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Old Term vs New Term Life Insurance

Did you know? 42% of American households would have trouble paying
living expenses in six months or less if their primary wage earner died.
It’s clear that there is a great need for life insurance, but did you know that today’s term life insurance may be a lot different from what you’re used to?

OLD Term Life Insurance

The old standard for term life insurance is what you’d expect – basic death benefit protection and maybe an accelerated death benefit for terminal illness

  • Death Benefit Protection
  • Sometimes terminal illness ADBE (6-12 month life expectancy)

NEW Term Life Insurance

New term life insurance is about offering more value for less, and may include:

  • Death Benefit Protection
  • Accelerated Underwriting (faster, easier, less invasive)
  • Convertibility Options2 – (easily convert to permanent policy)
  • Lower Rates (a potentially lower rate than you’d expect)
  • Living Benefits (critical, chronic, and terminal illness w/ 24-month life expectancy3)

LIVING BENEFITS May be the most important aspect of New Term Life Insurance.

A serious illness can affect anyone at any time, and place additional strain on your family’s finances. Living Benefits can help protect against this financial risk by allowing you to access a portion of your death benefit while living if you are diagnosed with a qualifying illness.

Here are some of the potential costs you could expect to pay:

  • $108,405 per year for a private room in a nursing home4
  • $94,900 per year for a licensed home health aide4 (non-medicare certified)
  • An annual increase of 4.65% since 20204

Some Term life insurance policies come with all of the new term features including living benefits. That’s added protection, no added premium5!

Have a Question About Life Insurance Rates? Speak to an Expert Today!

(720) 500-2922

  1. Facts About Life 2021 LIMRA
  2. Subject to the terms of the policy.
  3. Twelve-month life expectancy in Florida.
  4. Source: Genworth Cost of Care Survey, conducted by CareScout®, November 2021. Median cost is
  5. An administration fee is required at time of election of an accelerated death benefit. The face amount will be reduced by the accelerated death benefit amount. Since benefits are paid prior to death, a discount will be applied to the face amount accelerated. As a result, the actual amount received will be less than the amount of face amount accelerated.

ADDvantage Term is issued on policy form series LS174 or state version including all applicable endorsements and riders, by North American Company for Life and Health Insurance, Administrative Office, One Sammons Plaza, Sioux Falls, SD 57193. Products, features, riders, endorsements, or issues ages may not be available in all jurisdictions. Limitations or restrictions may apply.
The term financial professional is not intended to imply engagement in an advisory business in which compensation is not related to sales. Financial professionals that are insurance licensed will be paid a commission on the sale of an insurance product.
Sammons Financial® is the marketing name for Sammons® Financial Group, Inc.’s member companies, including North American Company for Life and Health Insurance®. Annuities and life insurance are issued by, and product guarantees are solely the responsibility of, North American Company for Life and Health Insurance

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