Life Insurance: Caring For Those You Love Most

Life insurance can be a challenge. It is probably the most expensive investment you will ever make for someone else. That's right, this investment is not even for you. Have you ever thought of that? By the time someone is collecting your life insurance policy, you will not be around to join in on the festivities. While it may be a little morbid to think about, life insurance can make a huge difference in the lives of the people you care most about. As your insurance agent will likely advise you, life insurance is selfless. This is a way to care for your family members when you are not around to do so physically. 

While there are many different things to weigh when you are considering purchasing a life insurance policy, it is important to know that there are a few basic differences between policies. 

Term Life Insurance

The main difference between term and permanent life insurance is that term insurance is only for one period (or term) of your life. For example, you can purchase term life insurance for 10 or 20 years, but once that time period has elapsed you are no longer covered. This could be a good thing if you felt your premium was too high, or did not like the company you were covered with. However, if your term expires and you want to purchase another policy, prices will likely be higher since you are 10 or 20 years older than you were. This is why some people choose to purchase permanent life insurance up front. 

Permanent Life Insurance

Permanent life insurance does not expire. People have used a life insurance policy for anywhere from 4 years to 40 years, all with the same benefits paid. Since these policies offer such extended coverage they are usually the same monthly premium no matter what you age is. This can be a challenge for young people who do not have a lot to spend on life insurance, however, older people actually save money with permanent policies, since term life policies get more expensive for the elderly. There are different types of permanent life insurance including whole life, universal life, and variable life, all with their own strengths and weaknesses. Your insurance agent will be able to shed more light on which of these policies will fit your needs the best.

In conclusion, while there are many differences between permanent and term life insurance, some life insurance is better than none. Do not leave your loved ones in the lurch. Talk to your insurance agent about purchasing life insurance today.