Is There More Than One Type of Life Insurance?
When you think about life insurance do you feel overwhelmed? It can be hard to navigate the paperwork and the different life insurance policies if you have never purchased life insurance in the past. We have trained our insurance specialists to ensure that they are knowledgeable and ready to provide accurate information about insurance policies, so you know what you are purchasing and what insurance policies are going to work the best for you.
Although we are trained to help you understand, you may want to do some research on your own. Coming prepared can be a great way to feel empowered and really understand the different policies that are available to you. While you are navigating the world of life insurance, you should understand that there are two different types of life insurance policies. The majority of life insurance policies are either whole life insurance or term life insurance. When you understand these two types of insurance policies, you will understand the basic premise of the majority of insurance policies you will run into.
The basics of term life insurance…
- Provides you with protection for a specific amount of time
- Will not build cash value
- The coverage of the policy ends when the policy expires
- Premiums can increase with age
The basics of whole life insurance…
- Provides protection throughout your entire lifetime
- Accumulates cash value, the policy owner can borrow against this value
- The initial premiums will be pricier than term insurance
As you shop for life insurance, you will want to remember the basics of each type of insurance. This way, you will know what insurance fits you best. If you are still confused about the type of life insurance that will work the best for you, we can help you figure out what insurance policy is the best for your situation.