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There are two basic varieties of term insurance just like there are varieties of auto insurance quotes and different types of cheap car insurance. There is level term and decreasing term. The most popular type these days just like cheap car insurance, is level term insurance. The terms “level” and “decreasing” refer to the amount of death benefit available during the term of the policy. A level term policy can mean that the premium stays the same or that it pays the same benefit amount of death benefit at any point during the term policy. Nevertheless it is always guided as with auto insurance quotes, to get several quotes before buying.

Common types of level term are:
-Yearly renewing or annually renewable term
-5-year renewable term
-10-year renewable term
-15-year renewable term
-20-year renewable term
-25-year renewable term
-30-year renewable term
-Term coverage to a particular age (usually age 65)

Although like cheap car insurance, it was once popular, yearly renewable term, is no longer a top seller. If you are looking for the most popular type of term insurance now you should be looking at 20-year term. Very few companies will sell term insurance to an applicant for a term ending past the age of 80.

Renewable policies are policies that remain in force for an additional term or terms, up to a set age, even if the health of the insured (or other considered factors) would have caused him to be rejected if he were to apply for a new life insurance policy say while checking into auto insurance quotes.

In general, the policy premium is based on the insured person’s age and health at the beginning of the policy, and the premium will remain the same for the length of the term. An example say for 5-year renewable term would be level premiums for 5 years, followed by an increase at that point based on his age then for the next five years. Some term policies guarantee that the premium will not increase during the term of the policy while others don’t make such a guarantee, so that the insurance company is allowed to raise the rate during the policy’s term.

There are term policies that are convertible, meaning that they can be convert to whole life for the same amount without additional evidence of insurability.

“Return of Premium”
Most types of term insurance, including homeowners and auto insurance, do not return the premium if the insured survives the term of the policy but there are some that offer a feature where the premiums are returned but for this type of insurance you have to pay significantly higher premiums than for policies without it. Also they usually require that you keep the policy in force to its term.