Life insurance can feel complicated, but most policies fall into two families: term and permanent. Knowing the difference makes the rest of the conversation much easier.
Term life
Term life covers you for a set period, such as 10, 20 or 30 years. If you pass away during that time, your beneficiaries receive the death benefit. If the term ends, the coverage ends.
Term is usually the most affordable way to get a large amount of coverage, which is why it's popular with parents of young children and people paying off a mortgage. The idea is to match the term to the years when others depend on your income most.
Permanent life
Permanent life insurance, such as whole life or universal life, is designed to last your whole life if the policy stays in force, and it usually builds cash value. What's guaranteed depends on the policy type, so ask Ernest to show you.
Permanent coverage costs more for the same death benefit. People often consider it for long-term goals, like leaving money to family, covering final expenses or business planning.
Questions to ask yourself
- Who would need financial help if you passed away, and for how long?
- What debts, like a mortgage, would you want paid off?
- Do you already have coverage through work, and would it follow you if you left?
There's no single right answer. Ernest can walk through the numbers with you and explain the types of life insurance he can offer. Start a Life quote request or call 971-717-0800.
General information only. Coverage is subject to the terms, conditions and exclusions of the actual policy, and not every option is available from every company. Read the full disclosures.