Level term life is the most common and recommended term insurance. Term insurance provides coverage (face amount) for a limited period of time for a fixed premium. Term insurance is the least expensive way to purchase a death benefit to cover an individual. Term life insurance is used to provide coverage for the financial responsibilities of the insured.
Whole life is a more traditional life insurance policy. The premiums remain the same for the life of the policy. Cash value builds up in addition to the death benefit. However, these policies are more expensive than term.
Universal life is flexible policy which features both term and whole life. The policy holder can change the amount of insurance coverage, the amount of premium and/or the portion of premium added to the savings feature. The premium is less than whole life but more than term.
Variable life allows you to participate in investment options within the company’s portfolio. Due to the investment risks, variable policies are considered securities contracts. Since these policies are dependent on the stock market, your investment can grow quickly or lose value quickly.
Please contact our office with questions or for more information on any of the products listed above. By asking you a couple of questions, we can determine which product best fits your needs. I believe the majority of Americans should own some type of life insurance. A lot of financial burdens can be avoided if you have a simple term life policy in place.