Types of Life Insurance

Life insurance can help provide for the people who depend on you financially, in case you can't be there for them. The death benefit money can be used for final expenses, help to replace your lsot income, pay your mortgage, cover liabilities, fund children's education, etc.

All life insurance falls into two types of category coverages:


Term Life Insurance Permanent Life Insurance
Needs: Needs:
  • Provides temporary protection for the term of the policy
  • If the insured dies withing the term period, the insurance company pays the death benefit
  • If the insured survives the term period, the coverage terminates
  • Provides lifetime protection, so long as the policy is kept in force
  • The insurance company pays the death benefit regardless of when death occurs, so long as the policy is kept in force
  • The policy accumulates cash values that can be used during the insured’s lifetime (withdrawals and loans will reduce the policy’s death benefit and cash value available)