Finding the right life insurance plan for you and your loved ones can be quite an overwhelming task. After all, there are so many different life insurance types and plans out there.


We’re here to help break down some of the confusing life insurance verbiages so that you can start moving toward the right plan for you.


The two major types of life insurance out there that you should know about are term life insurance and permanent life insurance.


Term Life Insurance


Term life insurance furnishes you with quite an affordable coverage plan, but only for x amount of years. This usually ranges anywhere between 10-30 years of coverage. As soon as this segment of time ends, your policy will expire and it’ll be up to you whether or not you’d like to renew it.


This is a well-suited plan for younger families seeking a relatively large amount of coverage at a lower cost.


Permanent Life Insurance


This is a technically more secure type of life insurance than the former because this plan never expires. Your family and/or loved ones will remain protected long after you pass, no matter the time of your passing. Within the permanent life insurance umbrella, there are two types:


Whole Life Insurance

This is the “old-school” life insurance policy that most of us are familiar with.

It lasts the insured’s entire lifetime.

When the insured dies, the whole life insurance is paid out to beneficiaries.


Universal Life Insurance

This insurance plan has a component of investment savings, but with relatively lower premiums— similar to term life insurance, in that respect.

This plan offers much more flexibility when compared to whole life insurance, in that the policyholder is allowed the freedom to adjust both premiums. and death benefits.