Term or Life Insurance

Should You Buy Term or Whole Life Insurance - Which is Best?

That depends on your personal needs and situation. First, term life or whole life are the two basic types of life insurance.

Which one meets your needs is the question you should consider before choosing one or the other type of coverage.

What is term insurance? It’s life insurance for a temporary period of time, usually 30 years or less. The most common duration for term life is 10, 15, 20 or 30 years. Get a term life insurance quote.

 

What is Whole Life Insurance?

Whole life is life insurance that provides you with protection for your entire lifetime, no matter how long you live. With whole life you pay the same premium each year, it never increases, and your policy may build up some cash value inside the policy over time, from which you can take a loan if needed.

 

How to Determine Which Type of Life Insurance is Right for Me?

Basically, it’s pretty straightforward – you decide how long you really need life insurance and choose from term or whole life.

If you need insurance coverage for 30 years or less, then term life may be the right option for you. If you need life insurance that is guaranteed to last your entire lifetime, permanent life insurance is a good option.

 

Which Insurance Offers The Lowest Prices?

Term insurance costs much less than whole life because it provides coverage for a shorter period of time. That means, there is a lower probability there will be a claim paid out on the term policy since the chances are greater you would outlive the length of time of your term insurance would last.

 

Which Coverage Lasts Longer?

Whole life coverage provides you with lifetime protection for as long as you live, while term insurance lasts for the duration of the policy term up to 30 years.

 

Will My Premiums Increase?

With whole life your premiums remains the same each year for your life. Whereas, term life prices remain level for the duration of the term – either 10, 15, 20 or 30 years. 

If you choose to renew your term policy when it ends, you would pay a higher premium for the renewal policy based on your age at that time.

So, if when your term life insurance policy ends you decide you still need coverage, you may renew your policy for another term (usually up to 10 years), with a new annual premium based on your age at the time you renew the coverage. Your new premium for the renewal term life plan would be the same each year for the duration of that new term life policy.


Life Insurance Quotes


Top Pick – WholesaleInsurance

Compare the best life insurance quotes from 40 of the leading life insurance companies in less than 2 minutes. Save up to 73%. Request a free life insurance quote.

  

Highly Recommended – Haven Life

  • Get up to $1,000,000 of affordable term life insurance today
  • Apply online in under 20 minutes, start coverage today
  • Backed by MassMutual, rated A++ by AM Best

Get a Free Quote

 

Haven Life uses the information provided in your application to make an instant decision on your application. Healthy, qualified applicants (based on the information provided in your life insurance application) can be insured immediately with no medical exam while other applicants can receive immediate coverage pending a medical exam. 

  

Highly Recommended – United of Omaha

United of Omaha offers guaranteed acceptance whole life insurance for people age 45 to 85. Choose $3,000 up to $25,000 of coverage. Rates start as low as $8.80 per month. There’s no medical exam and no health questions. You cannot be turned down. You can get a quote and apply online now. START HERE to get a FREE Quote.

 


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