But which is right for you - Term Life or Whole Life?
Well, to begin, there are some basic differences that set the two types of life insurance apart.
- Duration of Coverage
- Cash Value
Term life has the lowest pricing by far compared to whole life insurance because term is temporary coverage for 30 years or less - you choose the "term" (duration) of your policy.
Term offers coverage for a period of 10, 15, 20 or 30 years, usually, while whole life provides lifetime protection.
Term life is pure protection, not an investment; whereas, whole life may build up cash value inside the policy over the life of your coverage.
Basically, term life is for short term needs of 30 years or less, or for people on a budget who need the most life insurance for the lowest cost.
While whole life insurance is for people who can afford higher prices to get the guaranteed lifetime life insurance protection they need.
Here's how you can learn more about whole life insurance versus term life insurance