Term is temporary life insurance for a set period of time, while permanent life insurance provides lifetime coverage.
Term life insurance usually offers the option of term life coverage for a period of 10, 15, 20 or 30 years. Your rate for the life insurance remains level each year for the entire term of your policy. Since it is temporary coverage, term life insurance costs a lot less than permanent life insurance.
Whereas, permanent life insurance has a guaranteed level rate and provides life insurance for your entire life. It may also build up cash value inside the policy over time.
Term life insurance may be better if:
1. You have a young family.
2. You own a home with a mortgage.
3. You are on a budget.
4. You need the most life insurance for your money.
5. You need life insurance protection for a period of 30 years or less.
Here's how you can instantly compare the lowest term life insurance rates from among over 70 leading life insurance carriers.