Decreasing Term Insurance

A decreasing term policy is a type of life insurance policy where the death benefit decreases over time at a predetermined rate. This type of policy is designed to cover a specific debt with a decreasing balance, such as a mortgage or a business loan. The death benefit diminishes along with the debt, often resulting in lower premium payments than a conventional life insurance policy. The length of the policy and the rate of the decrease are determined at the time of purchase.