A life insurance policy provides a cash payment when a person dies. This payment is known as the death benefit. Many people buy life insurance to protect their dependents. Others buy life insurance as a way to leave a cash gift to their spouse, children, grandchildren, and charities at their death. There are various types of life insurance today. Some even offer a return of premium after a specified number of years.

Term insurance is the most basic type of life insurance. The policy is written for a specific number of years, usually 10 to 30 years. If the insured dies within the stated term, the insurance company pays the death benefit to the beneficiary. When the term ends, the insurance ends. The premium for term insurance are usually the lowest among the various types of life insurance. There is no cash value in a term life insurance policy.

Whole life insurance pays a death benefit no matter when the insured dies. In most cases the policy will guarantee the death benefit. The premiums however, are usually much higher than a term policy and the full premium must be paid each year. Whole life policies have cash values. Whole life insurance works well for those who want a guaranteed death benefit no matter how long the insured lives, and who have enough money to pay the premiums.

There are many other types of life insurance in addition to the ones we have explained. To help us find the right policy for you contact your local independent insurance brokers at Wes Marshall Insurance Today!!
Don’t forget to ask us about return of premium.