Term life insurance Tampa FL
Reader’s Question:
My insurance provider in Tampa, Florida has recently introduced a new product called a ROP policy. Can you tell me more about ROP policy?
Kevin
Tampa, FL
Return of Premium (ROP) policies may be a bit more costly but offer the benefit of returning your paid premiums if you outlive the term of the policy. They also offer you the choice of term length and policy amount just like a term life insurance policy.
In its original form, ROP term life insurance was designed to refund the holder of the policy at the end of their chosen term if they outlive that term. As the product has been developed further, there are now various variations which allow policyholders to receive partial refunds by cancelling their policy some years into their chosen term.
ROP term life insurance offers customers options. It generally falls into the middle of less expensive normal term life insurance products and more expensive permanent or whole life insurance policies. It offers all the benefits of a traditional term life insurance with the added bonus of being able to have your paid premiums returned to you if you outlive you chosen term or receive a partial refund if you find a greater need for the money part way through the policy’s term.