Types of Life Insurance

There are two main types of life insurance:

• Term Life Insurance:
  • Provides coverage for a specific period, or “term” (e.g., 10, 20, or 30 years).
  • It only pays a death benefit if you pass away during the term.
  • Generally has lower premiums than permanent life insurance.
• Permanent Life Insurance:
  • Provides coverage for your entire life, as long as you pay the premiums.
  • Includes a cash value component that grows over time and can be borrowed against.
  • Types of permanent life insurance include whole life, universal life, and variable life insurance.