Everyone will probably find the need to buy life insurance at some time in their life. Life insurance may be used to make sure your family is provided for if you die. It can also be used to guarantee payment on debts.
There are five basic types of life insurance. There is term life and four kinds of permanent insurance. They vary from very simple to understand to fairly complex.
1. Term life is insurance that exists for a certain period of time, say 20 years. The premium remains the same during that term. The death benefit remains the same during the term. At the end of the term the policy either stops the insurance, or the premium rises. For example; $100,000 of life insurance at a monthly premium of $50. Some term policies include an option to convert to permanent life. Continue reading ‘Life Insurance — 5 Basic Types’ »