When a life insurance policy ends depends on the type of life insurance.
The two basic types of life insurance are term and permanent.
A term life insurance policy is temporary, lasting for a specific number of years. Most term policies last for 10, 15, 20 or 30 years.
However, if you stop paying your premiums, the life insurance coverage will lapse and coverage will be cancelled due to non payment of premiums.
Or, if you die during the term of the policy, the coverage ends and the death benefit is paid out to your beneficiary.
With a permanent life insurance policy the coverage lasts for your entire lifetime, unless you stop paying premiums, in which case the policy may be cancelled for non payment of premiums.
The duration of the life insurance coverage is one main reason term life insurance costs a lot less than a permanent life insurance policy.
Learn more about term life vs permanent life insurance
The two basic types of life insurance are term and permanent.
A term life insurance policy is temporary, lasting for a specific number of years. Most term policies last for 10, 15, 20 or 30 years.
However, if you stop paying your premiums, the life insurance coverage will lapse and coverage will be cancelled due to non payment of premiums.
Or, if you die during the term of the policy, the coverage ends and the death benefit is paid out to your beneficiary.
With a permanent life insurance policy the coverage lasts for your entire lifetime, unless you stop paying premiums, in which case the policy may be cancelled for non payment of premiums.
The duration of the life insurance coverage is one main reason term life insurance costs a lot less than a permanent life insurance policy.
Learn more about term life vs permanent life insurance
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