Lets take a breif look at some life insurance quote information with regards to term vs whole life insurance.
TERM LIFE INSURANCE
Term life insurance provides coverage for the insured for a set time period in return for a specified premium.
If the insured person dies within the term period the insurance company pays off the death benifit to the insured persons benificiary.
If the term period on the insurance policy expires while the insured person is still alive the policy cancels and no death benifit is paid.
PERMANENT LIFE INSURANCE
Permanent life insurance is and can be a little bit more complex than term life insurance.
Permanent life insurance provides coverage and cash value for the life of the policy holder.
Perm or whole life insurance tend to be more expensive than term life policies.
The most common types of permanent life insurance are universal life,whole life and variable life insurance with universal being very popular now.
TERM LIFE INSURANCE PROS
Term life insurance coverage is cheap and easy to buy.
Term life is affordable and pays a death benifit to the insured person heir.
These kind of policies tend to cost less than other life insurance policies.
TERM LIFE INSURANCE CONS
Term life policies expire and the policy premiums increase with age.
Term life insurance policies offer no cash value.
PERMANENT LIFE INSURANCE PROS
Permanent life insurance policies accumulate cash value which grows tax defferd.
Also a permanent life policy can give you that peace of mind knowing that upon your death your loved ones wont be burdend with financial problems.
PERMANENT LIFE INSURANCE CONS
This kind of insurance offers no room for premium flexabilty.
The insurance company controls where you can invest your cash value.
So consider this life insurance information before you get your next quote.
