TERM VS.WHOLE LIFE INSURANCE
TERM VS.WHOLE LIFE INSURANCE
When considering life insurance options, two primary types
often come to mind: term life insurance and whole life insurance. Term life
insurance provides coverage for a specific period, typically ranging from 10 to
30 years. It is designed to offer financial protection during critical years,
such as when raising children or paying off a mortgage. This type of policy is
generally more affordable, making it an attractive choice for those seeking
temporary coverage without the long-term commitment.
On the other hand, whole life insurance offers lifelong
protection and includes a savings component that accumulates cash value over
time. This means that not only does it provide a death benefit, but it also
serves as a financial asset that policyholders can borrow against or withdraw
from in the future. While whole life insurance tends to have higher premiums
compared to term policies, it can be a valuable investment for those looking
for both security and a way to build wealth over the long term.