5-Year Term Life Insurance was once available as a short-term protection option, but today it’s rare and often more expensive than longer-term policies. Instead, many insurers recommend 10-year term or annual renewable term (ART) policies for better value and flexibility. At Diversified Insurance Brokers, we help you evaluate the smartest short-term alternatives that provide strong protection without unnecessary premium costs.

Why You Rarely See 5-Year Term Policies

• Most carriers no longer offer them because underwriting costs outweigh the short-term benefit.
• Compared to longer terms, 5-year policies often have higher monthly premiums for the same benefit amount.
• Annual Renewable Term (ART) or 10-Year Term options usually provide better pricing and more flexibility.

Best Alternatives to 5-Year Term

• Annual Renewable Term (ART): Short-term coverage you can renew each year without new medical exams.
• 10-Year Term: Often more affordable than 5-year, with level premiums and broader availability. Learn more on our 10-Year Term Life Insurance page.

Comparison: ART vs 10-Year Term vs Permanent

Case Example

Someone seeking coverage only until the end of a short work contract initially considered 5-year term. After reviewing options, a 10-year term policy provided the same level of protection at a lower cost, with more carriers to choose from and the added flexibility of conversion features.

Why Work With Diversified Insurance Brokers?

Since 1980, our team has helped clients secure efficient, cost-effective term life coverage. If you’re considering very short-term insurance like 5 years, we’ll help you compare smarter alternatives such as ART and 10-Year Term policies. Learn more about our life insurance services, explore burial insurance, and see why clients trust us.