Term Life Insurance Vs Life (Whole Life) Insurance Explained

Term Life Insurance Vs Life Insurance (Wholepolicy, is guaranteed in the contract to never
Life) is a question commonly asked by peopledecrease. The premium payments that you pay
that are looking to buy life insurance, yet are notto the insurance company are also guaranteed
certain of what type of policy they shouldand will never increase. Whole life policies build
consider.what is called "Cash Value". After about three
Term life is not permanent coverage. It isyears, the policy builds a monetary value that can
temporary and only lasts for a certain period ofbe paid to you, should you desire to either take a
time specified in the policy. Term insurance isloan against the cash value or simply "surrender"
typically sold as Annual Renewable Term. This is athe policy to the insurance company and thus
policy that renews every year with premiumsreceive a check in the amount due to you. Keep
increasing every year. The benefit of "Renewablein mind that if you do surrender the policy to
Term" is that you are guaranteed to havereceive cash proceeds, the policy will no longer be
insurance coverage regardless of health. Once thein force or provide a death benefit to your
policy is in place, although your premiums dobeneficiaries.
increase every year, you do not have to provideWith just your date of birth and basic information,
evidence of insurablity. Other common termyou can compare life insurance quotes and policies
policies are 3, 5, 10, 15, 20, 25 and 30 year term.from several life insurance companies in one place,
The shorter the term of the policy, the lower thewithout having to be bothered with multiple forms.
rates.You're not applying for insurance... just taking a
Life insurance (Whole Life ) is permanentlook at what each company can offer you so you
coverage that lasts for the rest of your life. Thecan compare rates...
death benefit, known as the face value of the