What is a Term? Term[turm]noun1.The Term is the length of time a specific insurance Policy is effective. This feature is most commonly found in life insurance, where the Policy is only good for a specific length of time, or “term” of a person’s life. Share | Have A Question About This Topic? Name Email Address Message Thank you! Oops! Related Content The Other Sure Thing Though we don’t like to think about it, all of us will make an exit sometime. Are you prepared? What is a Homeowner's Insurance Policy? Do you know what a Homeowner's Insurance Policy is? Assess Your Life Insurance Needs This calculator estimates how much life insurance you would need to meet your family's needs if you were to die prematurely.