Short-term Life Insurance in St. Louis, MO
Choosing life insurance can be complicated. For instance, you might need provisional coverage, and not all types of term life insurance may be suitable. A kind of life insurance, short-term life insurance may be coverage worth exploring, especially if your needs are temporary. At The Meyer Group, Inc., we specialize in diverse insurance offerings for the unique needs of our clients, and we can help you get a life insurance policy that meets your needs.
What Is Short-term Life Insurance?
Short-term life insurance is a temporary solution for life insurance. And although policy lengths can vary, this type of policy generally covers the policyholder for a short period (e.g., less than one year). This coverage isn’t meant to replace long-term life insurance but rather fill a short-term need. For instance, you might be between jobs or have another reason short-term life insurance would benefit you.
There are two primary types of short-term life insurance:
· Temporary life insurance—This type of policy may be offered with a long-term life insurance policy to ensure the policyholder has immediate coverage while a lengthier underwriting process for the long-term policy is completed. Once the long-term policy is active, the temporary policy becomes inactive, but overarching coverage does not lapse.
· Annual renewable life insurance—This type of short-term policy refers to one that lasts one year. At the end of the term, the policyholder can opt to renew or drop the policy. This type of policy is ideal for someone who needs insurance now. However, it can come at a cost since premium prices typically increase yearly.
Determining the type of short-term life insurance right for you can be difficult, but it doesn’t have to be. The Meyer Group, Inc. is here to help you through your short-term life insurance purchasing journey.
How Does Short-term Life Insurance Work?
Short-term life insurance provides life insurance coverage for a shorter term than the typical term-life policy. Depending on your chosen policy, there are different applications and underwriting methods. Temporary life insurance cannot be purchased as a stand-alone policy, as it’s built into a long-term policy you are purchasing. A temporary life policy generally lasts until your long-term policy application is approved or denied, or 60-90 days, depending on the insurer. Certain pre-existing health conditions could preclude you from qualifying for a temporary life policy, depending on the insurer. Still, they may not affect your ability to obtain a long-term life insurance policy.
An annual renewable life insurance policy functions similarly to a standard, long-term life insurance policy. You typically will need to undergo a medical exam as part of the application process. This exam helps an insurer determine your policy premium if your policy is approved. The main difference in the process is that an annual renewable life policy is active for a shorter period. You might not need another medical exam if you choose to renew at the end of the policy’s one-year term.
Is Short-term Life Insurance Worth it?
Certain life events may demand that you re-evaluate your life insurance needs and consider short-term life insurance. Although this coverage is typically more expensive in premiums than long-term life insurance, it may be worthwhile if you temporarily need coverage.
Whether it’s a divorce, healthier living, a new job, working in a hazardous environment or volunteering in a dangerous environment, these situations might make short-term coverage beneficial until you can buy traditional life insurance.
Insurance for the Short-term
Short-term life insurance is a practical choice for many situations. Call The Meyer Group, Inc. to discuss your life insurance needs, and determine whether short-term life insurance makes sense for your needs. To reach us at our St. Louis, Missouri office, call 314-961-7077.