Term Life Premiums May Drop A Bit

Premiums for individual term life insurance are expected to drop 1 percent next year, a smaller decline than the 4 percent annual average decline since 2000, the Insurance Information Institute said this week.

"A lot of the margin for cutting back has been squeezed out" already, and the higher long-term interest rates that were forecast a year ago didn't materialize, said Steven Weisbart, the institute's vice president and chief economist. Interest rates affect insurers' investment income.

Term Life Premiums May Drop A Bit
Source: Hartford Courant