Family Term Life Insurance FAQs

Here is information to help you better understand family term life insurance.

What Is Family Term Life Insurance?

Think of family term life insurance as a financial safety net for your family that lasts for a set period of time — usually 10, 20, or 30 years. If you pass away during this time, your family gets money to help them pay bills and maintain their livelihood. This money is called a “death benefit,” and your family typically doesn’t pay taxes on it.

Many family term life insurance policies can cover your whole family under one plan, which makes things easier for you.

Who Should Consider Family Term Life Insurance?

You should think about getting family term life insurance if:

• You’re married
• You have kids who depend on you
• You own a home with a mortgage
• You have loans or other debts
• You’re a single parent
• Anyone relies on your income

This coverage is most important during the years when your family would struggle financially without your income, like when your kids are young or your mortgage is new.

How Much Coverage Does My Family Need?

Many experts suggest getting 10-15 times your annual income. This helps your family maintain their lifestyle if something were to happen to you.

When figuring out how much you need, think about:

• Replacing your income
• Paying off your mortgage and other debts
• Future college costs for kids
• Funeral expenses
• Childcare costs
• Regular bills and expenses

Think of family term life insurance as a financial safety net for your family that lasts for a set period of time. If you pass away during this time, your family gets money to help them pay bills and maintain their livelihood.

Does Family Term Life Insurance Cover My Kids Too?

Many family term life insurance policies offer some coverage for children, either built into the plan or as an add-on. The coverage amount for kids is usually smaller than for adults. It’s mainly there to help with funeral costs and give some financial support during a time of grieving.

Coverage for children usually lasts until they reach a certain age — often between 18 and 25, depending on the policy.

Can Stay-at-home Parents Get Covered?

Absolutely. Stay-at-home parents might not earn a traditional paycheck, but their contribution to the family is huge. Think about what it would cost to hire people for childcare, cooking, cleaning, household management, and transportation.

Many family term life policies cover both working and stay-at-home parents to fully protect the family.

How Do We Make Sure We’re Getting the Right Coverage?

• Work with someone you trust from a company with a strong history
• Compare prices and coverage for a few different policy options
• Be completely honest on your application
• Review your coverage when life changes — like after marriage, having a baby, buying a house, or changing jobs
• Focus on what your family needs, not just the cheapest price

How Can We Learn More About Our Options?

The best way is to talk with an insurance professional who can explain everything based on your specific family situation. They can help you understand:

• How much coverage makes sense for your family
• Which term length fits your needs
• What additional features might help your family
• How to get the most protection for your budget

Most families feel more confident after talking with someone who can explain their family term life insurance options in clear terms.

If you’re interested in learning more about a family term life insurance policy with WoodmenLife, visit WoodmenLife.com/Family-Term or talk with a local Representative.

Written by: Diana Henry, Senior Digital Copywriter

This post provides general insurance product information. It does not contain information specific to WoodmenLife products. If you are looking for information specific to a WoodmenLife product or your existing WoodmenLife policy, please contact your local Representative.

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