Are You Covered? Comparing Term Life and Whole Life Insurance Policies
Are you aware that the life insurance industry is worth nearly $1 trillion?
If you have a family, it's important to seek out your own life insurance plan. That way, you won't burden your loved ones with debts and other financial obligations. It's impossible to predict the future but the right coverage is a safety net you can rely on.
Are you wondering what your options are? Keep reading to learn all about term life and whole life insurance policies.
Term Life Insurance Coverage
Term life insurance policies don't cover you your entire lifetime. Rather, they're active for a predetermined amount of time, such as 5 years, a couple of decades, or even several decades. After the term is over, your coverage will end.
Term life insurance is often cheaper than whole life insurance but if you perish even a day after the term is expired, your family will end up with nothing. You can avoid this by being diligent about updating your policy.
You'll be glad to know that the cost of this insurance can end up being less than $30 a month. It's even cheaper for women because they tend to have a longer lifespan than men. If you want a death benefit larger than half a million, for instance, then you should expect to pay higher premiums.
Whole Life Insurance Coverage
As you might have guessed, whole life insurance covers you for the duration of your life. As long as you make the premium payments each month, then you can have peace of mind knowing your family will be protected even if you're not there anymore.
While the premiums are higher than term life insurance, the best whole life insurance policy will save you money over time by keeping the premium price set in stone during the policy's lifetime.
Keep in mind that there are surrender charges you might have to pay if the policy lapses within the first handful of years.
How to Decide Between the Two
Are you on the fence when it comes to term life vs whole life insurance? Choosing the right coverage will depend on a variety of factors, such as your age, your socioeconomic status, your gender, your health history, and more.
It can be helpful to speak with a life insurance representative who can answer your questions and guide you toward the best plan for your needs.
Are You Ready to Get Whole Life Insurance Policies?
Now that you've learned all about term life and whole life insurance policies, you can make an informed decision and ensure that you're covered. The last thing you'd want to do is leave your family with nothing so that they have to scrimp and save to get by.
Island Insurance Agency is dedicated to providing you with the best coverage on the market. Whether you need term life or whole life insurance, we're here to help. We also offer annuities and disaster preparedness services.
Feel free to contact us with questions or to get a quote.