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Which life insurance is best term or whole


If you only need life insurance for a relatively short period of time (such as only when you have minor children to raise), term may be better as the premiums are more affordable. If you need permanent coverage that lasts your entire life, whole life is likely preferred.

What is the disadvantage of whole life insurance?

What is the downside of whole life insurance? Compared to a term life policy, a whole life policy is more expensive and complex, in part because it's designed to provide a death benefit that lasts a lifetime.

Which is cheaper term or whole life?

Term life insurance is cheaper because it only lasts for a limited time. Your beneficiaries will not get any money if you live beyond the end of your term. Whole life insurance is more expensive because it lasts for your whole life and has a cash value that earns a guaranteed return on cash value.

What type of life insurance is the best?

If budgeting is your biggest concern, term life insurance may be the best choice. If you have many dependents, whole life insurance may be a better route. However, if financial planning and cash value are most important to you, universal life insurance may be a strong option.

What is the biggest difference between whole and term life insurance?

Term life insurance has a set limit of time for coverage while whole life insurance, which is known as permanent life insurance, remains in effect for your lifetime (as long as you pay your premiums). The premiums you pay for term life insurance go towards the death benefit you will leave to your beneficiaries.




Is term life better than whole life?

Yes, it is far better to get term life than whole life. We don’t want you to get ripped off, we do want to see your family well protected, and we f...

How much life insurance do I need?

That’s easy. You need policy coverage equal to 10 to 12 times your annual income. Say you’re making $50,000 a year. You need at least $500,000 in c...

How long do I need term life insurance?

We recommend a policy with a term that will see you through until your kids are heading off to college and living on their own. That’s anywhere fro...

What happens to term life insurance at the end of the term?

It’s nothing sensational. The policy will just expire, but you won’t notice. You’ll already be in the money.