Life Insurance 101: Term vs. Whole Life Explained

Understanding Life Insurance Options

Life insurance provides financial protection for your loved ones in the event of your death. The two main types—term and whole life—offer different benefits and costs.

Term Life Insurance

Term life insurance provides coverage for a specific period (10, 20, or 30 years). It's typically more affordable and straightforward:

• Lower premiums than whole life
• Coverage for a set term
• No cash value accumulation
• Ideal for temporary needs

Whole Life Insurance

Whole life insurance offers lifetime coverage with a savings component:

• Higher premiums but permanent coverage
• Builds cash value over time
• Fixed premiums that never increase
• Can borrow against the cash value

Which is Right for You?

Most financial experts recommend term life insurance for its affordability and straightforward protection. Compare quotes from top-rated insurers to find the best rates.