Term Insurance is the low-cost, temporary insurance protection. It is generally used to meet a temporary need (example - mortgage protection) or a need for a large amount of insurance at the lowest possible initial price. Important things to consider when buying term life insurance: The renewal period. If it's possible that you will need your coverage after the first renewal period (after 20 years for 20-year term or after ten years for ten-year term), be sure to compare both the initial premium and the renewal premium and confirm whether the renewal rates are guaranteed at the quoted level. What would happen if your health deteriorated since you purchased your insurance and you still need life insurance - are you locked into high renewal rates?