in most cases, the dealers will offer 10 or more years in financing.

In these cases, purchasing a 10-year term life insurance policy provides the protection you’ll need to pay off these kinds of loans instead of passing them on to surviving loved ones. After all, your original intention for buying life insurance to protect your family is to eliminate the debts you’ve accumulated over your lifetime so they can live comfortably in a paid for home and not have to be stressed about debts, a mortgage, college funding, or retirement contributions.

In Conclusion

Term Life Insurance is an affordable and effective method for financially protecting your surviving loved ones if you should die unexpectedly. Additionally, most life insurance companies offer various riders that you can add to your policy to broaden your coverage and get some living benefits as well. And since term life insurance is available in several different policy terms, the applicant can choose the term that works best for their insurance needs and only pay for the insurance they actually require. 10-Year Term Life insurance can be an economic solution to the issues we’ve listed above and probably many others.

We are Here for Your Needs
For more information about 10 Year Term Life Insurance and whether it is a good solution for you. Please call us at 1-800-712-8519 during normal business hours or contact us through our website and we’ll be happy to discuss it.

Frequently Asked Questions

Why would I buy a 10-year term life insurance policy?

1. A 10-year term life insurance policy is all you can currently afford.
2. You are close to retiring.
3. To supplement other permanent life insurance.
4. To cover a loan.

How much does a 10-year term life insurance policy cost?

A sample monthly premium for a $500,000 10-year term life insurance policy on a 40-year old healthy non-smoker male would be $18.09. Your premium would be based on your personal underwriting. An independent life insurance agent can provide you with quotes from different insurance carriers.

What am I protecting with a 10-year term life insurance policy?

Your intention for buying a life insurance policy is to protect your family and eliminate the debts you’ve accumulated over your lifetime so they can live comfortably in a paid for home and not have to be stressed about debts, a mortgage, college funding, or retirement contributions. This protection may only be needed for a specific length of time.

author avatar
Doug Mitchell, CLU Independant Advisor
Doug Mitchell, CLU holds a BA degree in Finance from Auburn University as well as having obtained a Chartered Life Underwriter (CLU) designation from The American College in Bryn Mahr, PA. Doug has spent almost 30 years in the life insurance industry and has also held licenses to sell securities, long-term care insurance and home and auto insurance. Doug is a Top of the Table Million Dollar Round Table member (MDRT).  MDRT is a global, independent association of the world's leading life insurance advisors.  For two years, Doug served as President of the Auburn Opelika Association of Financial Advisors and has been a member of the Million Dollar Round Table. He obtained Life Millionaire status at Horace Mann Insurance Company and was awarded the Life Agent of the Year Award. Later in his career with New York Life he was an Executive Council Member. Doug currently serves as President of Ogletree Financial, a managing general agency serving life insurance agents and clients in all parts of the United States. Today, Doug’s main focus is servicing 1000s of policyholders and growing the agency through the reach of

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