Great for business owners. Principal life insurance caters to business owners, key employees and their families. Special riders are available to address business needs.
Coverage flexibility. There’s generous room to decrease the policy face amount if your needs change: Decreases are allowed after policy year one, with a 35% decrease allowed in years two to six and no restrictions in policy year six and up, aside from maintaining minimum coverage of $200,000.
Conversion options. You can add a conversion-extension rider to extend the conversion window to your policy term or until age 70, whichever is sooner. However, if you don’t buy the conversion extension rider, the windows for conversion are more restrictive than some competitors: You have until age 70 or until the conversion window closes for your term period, whichever is sooner:
- 10-year term: first seven years
- 15-year: first 12 years
- 20-year: first 15 years
- 30-year: first 20 years
The extended conversion rider is available for extra cost: It extends the window until age 70 or the end of the level-term period,
Rates. Principal’s term life rates are competitive, and there’s also a nonconvertible term life policy available for a lower cost.
Available to older buyers. There’s a high maximum age of 80 to buy a 10-year term life policy.
