Anyone who completes the course this year will save money

Term life insurance

Closing before the New Year saves money

Term life insurance makes sense to protect surviving dependents. If you complete it this year, you may be able to save a lot of money.

In many cases, term life insurance is a useful supplement to your pension plan to protect your surviving dependents in the event of your own death. Especially if only one person in a partnership generates the household income, taking out such insurance can help minimize the risk of financial bottlenecks.

For example, if one borrower dies, the other borrower has to pay off the loan instead of having to sell the house they built or the condominium they bought. Or if the offspring needs financial support during their training or studies.

Anyone who has taken out term life insurance and made their partner a beneficiary in the event of their death can alleviate the financial worries of their surviving dependents. If the insured person dies, the term life insurance pays out the previously agreed sum.

Insurance companies have their own birthday rules

If you’re already thinking about taking out term life insurance, it may be worth taking it out this year, according to the consumer organization Money and Consumption. The reason: “For many insurers, you become one year older from an insurance perspective on January 1st, regardless of whether your birthday is in May or September,” says GVI board member Jürgen Buck.

The younger entry age could mean significant savings potential and save up to two annual contributions. What the policy costs depends primarily on the agreed death benefit. The term of the insurance, the age of entry, the state of health of the insured when the application is submitted and their profession also play a role. According to Finanztip, policies with an insured sum of 200,000 euros cost between 100 and 300 euros per year.