Five Different Types of Life Insurance

When most people think of life insurance, peoplepremium, and on your death, your family gets the
have one idea: you pay a monthly fee in the hopelarge lump sum (for example, $100,000, or
that when you die, the life insurance company will$200,000) called a death benefit.
pay your family a large cash sum, so that theyWhole Life Insurance
will be taken care of when you are gone.Whole Life Insurance is a little different. You can
However, not all life insurance policies are thewithdraw from the policy at any time, your
same, and it is important to know the differencespremiums are fixed, and lets the insurance
when purchase life insurance.company have complete management control
There are five different types of life insurance:over your account. However, whole life insurance
· Term Lifeis less flexible than most plans, with no flexibility
· Whole Lifewith face value or premium rates.
· Variable lifeVariable Insurance
· Universal LifeVariable Insurance has several differences, one
· Universal Variable Lifemain difference which is that you can borrow
Term Life Insurancemoney from the policy while you are still living.
Term Life Insurance is what most people think ofThe variable insurance plan is much more flexible
when they think of life insurance; it is the easiestad give permanent protection for your
and least expensive type. You pay the monthlybeneficiaries.