What are the pros and cons of term insurance?  
The pros of term insurance are:
  • It provides the most cover for the least premium, compared to whole life and endowment insurances.
  • Renewable and convertible term insurances are flexible, and they safeguard the life insured against a sudden loss of insurability.

The cons of term insurance would include:

  • It does not offer any surrender, loan, paid-up values and non-forfeiture privileges.
  • Underwriters tend to underwrite such applications much more stringently and the non-medical limits are usually lower than that of permanent insurances.
  • As it has no savings element, the policyowner receives nothing at the end of the term of the policy.

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